All Forum Posts by: Michael Weis

I just closed on a Land Contract using Seller Financing in Virginia. Virginia has some weird laws, this "land contract" is a cash flowing duplex. I did not have an agent representing me as it was a FSBO and we were able to get to closing fairly quickly. At closing I declined the buyers Title Insurance ($650). I have 30 days from closing date to purchase the title insurance if I change my mind. I had the title search done and everything came back clean. The land trust is bonded by a promissory note being held by the lawyer, a HUD statement was completed and everything will be recorded like a normal sale. I did not think buyers title insurance would be necessary until when/if I refinance with a financial institution. What would you do? Thank you.

I currently have a duplex under contract and just knocked out the home inspection today. Nothing too alarming however to bring the property up to par I will have to put about $10k into it by upgrading the electrical and replacing windows. The overall numbers fall slightly below the 1% rule however that has been the market in the Hampton Roads area of Virginia for quite some time now. My big concern is whether or not I should even be considering buying another investment property right now with the current status and uncertainty of our economy?

Good evening! I've come across a vacant duplex in a prime location. It is not currently for sale and has been vacant for a pretty long time. I was able to find the owner thanks to google and contact him. He is 77 years old with no children. He claims the property has some floor joist / foundation issues and is not financable. He also states he is currently using it for storage. I have no idea what the interior condition is so I am just assuming worst case scenario. Financing is not an issue, I can purchase the property for cash. I dont want to seem like I am harassing this old man. I am considering mailing him a hand written letter trying to persuade him to sell me this property. Any advice or ways to pursue and close this deal would be greatly appreciated!

My plan is to buy a property cash approximately $40k-60k range requiring about $25k-30k worth of rehab with an ARV of approximately $115k once work is complete. Monthly rent in the area I am searching is $1050-1200. That being said after that is complete and I have a tennant, at what point do I get a reappraisal to set up for refinancing, before or after landing a tennant? I understand that most banks willl only give 70% ARV, being that I'm buying the first property cash would this be considered a home equity loan?

My plan is to buy a property cash approximately $40k-60k range requiring about $25k-30k worth of rehab with an ARV of approximately $115k once work is complete. Monthly rent in the area I am searching is $1050-1200. That being said after that is complete and I have a tennant, at what point do I get a reappraisal to set up for refinancing, before or after landing a tennant? I understand that most banks willl only give 70% ARV, being that I'm buying the first property cash would this be considered a home equity loan?

@Jon Holdman @Clayton Mobley so that being said would the tax I pay on a flip or wholesale only be paid on what I clear at the end of a deal? for instance pay $40k for property and rehab for $35k. sell property for $105k minus agent and various fees. is my income for that deal considered $30k or the entire $105k? (sorry I think I made that way more complicated than I had to). also for long term rentals are you taxed only on what you pocket after paying mortgage, management, and other various fees? Will it be necessary to itemize every property come tax time?

@Brie Schmidt @Andrew Johnson @Ryan Murdock. Thanks all for your wisdom and input!

When buying a distressed property for cash, what are some things you absolutely want to do prior to making a serious offer? Is the inspection necessary or would you be better off using the money you would give a licensed inspector to your GC to do a solid walk through with you? Is the pre renovation appraisal necessary? What things no kidding need to be done and what can wait until after renovations to either A) sell for profit B) rent for cash flow C) refinance to purchase next property?

What are some reasons you would walk away from a deal on closing day? Have you actually done this and are willing to share your experience? Curious how often this happens and when it does what type of repercussions can be expected? Some things that I think would make me walk away are previous debt either tax or HOA trying to get added on last minute, Newly disclosed property damage. What are your thought?

looking for a short sale specialist in the Hampton Roads area. preferably Portsmouth, Norfolk, Virginia Beach and Chesapeake.