All Forum Posts by: Account Closed

 Thanks

 Hi Jeff, thanks for the response.

Here in NJ garbage is included in the taxes, but water and sewer you may have a point there! 

But as for the ""50%"" rule, meaning that Iam supposed to assume that after my Net operating expenses, Iam supposed to assume that 50% of my profit will be used for repairs/costs every month....i just don't buy into that. Iam a licensed contractor / builder with extensive experience in all phases of residential construction for over 30yrs now, and still operating in this capacity. This building needs literally nothing. Everything is new, roof siding, HVAC, flooring, kitchen and bath and therefore unrealistic to assume that out of the possible monthly profit $1050-1350 (dep on my interest %rate) to say it would be cut in half monthly is just not based in reality in this case. I also feel like the 50% rule, would literally rule out every single property I ever analyze ...at least for these newer properties. Now it may have merit in an older property with older big ticket components needing to be replaced in the future, however with newer construction homes, I don't apply this theory. 

Update: Went to see this property yesterday, and it has a ton of potential for the price point. Its on the bay in a boating community, with a small bay beach steps from the front door. The upper unit has a private entrance and is a small 1 bdrm 1 bth, that could be rented out yearly ($1800-$2000 per month) Where the larger main unit 2 bd 1 bath, could be a winter rental ($2500 per month) , then a weekly summer rental that comes furnished (possibly $2500 per week) . It also has a great design with a entrance vestibule and door to a walk in basement common area, that could be used for both tennant to store their summer stuff....2 driveways with parking for boats or multiple cars, a detached garage for the maintence guy (me) lawn mowers etc...and a back patio common area to be shared and huge fenced in yard for pets or whatever....all steps from the water.  

By renting the lower unit weekly in the peak summer months the NET cash flow from this building could be close to $3000 per month with only $125000 investment....hope iam right! 

Thanks again for your input. 

How long from closing to closing? 

 

it had to be redacted, sry but right click on the images and clk open in new tab....should work

thanks 

Thanks! 

Hi, great forum, I have a home that i currently live in with over 300k equity in it worth approx 675k. My rate is low 2% Question whats a better strategy, sell/cash out/ re invest in other properties, or move out and rent leaving the equity? The pymt is very low, and I could potential net $2000 per month. I struggle with this decision 300k to invest in more props or 24k net passive income ? 

Thanks

Matt

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $90,000
Cash invested: $100,000
Sale price: $300,000

15 acre land parcel in Up state NY, built a small off grid Cabin, all powered by Propane genset and inverter system, well, and septic with Mountain view.

What made you interested in investing in this type of deal?

Iam a builder, with a background in land development

How did you finance this deal?

Hard money loan plus cash

How did you add value to the deal?

building it myself

What was the outcome?

It was a fantastic experience, for many reasons including having the vision to find a niche property next to a small ski resort, and customizing it to the "off grid" trend with state of the art off grid power systems.

Lessons learned? Challenges?

Very challenging building in -10 F long distance form home, trucking everything onsite 500miles from my home base in NJ. I