All Forum Posts by: Mark Stone

Hi, I occasionally have some RE scenarios come up and have always found these forums to be a wealth of information and full of individuals willings to lend their expertise and opinions. So, I have recently found myself in a similar scenario, way outside my comfort zone, and would really appreciate any insight that anyone is willing to take the time to give.

I recently got my RE license, mainly in hopes to save money on my own future purchases, both primary residence as well as future investment properties. However, at the time I didnt really expect to go the route of buying an empty lot and then building on it for my primary residence.

So, my questions begin with when I buy the land is it reasonable to expect that I could potentially save some money/negotiate for a slightly lower price if no buyer's agent's fee is needing to be paid.

But then my bigger question is if I higher a local company to handle all of the building of the home, would having a RE license not really be very beneficial from a cost savings perspective?

I haven't actually hung my license yet, but am just trying to see if there is any urgency to do so before dealing with a builder, if I will already own the land they would be building on.

I do respect the knowledge that an actual seasoned realtor brings to the table and have recently spoken to a broker who focuses on helping people in the area build custom homes. He has also offered to meet us at the lot to give his input on building on it. It is roughly a 2 acre lot and is in a flood zone, so he has already shed some light on some important contingencies to put in the offer in regards to allowing enough time for a topography survey to be done. The property actually has gone under contract a couple of times but fell through because apparently the buyer's ran out of time during their due diligence window to determine the things they needed to. The listing agent was pretty honest about both times the sale fell through that they kept their escrow deposits, I believe in a honest attempt to warn us that I would be wise to make sure I am going to make an offer that allows me the necessary time to determine what I need to. If it makes any difference it would be a cash purchase for the land. And for the eventual home building, barnominium style, I am currently undecided if I will do cash or financing.

Also, in this scenario should I expect the broker helping give his opinion on the land for building on to be given a commision for the land purchase, or would it be appropriate to think that he may simply have the motivation to make sure the land would be appropriate to build on, so in the near future when we work with him building on it that there aren't any major surprises that make that deal of his fall through.

Again thank you for any thoughts you can give on these issues, it is much appreciated!

Thanks in advance for any help or insight anyone can provide!

Basically I owned a triplex that I sold last month

I was unable to collect rent from one of the tenants for the last full month of rent

He keeps giving me the run around as if he is going to pay it, but he has already paid the new landlord for the new rental month

What options do I have:

Collection agency?

Small claims court?

It is for $1025

I am not hurting for the money, however I would mainly like to leave a mark on his credit score and also not let him get away with this for the mere principal of the matter

Also, would I only need to show a copy of the lease to support my side? I never went ahead and sent him a failure to pay rent notice, bc he was always quite late the last few months I had the property, yet always ended up coming through so figured he would again.

Thanks,

Mark

@Aaron K.

appreciate the reply. no garage. i imagine building a standalone building would be quite a bit of money. triplex has 2 identical triplexes near buy. middle triplex has coin operated units (1 washer/1dryer) for all the triplexes to use. just looking to raise rents and more importantly get tenants who want to stay long term and most who decide they are uninterested is bc of this factor

I will keep it short and sweet, any advice is muuuuuuch appreciated!

I have a triplex

none of the units have washer/dryer hookups

got 1st quote to install hookups

would be right where the refrigerator currently is

would vent dryer to attic

then i would put fridge on other wall (wouldnt look bad there)

cost $1500 (plus washer/dryer price)

other option would be putting in a portable washer you roll over to sink and connect to

such as this:

https://www.amazon.com/gp/product/B002UYSHMM/ref=o...

However, do all the portable dryers needed to be vented to outside?

Ones like these:

https://www.amazon.com/Ivation-Portable-Ventless-A...

Any other options or ideas to solve this problem?

Thanks!

Well I got an update form my REA basically saying that the vacant building has never been occupied and is own by some wealthy person/group in Dubai. The condominium neighborhood is apparently broken up in to multiple groups. Each large building being it's own entity and the head of the board for the HOA doesn't expect the vacant building to be sold anytime soon if ever. Apparently, a crew comes in every once in a while for some upkeep, but is thought to be being used mainly as a tax write off (however that would work).

Hey everyone,

I just got under contract to purchase a property in a condominium neighborhood in Tampa, Fl.

I am buying the place because it meets my current criteria of being cheap (relatively), close to work and allows me water access. However I have a few concerns and I was hoping some more experienced individuals could lend me some insight and either calm my fears or perhaps help me avoid making a big mistake.

The unit is located in the condominium club. There are units along the water and then 3 large buildings set back off the water.

https://en.wikipedia.org/wiki/Marina_Club

The unit I am under contract for is on the first floor of the buildings along the water.

My concern lies with the 3 larger (4 story 32 unit) buildings set back off the water. 1 of them is completely vacant and appears to have been up for sale for the past 6 years!

https://www.realtor.com/realestateandhomes-detail/2424-W-Tampa-Bay-Blvd_Tampa_FL_33607_M55144-94034

Also, I had initially checked out a unit in one of the adjacent large buildings and it looked like the floors in the unit where sloping. Someone had mentioned that the building had previously been vacant too and recently became re-occupied.

I have fears mainly due to HOA fees being increase if the buildings are not contributing because they are unoccupied. Also, when I was there checking out the amenities the tennis courts and racquetball courts were both locked shut. This is something I def plan to ask the HOA/management company about. However, I can't help but feel that something is going on in the complex that just isn't quite right.

Thanks for taking the time to read this and hopefully respond, and if anyone has some advice on what questions I need to be asking I would greatly appreciate it.

Hey @Nate Hedrick,

I am more like a Pharmacist by night, RE investor by day (night-shifter)

Def a great idea to get some like-minded individuals together to share thoughts. I am a hospital pharmacist in Tampa, Fl and bought my first investment property 2 years ago (triplex). I am hunting for the next property right now!

But I am sure if we get a group of us together we could share ideas that relate to one  another more-so than other professions.

For instance, I have a lot of student debt, but a decent income, but as I grow my portfolio of properties it would be interesting to compare how that student debt loan will effect my borrowing capacity through effecting my DTI and perhaps share some strategies to alleviate this or work around this problem.

Also, if you are in the same boat as me in regards to student debt then perhaps we can share strategies for paying it off as I recently got a job for a non-profit to do the student loan forgiveness program (which I have come to realize many pharmacists and medical professional for that matter are unaware of).  And I also have my loans on forbearance to give myself 3 years of no loan payments to use the funds for investing for the next 10 years (i.e ~$35k of 10 years of investment returns). This forbearance strategy though only really works if doing the loan forgiveness plan, obv unless u think you can beat your interest rate on your loans after taxes, which in my case would be quite hard! lol

Also, interesting that you work as an agent on the side. My first reaction to that is why not get a second pharmacy job and focus your time on increasing your income and pouring that money into RE investments? Then just use your RE credentials to cut costs on closings perhaps.  I am sure you gain some great knowledge working with RE investors, but is it enough to warrant to forgo working a side pharmacist job?

Thanks again for starting this thread and hope to hear back from some of you guys!

Hey Guys! Got a question that I was hoping some more experienced investors could help me with!

Thanks in advance!

I recently bought a SFH that needs some work. It is a 4/1 but it also has a separate building in the back that is finished. My main question regards the building in the back.

This property was basically listed as a shed (permit was pulled apparently to build) when I purchased the property and was not counted towards the square footage, but runs about 450 square feet.

I would like to turn it into an efficiency rental unit, so would need to have a bathroom and kitchen added. I am wondering whether or not I should have permits pulled to do this.

If I did get permits pulled would this count the building square footage towards my property taxes?

Would I need to have the finished "shed" which already had a permit pulled inspected and approved to be up to building codes for living then?

If my zoning did not allow for multiple units on a lot (I haven't checked yet), would building out this building cause issues is I went to sell the property? (i.e. purchaser taking out a mortgage wouldn't be able to bc couldn't get home owner's insurance to rebuild in case >51% burnt down in fire)

I think I could rent the unit when finished for $400-500/month so is perhaps is it best to bite the bullet on paying permits and maybe more taxes for the increase in monthly income?

Thanks again for any input you may have!

Thanks for all of the replies everyone! I appreciate it.

Hey everyone, I just got a new quot for my homeowner's insurance on the triplex I own and in live in.

I noticed the premium jumped from $1480 to $1743, is this typical. I mean a $263 or 17% seems a little fishy to me. 

Also, the amount for the dwelling coverage is about what I paid for the place 2 years ago. Do you typically cover 80% of purchase price or something like that for the dwelling, and assume the other portion is for the land?

Thanks in advance for any advice!