All Forum Posts by: Matt Lazas

@Ned Carey all of the house is brick w/ the exception of the rear area where this issue is occurring. I think it was originally a porch that was closed in and converted into a bathroom.

Update- the inspection company sent out another inspector...he didn't say much but did not disagree with anything i said about how the issue should have been caught by the first inspector.

It seems like i have a chance that the repairs will be covered by their insurance- Wishful thinking?

Im hoping to get some advice on an unfortunate situation I was made aware of yesterday. Details- 2 story duplex rowhome in Baltimore. The Units are top/bottom - the bathroom for each unit is an extension on the rear if the property. The issue is in the rear corner of the bathroom addition - there appears to have been a shotty plaster job that's been leaking for some time. A huge piece (3"x 6") broke off yesterday. It looks to me like like the wood structure is totally rotted...at least in the far corner(see attached pictures). Basically it looks like the house is going to fall down...the wood is totally F'd Just talked to my homeowners insurance agent, not sure if this would be covered. Either way I need to deal with this asap as I'm not comfortable using the bathroom. Anyone have any insight/advice? Looks like I probably need to rebuild that whole part of the house Also if anyone can recommend a good contractor in Baltimore who would handle that kind of work would appreciate a recommendation!

I have a tenant in Baltimore city whose lease ends on June 30. He has lived In this unit for 15 years but is finally in the process of obtaining a loan to purchase a house. it sounds like he's just starting the process though and is not likely to close until August at least. This unit needs a bit of work so I'm also budgeting a month for that. I want to avoid having an empty unit in late fall or winter, so I am not comfortable going month to month on his lease. He is a paraplegic so finding temporary housing for a couple months is unlikely. I want to be accommodating but I am also too concerned about renting this unit past September I told him the best I could do was sign a 10 month lease that ends April 2017. I am drafting it now. Is there anything I need to watch out for going about this? I'm a new landlord so I'm not familiar with local laws. I'm mostly concerned about any Baltimore specific renter laws that could protect him.

I am 26 and just bought a duplex in south Baltimore in January.  My wife and I are living in half and renting the other...handling some renovations in our unit now.

Already loving getting that rent check...my goal is to pick up at least one more property this year,  but first id like to get started with some marketing to find a great deal.

What neighborhoods do you all own rentals in?

I second @Ben G.- impressions don't mean anything...you want clicks and leads.  it looks Like you're probably bidding on very broad keywords at that cpc/ctr.  Can you provide a few sample keywords and bids?

In general a 2% ctr is considered pretty standard, unless you are specifically targeting low ranks.  If you run a campaign with that low of a ctr for too long Google will penalize you w/ a low quality score.  They see your ads are showing up and no one is clicking on them (only 1 in ~140) so in time the system will identify that you're not relevant (even if you are!). Once his happens you'll have to pay a lot more for the same clicks that would be cheaper w/ a high quality score.

This is a tough place to come back from in my experience...especially in competitive spaces like RE

Don't be afraid to bid more,  lots of people will pay well above $10 per click...but because the clicks are better they generate leads and ultimately $$

Welcome to BP! You Definitely want to walk the streets of anywhere you plan to invest in the city...there are some great areas to invest but don't just trust the pictures or street view!

Thanks all,  it seems my best move is to accept the appraisal.  The property Still makes sense based on income and not dependent on the proposal.  Plus the lack of comps says something about the neighborhood.  There are quite a few duplexes but nobody is selling them for a reason!  

I suppose I'm getting a bit ahead of myself (and greedy) to expect to walk into a big chunk of equity.

@Brody Jett I definitley agree and will make sure I get more than a "don't worry about it" explanation from my agent. 

I just got an appraisal back on a duplex that has 'no direct comps.' There are are plenty of sfr comps, but the appraiser cited a challenge in valuing the property because of no direct comparable sales. The property was appraised at $255k and we are paying $253. So no direct issues with the appraisal hurting purchase price (it's an fha loan). based on my calculations though, this property should be appraised Around $280-300k. So, Before I accept this appraisal I am hoping to get some opinions on 2 questions. 1- could a low appraisal hurt or influence future appraisals in a market where comps minimal? 2- should I contest the appraisal even though it's above purchase price? ( my realtor is saying that crazy, but I feel like it's foolish to take him at his word). Any opinions would help. Thanks!

Thanks @M Marie M.!  Id say I'm moderately handy at best-  I can take care of small things but wouldn't trust myself to heavy repairs.  Great tip on the J Scotts rehab book,  I've heard them recommend it on the podcast- I'm gonna buy it.

Will being a buyer looking for a primary residence prevent wholesalers from selling me? I imagine red hot markets are not conducive to wholesale inventory...

My wife & I currently rent in South Baltimore, were mid 20's and anxiously looking buy a home.  We plan to ramp up our RE investing in the next few years...My goal is to convert the first home we buy into a rental as a part of the plan

I love the south Baltimore neighborhood's (Federal Hill, Riverside, Locust Point), and it seems like a good long term investment.  I've been heavily studying real estate for only 1 Month (aka reading BP blog & podcasts)...so I have no real experience in these situations. I'd appreciate anyone with some experience who can share their thoughts on what I'm thinking.  Ideally you can tell me all the reasons my idea wont work so i can revise the plan to be smarter:

- The new  construction market seems pretty hot,  There's more 20+ unit developments going up than ever in south baltimore...

-this could mean challenges renting b/c of inflated inventory 3-5 years down the road.  At the same w/ a row home that has parking and well maintained- my hunch is that will never be too hard to rent for a fair price.  (parking is in high demand in SOBO)

- We'd probably put less than 20% down, so our mortgage payment may make positive cashflow via rental income more challenging.  

-Can someone tell me if I'm being an idiot thinking i can make this work? (i dont want to rely on inflation) . 

- And also, any thoughts on qualifying properties to consider based on these conditions?  My most important factor is avoiding negative cashflow in the future

- Demand seems pretty high relative to supply for such a narrow market area,  so it seems challenging to find truly great deals.