All Forum Posts by: Mirinda Lowe

Thanks for all the feedback so far.  Leasing it is not an option - don't want the bloom to go off the rose as it were.  I'm certain I won't get a bidding war (selling price would be in the $1.5M range), so if I price low I know I'll get that price or slightly lower.

My thought was I'd price it at market, see what happens 'til about Nov.  (Actually pricing it based on sold comps, which I'll do, will price it low in the market anyway, because everyone is so overpricing right now, the list prices don't reflect any reality.)  If no buyer, then I'll pull from the market and list again in Spring 2015. But I'm open to any ideas...in case I'm missing something that's obvious to someone else.

I'm of the mind set that debt is good so long as you're making a better return on that money then you would alternatively. I realize that some people, though prefer to have no debt.

I say continue to accumulate property, just make sure you buy wisely each time. Don't be in a hurry, wait for a great deal. And make sure that it's still a great rental investment in a few years (not some overinflated rental at present that may bust, leaving you holding debt your property can't support.)

Just my 2cents though. You must do what you're comfortable with and can handle.  Good luck.

One of my RE strategies has been to flip my own personal residence, taking advantage of the IRS no cap gains up to $500K at the 2Y mark. Lots of analysis/caveats/personal sacrifice goes into this I realize, but let's not delve into that.

I'm at the 2Y mark currently on a great, high end home with lots of upside potential. Problem is the high end market in my immediate area is saturated. Prices are up about 30% in 2 years, so looks like lots of high end sellers are trying to get out. Currently there is about 1 year inventory for sale. (I'm in LA, and while there are tons of markets here that are in shortage, my immediate area - for high end only - is over saturated.)

I see my options as:
1. List at market value; possibly longer selling cycle
2. List below market (which I could do given the spread); target quick sale
3. Delay selling 'til the supply/demand is in better balance; also possible but delays my turning over that money.

Anyone have any advice, experience in this situation, or other ideas?

I know our local MLS requires at least 1 photo be posted or the realtor is sanctioned. So usually if there are no photos, it's just not up yet and pics come up shortly. If the property has been up for a while and no pics...either just a bad realtor, bad property, problem client. Read the description and call the realtor.

Definitely know the full code before you proceed.  Generally you can find the city codes posted online somewhere, you just have to dig 'til you find them.  I'd dig deeper than just the 8 units because there is usually a lot more in the code on so many levels. 

A few years ago I was salivating at a property here that looked a great one to split the lot - tons of houses on that street had been split into flag lots and lots of upside if I did so.  But deep in the city code it gave lots of details on what made that legal - and one small caveat centered around driveway size/spacing...and this property just didn't have enough space for that part of the code. So definitely know your code fully before proceeding.

I'd suggest talking to some contractors in your local area to get some cost estimates for your area.

Are the 150-160K comps after repair value? If so, practically zero upside there. What type of options are you looking for? How to talk the seller down further or what to do with it at this price?

I'd concur, cancel. Unless you have a developer on your wholesale list already who can quickly assess and offer.

They want you to move it off the property? Is it not working? What you say depends on how much you want to keep the tenant happy and how big an inconvenience it is to them to have it there. If it's taking up valuable, limited space on a patio to them and likely to be a point of concern for them ongoing, I'd say move it. Keep your tenant happy with the small stuff you can and they are more likely to stay longer. If there is another place on your property where it will be out of the way, maybe they could move it there. If it's working and you want to keep it, move it to your place. If it's not working and moving it is a hassle for you (maybe you're out of area or your car's not big enough to fit it), you can always list it free on craigslist. I'm always amazed at what people will come haul away for free.

@Account Closed , sorry to burst your bubble about Santa!

@Randy F. Some brands of paint are now making washable flat paint. I've used Dunn Edwards washable flat on a high end home I'm flipping right now and it washes up perfectly. Plus it really does hide any imperfections in the surface of the wall.