All Forum Posts by: Michael Hooper

Does anyone know of any, I think the term is, cohosting companies in the Nashville area. I've got a 3 bed 2 bath rental just outside of Nashville in the Smyrna area, that's right down the street from a hospital. I think it would be a good candidate for mid term rentals, but I don't want to manage it. I've got a friend who owns a rental in the Raleigh, NC area that a company just pays him a check every month for the right to rent it out. Is there anything like that here in the Nashville area?

@Nick Belsky I would think I'm really limiting my buyers pool trying to sell 2 houses in the same purchase. I would think most people would just want to own 1 house so there would be more demand if I could sell individually and presumably bring a higher price for each.

I've got a property that has two houses built on one lot in Tullahoma TN. Its apparently been that way since the 40s. I've asked the city about subdividing into to lots and they said its a no go. It would require 4 variances based off minimum lot size, set backs, etc. I'll still probably try, but assuming he's correct and that it would get voted down, is there a way to still sell these properties individually. Can I make them condos or something without involving the city and sell them that way? Would I need an HOA to do that. They have a shared driveway, but that's it. Any suggestions?

I've got a total 18 units in my personal name and plan on acquiring more. I'm a little behind the ball on this, but I decided I need an umbrella policy for protection. Each property has $500K in liability, but I have a sizeable net worth now and feel I need to be protect above $500k. However, I engaged a broker to find me a policy and they came back with a couple issues. First, I need to have either my home or auto with the insurer to get an umbrella with them (not a deal breaker, but not preferred), but I have too many units. Most underwriters had a limit of around 4 units, we found one that would take 16, but wouldn't insure me at all if I had more, not even 16 of the 18, I had to own less than 16. Does anyone know of an insurer that can do 18+. Preferably without switching home/auto, but I can if I need to. Or am I going about this the wrong way. I don't really want to form an LLC, as there is an extra tax in my state and that doesn't really solve the insurance problem.

I've got a property for sale for $1.2M. I owe $280K on it.  I've been under contract now twice and both times have fallen out during financing. The buyer wants to finance at 20%-25% down and the bank wants 30%-40% down. I just got an offer for $1.3M but they have similar financing terms. I'm thinking about offering owner financing at about $300K down and financing the $1M at 6%-7%. This would give me enough to meet my FIRE goal so I could quit my job. My only worry is, with the market potentially going down soon, especially in the commercial space, what would happen if the buyer couldn't make their payments and I had to foreclose? Do I have to sell the property or could I just take over ownership again? And what would happen to their $300K down payment? If I'm forced to sell what is the value of the property was only $800K after the drop? The goal would be to retain ownership, I just wasn't sure if there's a scenario in which I have to give the buyer back their deposit or at least some of it.

My partner and I bought a 12 unit apartment complex in Tullahoma, TN (an hour outside Nashville). In the process of buying we learned it was built using Tennessee Housing Development Agency (THDA) Tax Credit dollars many years ago. As a part of the grant it is subject the Land Use Restrictive Covenants (LURC) which limits the amount of rent we can charge and who we can rent to based of the tenants meeting some income qualifications. I checked with my property manager before purchasing, and they said they were good with everything need to manage this property. But now that we've had the property a couple months and they are trying to fill a vacancy, they have told us the THDA has a lot of rule and regulations they weren't prepared for and that they couldn't effectively manage the property. So my question is, does anyone know any property managers that manage THDA properties. Is my current PM making too big of a deal out of the regulations or is it really a huge hassle. The main things they complained about were a supposed Certification they needed to obtain and that they had to do a bunch of paperwork for each tenant verifying their income qualifications. Can anyone point me in the direction of someone that can help with this. The THDA hasn't been very forthcoming when I call. I was kind of relying on my PM for this, but with them backing out, I'm worried I'm in over my head. Any advice is appreciated. Thanks

@Amber Goins I'm currently looking into getting my license. Its 90 hours of course work and a test. I buy and sell properties too, so it could make sense for me in the long run. I'll still have to find a broker to hang my license on though.

Anyone got a company for window replacement in Cincinnati? I have an apartment complex with about 60 windows. I got a quote that was around $600/window, that feels expensive to me. Here in the middle TN area its closer to $350-$400/window. Has anyone replaced windows lately in Cincinnati.

@Drew Sygit Your comment feels very patronizing and combative. Of course I will hire an attorney once I go to spin up the business, but free fact finding is exactly what these forums are for. 

I'm growing my portfolio in the Middle TN area. I will soon have 20 properties in my portfolio, which isn't quite enough to justify quitting my fulltime job to self manage, but I would like to take on the properties of some of my friends who also own rentals and start marketing to take on more clients. However, after looking into it, it looks like there's a requirement to be real estate broker in TN, which would require a license and 3 years holding that license before you can manage other people's properties.

So my question is, does this sound correct? Can I not manage without a license? It did seem like maybe I could do much of the property management tasks except showing and negotiating properties, but coordinating payment, repairs, etc I could do. Can anyone confirm?

Also, I don't really have any desire to work as a realtor, is this something where I can just employee a realtor (broker) and that satisfy the requirement. I was really excited about starting this up, but as I started looking into it, there seems to be a lot of red tape.