All Forum Posts by: Malcomb Stapel

@Heather Luu  Just to clarify, you gave them an installment before the work was done? Are these insurance company funds? 

 Welcome to the club!

@Dave Green are you willing to live in the multi-family? If so, it would seem like selling all and scaling up to a nice multi-family asset might be a good option to look into. It will cut out your HOA fees as well.

@Ed Ventura the 5% FHA seems like it would fit your current cash situation pretty well. At $200k I'm guessing you would still cashflow even with such a small down payment.

@Brandon Weis it sounds kind of tacky for the size of property. However, everyone seems to have wildly different opinions of what appeals to them. I will say we generally have no trouble keeping ours full and we focus on having nice, clean, safe spaces. They show very well in photos.  

@Rajagopalarao Paidi  some areas of the country it is perfectly normal for foundation issues given the soil types and building techniques of the time. In those cases, as long as they are properly remediated, it's generally not an issue, but, you will always have some buyers who are scared away when they see piers, or bracing. If the remediation devices intrude significantly into the livable space, that will probably detract from value. 

@Garrett Cuppels what do you mean do better with a mortgage broker? As in, not have to bring 20% down and still cashflow, or the rate and term would be better than what the seller is offering? Also, is the asset worth $360k if it wasn't currently a sober living house?  

@Chris Lamm Kansas City was the first one that came to mind, but I have some proximity to it. Lawrence, KS has also been blowing up in the last ten years with apartment complexes. It's possible a lot of those folks are nearing the end of their 3-5 year holding period and may be looking to sell. 

@Kevin Orellana do you like the asset; is it in a neighborhood that you are proud to own it, do you see it continuing to be a desirable place to live? Take the answers to those questions and juxtapose against this one. How much and what would I do with the gain on sale, and how does that help or hurt my strategy? 

It sounds like a great rental, however, you know it better than anyone on here. 

@Rene Hosman I can't emphasize enough that the true value of the sprayer is doing ceilings and doors. When you do ceilings you only have to paper/ plastic the light fixtures and maybe some smoke alarms, you can hang plastic over windows, but the paint is usually dry before it hits them and wipes off easily. In fact, you can use a paint called Dryfall, that does exactly this. 

For doors, if you are doing all of them, plus the casings, it's worth it because you will make back the time you spent prepping. 

For walls, it's almost never worth it. Why? Because the time you spent tape prepping everything you could have just cut in with a brush, grabbed a 19'' or 21'' roller frame and gone bananas on it.