All Forum Posts by: Michael Kiley

@Abraham Bakongo 

"Turnkey" means that you just turn the key and move right in. It's a house that needs no work. After I rehab a house I sell it to an investor looking to buy turnkey. They tend to be a safer investment since there are less things that will need replacement but you will usually pay top dollar to buy one. People who make good money at their day job and don't want the hassle of buying a fixer upper tend to favor turnkey. 

Hope that helps!

A friend of mine is an estate attorney and he had a fixer upper he needed to sell. I bought it for 22k and sold it 3 months later for 70k. I had another friend who financed the entire thing. It was a no brainer since the fix up was mostly cosmetic and every house on the street was exactly the same so finding comps was easy. 

Buying your first deal is the toughest because there is a mental obstacle to overcome. Once you successfully complete the first one, they all get easier because you have something to compare it to and you can build off the lessons you learned on the first. Do the first one right and you will be an addict forever :)

Best of luck!

Private message me. I'd be glad to answer any questions you have

Yikes! Those are some rough areas. I couldn't help you there but if you were looking for a small company that manages on Cleveland's westside or suburbs.

@Jeffrey Cline 

I built a tiny house on TV for Tiny House Nation :) I'd love to see a tiny house community going up near me! Personally, I think it would be so cool to see an entire subdivision with 600 sq ft or less homes on foundations and built with far better standards than their McMansion counterparts. Perhaps it could have a centrally located community garden and solar panels to power up the street lights etc.. 

I always strive for win-win. You have good tenants who pay market rent (more or less) and are willing to sign a 2 year lease...one thing I really like about keeping good tenants is that your vacancy rate will be a big fat ZERO for the next 2 years! 

Sorry I missed this!

@Deirdre Callan You want to cancel the contract because your buyer has increased the value of your home. Although it was risky for him to do that much work before title transferred, he believed in your integrity to close the deal. I couldn't live with myself if I did that to someone. Without your integrity, you have nothing. Do the right thing.

So you'd have 275k in to it and be generating 3000-4500 per month? Sounds like you'd be doing better than the 1% rule and could potentially have a small down payment. Also, you would no longer be a renter. You know how the property is run since you live there and it sounds like it's in an appreciating location. If your landlord is retiring, he probably doesn't need the cash right away so perhaps, he might be willing to finance part of it too. If not, you can get the best terms from a conventional lender since you would be living there. 

Be careful getting a loan in your name and transferring it to your LLC. It can trigger the "due on sale" clause and a lender could demand you pay the loan balance in full.