All Forum Posts by: Mary K.

@Nathan Gesner Could you easily find another tenant that will be clean, pay on time, and stay for 30 years? If that would be difficult, I would say raise the rent a little at a time and let him stay. Either way, you are going to have to renovate the whole place when he leaves, doesn't makes sense to start that earlier than necessary. 

I bet he does not report leaks/issues when they come up. That would be a bigger concern to me personally.

@Cory Peters It would be your call if the damage warrants immediate repairs. I generally think fixing things now is always the best route.

I had water damage to a rental a few years ago and prorated the rent for the days the property was unlivable. I also gave them some extra money to cover the hotel costs as a show of goodwill- but the law in VA says I only have to prorate the rent. Whatever you do, just be nice and courteous, I think they will understand.

@Beck Joyner Sounds good :)

@Kyle McCorkel

Hey Kyle,

I am also interested to hear how your BRRRR went :)

Hi,

I will be in Harrisburg Saturday 2/8 and Sunday 2/9 checking out properties with my local partner.

Please let me know if you are available to meet up for coffee/beer/lunch. I am looking to connect with others in the area.

@Brad Glenn 

@Eli Qureshi

@Malcolm Woolfork

Hey,

I will be in Harrisburg Saturday 2/8 and Sunday 2/9 checking out properties with my local partner. 

Please let me know if you are available to meet up for coffee/beer/lunch. I am looking to connect with others in the area.

@Beck Joyner

Hi Becky! I will be in town again Saturday 2/8 and Sunday 2/9.

Please let me know if you are available to meet up.

@Jeff Lee out of curiosity, how many properties are you going to self-manage?

I also self manage and love it. I have a system down for mine that puts it on complete auto pilot but I only have 2 and it took me a few years to get it right. I am also super type A about my rentals and have put a lot of thought into every step. 

If you haven't already, I would read up on fair housing laws.

I would have to read your current lease to see if you can drop it like that. To my knowledge, the lease has to stay as is until it's over. If they are on a month to month then you are in a good position. If I were you, I would consult a state specific real estate lawyer and get it done expensive and right. Might as well have them review the new lease so you are fully protected when sh*t hits the fan.

I am not a lawyer.

Hope that helps :)

@AJ Smith

FHA is a govt backed program intended to promote home ownership for lower income and people w/ bad credit.

Pros: slightly lower down payment, can qualify with lower credit score, generally better rates

Cons: PMI forever, longer closing (45 days usually), may require small things like a broken window to be fixed for the bank to move forward with the loan

Conventional

Pros: PMI only until LTV reaches roughly 80% (I think it's 78%?), would need a good to great score to qualify, 21-30 day close

Cons: slightly higher down payment, slightly higher interest rate unless your credit score is excellent

PMI staying on mortgage payment is the worst drawback of FHA but you can always refi into a conventional if you only qualify for FHA right now. I think either way you will be fine.

Hope that helps :)

1. You only need protection if you have exisitng funds that can be lost from a lawsuit. Most people don't need that right off the bat because they are highly leveraged.

2. If you are someone who needs protection right off the bat, get an umbrella policy.

3. If you hold a property in an LLC using hard money, you get a traditional mortgage by "buying" it from yourself when you refinance. It will no longer be in the LLC.

4. I think commercial banks are fine lending to LLCs.

5. Seek the advice of a CPA :)