All Forum Posts by: Christopher J Lemmon

@Michael Bettencourt

I used to work as a loan officer. A cash out refi always has a higher rate than straight purchase or refinance with no cash out. That rare actually looks good to me. I paid 5.375% for a purchase.

@Kam Mill. Congratulations! Sounds a like a good buy!! I am trying to get one of my rentals into the Section 8 program. I think there is good money in it. Your on the right track in my opinion. Welcome to the Landlord Club!!

@Sean Tippens

Buy some brushes and rollers and do it your self.

@KJ Miller Really anywhere in the city you can make money if you buy right. Other investors might disagree with me, but there are not really any bad areas in KCK. It’s all pretty good real estate. You just should not over pay. Anything around Quindaro you generally get a good price. If you stay inside 635 there are better deals for cash flow. West of 635 and you are buying more for appreciation.

Yes, I invest there. It’s got some good property. What questions do you have? 

Good point. 

That makes sense. I bought the vacant lot next to my investment property for $250 dollars. So that could be close to the value theoretically. 

Here is my scenario: 

$37,500 purchase price

SFR - 4 bedroom 2 bathroom

$16000 Down payment and repairs. 

       DP $7500, CC $4500, Repairs $4000

Payment with Taxes and Insurance $286

Management = 10%

Repairs $50 monthly 

Cap Ex $100

Vacancy 8% = $116

Rent $1450

$1450-145-286-100-50-116= $753 Cash flow monthly. 

$753x12= $9036 NIO

Cash on Cash Return Estimated = $9036/$16000 = 56%

I have 2 SFR that were purchased and placed into service this year. I have one more that was a personal residence that I placed into rental service at the beginning of this year. How do I determine what the depreciation basis for these properties is? Is it a 90/10 split? 85/15? Do I need to look it up on the county records? What are the rules? The first time I did this the tax advisor who was advising me simply said it's always a 90/10 split but I want to hear what other people think?

Yes, he signed for a small amount of cash. We got the title cleared and were able to get a hard money loan on the house so we could finish it. Once we found him it was all downhill from there.