All Forum Posts by: Matt Ziegler

Congrats! Lots of potential 

Brad,

Here is my take. Notify the tenant about the changes, and move forward. Be direct, and honest and take action.

If they pay for utilities they also at attention to their usage, good for all!

Worst case, they move out, you update the property, it may need it after 15 yrs. Place a new tenant , at market rate and they pay utilities from day one. 
best of luck

Jessie,

Besides following the local laws and timeframes, think about how you would like to be treated If the roles were reversed.My suggestion is to be open and honest and respectful with these folks.

What is your plan, are you moving in to one unit, or rehabbing and then re renting it.

Need to correct the rehab timeline…should state rehab of main house complete April 2022!

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Co Spgs.

Purchase price: $250,000
Cash invested: $58,000

House with a cottage… starting rehab in January

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

Always looking for properties that are in our area and that meet our criteria

How did you find this deal and how did you negotiate it?

Owner responded to our direct mail

How did you finance this deal?

Conventional financing

How did you add value to the deal?

Will remodel front house first, then rebuild the cottage completely

What was the outcome?

Work in progress. Should have main house done by April 2022

Lessons learned? Challenges?

Important to test for any environmental contamination (lead and Asbestos) for older properties. We did, we had and we’re able to better understand the scope of work needed. This helped us renegotiate the price

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

This was a principle to principle sale.

Westly,

Sorry to hear of your loss. I lost my mother this year also and know what a big hole that leaves. With that in mind, you should spend some time educating yourself before you make a decision. Local REI meetups/ rental property management classes, books, podcasts, or all of the above.

See if you can find someone you connect with who has done what you want to do.Lots of folks here and elsewhere willing to share knowledge and experience. Make it a team sport!

Let me know if I can be of any help, good luck, make your mother proud!

We did our first llc by doing what others have suggested, just go to the state website. But we have used an attorney for others to do a better job of asset protection. Either way works…what is your goal in having the house under the llc? You may find that lenders are less willing to offer loans in the llc’ s name. Best of luck

Allyn, 

Congrats on your new deal. Treating folks the way you wanna be treated has worked out well for us. As others have mentioned gradual increase his tend to cause less turnover. Also, I would say honest direct conversation about where you were going with the property will help the long term tenants understand what the future looks like.

By the way, why did you choose Ohio as opposed to investing locally in Colorado Springs?

Run you numbers two ways…as is, with below market rents, and as will be when you improve the place and raise the rents. This improved condition may take you some time and effort, but that is how forced appreciation works.

Best of luck

Looking to update our systems, looking for suggestions on CRM programs. Small growing portfolio of single family and small multi family properties that we self manage. Advice or suggestions appreciate.