All Forum Posts by: Maxim Lorenz

Here’s a revised version:

Hi everyone,

To summarize, I’m looking to buy another property in the same zip code, and I’m considering two options:

1. An investment property loan for a fixer-upper, which I won’t be moving into.

2. Using a VA loan for a second property, where I'd move in and rent out my current home.

When I made an offer on a fixer-upper (I didn't win that bid), the loan officer mentioned it might be difficult to convince the underwriter why I'd need another VA loan for a second property in the same area, especially since the new home is almost identical to my current one (same size, age, school district, etc.). Is this true? I meet all the other requirements for a second VA loan. I found another home that's move-in ready, and I'd prefer to use a second VA loan since the rates are much better than those for an investment loan in this case.

For context: I've lived in my current home for over two years, still have VA loan entitlement left (with a down payment), and plan to occupy the second home as my primary residence. The only issue is that the new home is not an upgrade over my current one—everything is quite similar. Will this be a problem with the underwriter?

@James Carlson Thanks. I don't want to hijack this thread, but rent by room, str, is not something that I am interested I as I will be out of country in a year. I'll keep exploring my options.

@James Carlson I am contemplating whether another investment property in CoS makes sense. Number-wise, i don't think it does. I am getting ready to rent my current home in d20 and looking to buy around 80910 up to 300k to fix it up. However, with today instment property rates, with a down-payment of 15-25%, and payments stretched over 15 years, all in all is about $2600/mo, which to me seems like no one in 80910 will rent for that much. What's your take? Also, while I haven't shopped aroun in-depth, there seems to be insignificant difference in rate between va, conventional, or even investment (if I have the downpayment).

 They did. I do suspect the fridge is defective as it was one of those clearance items at Lowes. I generally had good luck buying all sorts of mark down stuff as my local Lowes but I guess it is not always smooth. 

I just installed new appliances in my rental and having issues with the refrigerator. When I installed it, I noticed a leak from water dispenser. My tenants do not use water from the fridge so I simply shut the water off and decided to fix it later. Today my good tenants told me that the refrigerator is over-freeing and most importantly their electric bill went up significantly. Speaking with some electricians  I was told fridges are very power hungry  so it can certainly cause issues. Now, the appliances are new and should be under warranty. Here's the questions, is the use of appliances considered for commercial purposes while in rental? I ask because manufacturers TOS state "Commercial, non-residential, multiple-family use, or use inconsistent with published user, operator or installation instructions" are not covered. To me commercial use would be more in line with running a grocery store or in public use setting. Before calling warranty department I want to arm myself with knowledge to better approach this request as I am thinking as soon as I say it is for rental property they will deny my request. Worst case I'll pay out of pocket, but figured why if it is a new item. TIA. 

@Jonathan R McLaughlin haha, no water beds I Hope. Yes, my intent is to have lease amended stating that in case of emergency they are responsible for all damages caused by fish tank. I am still not convinced on what @Bill Brandt is suggesting (perhaps I am idiot) as I understand that my landlord insurance protects dwelling and if I am added to their renter's policy I might be protected in case their fish bites someone. However, I dont understand how adding them to their rental policy helps me with damaged to my SFH.

@Bill Brandt How does the claim process work if I am added to their renter's insurance? I got home insurance which pays for damages to property, they got renter's insurance which pays for their personal property within dwelling. If I am added to their renter's policy how will it help me pay for floor and drywall repair in the event of fish tank breaking?

@Russell Brazil I sure don't care if they have one. I only care if it leaks or bursts and damages that it will cause.

I have a tenant in Texas who to this day has been great, always pays rent on time, receptive of rent raises, and overall transparent and takes care of the property. Our lease is set to expire 30 Sep 2022 and we renewed starting 1 Oct 22 with 3% rent raise. Today the tenant wrote me apologizing that he made an honest mistake of getting a fish tank a few months ago, which is prohibited per our lease and asks how I would like to handle it and whether I want a pet deposit. I am thinking of amending our upcoming lease with a clause of allowing the tenant to keep the fish and to ask for additional deposit. My concern of course if not the fish, but the tank (not sure of the size) and what happens if it bursts/leaks. What do you guys think? I do asks for pet deposit (tenant does not have any pets and now just the fish) and I do require renter's insurance per lease. Should I amend the lease asking for additional deposit and if so how much? I understand that renter's insurance will not cover damages to dwelling hence my concerns. Thanks.  

@Steven Westlake I have 2010 Tahoe that I bought on Copart as salvage 8 years ago and rebuilt it myself. No point of selling it and I always knew I would run it until wheel falls off. Bought with 40k miles, now 170k and runs strong. Gas milage is crap and I too considered electric until I realized that traveling long distance is unreal and not only requires regular, top off charging, but also reroutes where charging stations are available which add significantly to time traveled if charging donations available (even worse overseas). It helps me that tahoe uses flex fuel where in even CO still around $3/gal. I ended up buying a small, 1.6l Ford SUV to get around (again on copart but as clean title) to use as my daily commute and still use tahoe to tow (it has insane for SUV GWVR) and to move junk and tools for my housing projects.