All Forum Posts by: Michael Albaum

No, I've been so unhappy with the management, I'm really looking for someone to just take it on themselves...they can make a killing on it and I can get stable, consistent rent...win/win and I can stop paying the property manager

Hey everyone,

I have a 2bd/2ba new condo in Townsend, TN (Smoky Mountains) that I've been really underwhelmed by the management of. I think someone who was local or who was willing to be more hands on could blow their performance out of the water. So I'm open to letting an experienced arbitrager take this over if they'd like to.

Please DM me or let me know if there's a better place to post this for anyone who may be interested.

Thanks in advance!

Michael -

@Clayton Silva ideally looking for a portfolio loan to wrap them all up into a single long term note. Where's the best place to reach out to ya? 

@Chad Davis thanks for the input! When you say "redeem it" does that mean essentially pay the annual lease amount for the duration of the loan out of the closing proceeds so the lender is ensuring that you won't default on the lease?

@Clayton Silva they are pure investment property duplexes with I believe around 30 yrs left on the lease. The lessor is the local water district/utility. The prior owner had a loan on the property when they were sold so I know it's possible, but just have never run into this before. I don't think there is the ability to purchase the underlying lease...

Hey everyone, I have several properties owned free and clear that I'm looking to pull cash out of and was all lined up with a lender who then backed out because the properties are land leased from the local water district. 60 yr leases with incremental increases that I can renew at the end of the 60 yr term. The lender was spooked by this, so trying to line up a new lender...any recommendations on how to navigate with existing lender or lenders in the area who know how to deal with this?

Thanks in advance!  

Welcome Guy! I've absolutely been in your shoes and ended up liquidating most of my stock portfolio to use as the down payment for a property. An alternative is see if you're able to get a line of credit against your stock portfolio. Now this can be risky if values take a dive, and you're forced to sell assets to cover your position, but it can be an excellent short term solution.

You should also investigate 401k loans if you have a 401k...this was also an excellent solution to help me get into a property.  

Make sure to investigate UBTI if you're planning to use any leverage on the purchase.

Could you "test" the market and rent your place for a week or a weekend while you take a trip?

You could also put your property online and see how many booking inquiries you get. You'll of course need to get pics taken and straighten up the house, but it's 100% worth the effort in my opinion to know with a high degree of certainty. 

That's what we did with our last primary and it gave us a TON of confidence to pull the trigger.

REQUIRE it! If you ever experience a loss in one of your units, your future self will thank you past self. As a work around until your leases come due, it may actually be worth entertaining buying it for tenants who don't have it themselves. It can often be super cheap and worth sleeping better at night, and also building tenant relations.

You may even be able to leverage it into an early renewal with existing tenants "I'll pay your next 6 months of renters insurance premiums if you agree to signing a new lease at X% increased rent"...or something to that effect