All Forum Posts by: Marc V Palmeri

thank you all!

hi,

i also have a mouse problem in the 1st floor unit of a 3 unit condo building in dorchester, ma.  does anyone have an exterminator they could refer me to or any advice on how to protect my tenants from rodents?  the exterminators i've spoken to want to do the entire condo building, including each individual unit and charge $1K+.  i'm hoping to find someone that can either do it a little cheaper or that can do just my unit. 

thanks!

hello,

i'm looking for a reliable handyman in the dorchester, ma area.  someone that can do odd jobs on an ongoing basis as issues arise.  does anyone in the BP community have someone they could recommend?

thanks!

Great job Jordan!  Congrats.

Hello,

Has anyone attended one of these free "Learn How To Build Your Real Estate Investing Business" seminars conducted by Ocean City Development?  I was hoping to get some feedback before possibly attending one.  

thanks,
Marc

Also, one follow up question...

If it's a condo building, wouldn't the HOA fees include some of the cap ex (roof, landscaping, structural)? So I feel like I'm double counting if I include these items in my cap ex allowance.

Hi, 

I was hoping to get some advice on estimating repair costs.  I've spent quite a bit of time figuring out how to account for capital expenditures and I feel I have a good handle on that.  I'm estimating two ways, as 5% of gross rental income each year and as a table listing each expenditure with it's estimated replacement cost and lifespan (thanks Brandon).  The figures are comparable and allow for scenario analysis.   

With repair costs I'm struggling to find any guidance on BP though.  I am using a figure of 5% of gross rental income for this too, but that seems high to me now.  So my question is this:

Is it fair to use the same estimate for both cap ex and repair costs?  I see repair costs as minor items like changing light bulbs, fixing minor broken items around the house, cost of hiring a handyman if necessary, etc.  I don't believe that these should equal the cap ex allowance so now I'm thinking I should lower my repair cost allowance to say 2.5%.  Any guidance would be much appreciated!

thanks,

Marc

@Mike Abramowitz Thanks Mike

@Eric Rosiello 

Thanks Eric, this was very helpful and a good lesson in how a few small tweeks to your model can SIGNIFICANTLY affect your bottom line.  Also a good lesson on why you should always have a second set of eyes on your work.  

A close friend of mine that has been in real estate for decades took a look at my analysis in detail and after incorporating his suggestions (for example, he said the condo fee will include insurance for the common area and the building but the lender will require me to buy insurance for the rest...I hadn't factored this in) and your suggestions, my cash flow figure has swung from +200K to -227K.  Definitely a pass.  

Hello - I was wondering if anyone had experience drafting a lease agreement thru www.rocketlawyer.com and whether or not they would recommend it over shelling out money to an attorney.

Thanks!

Marc