All Forum Posts by: Mike Bellevue

A question for the BP Community.  

I listed an income property for sale.  3 days later received full price offer, with loan commitment letter.  Completed inspections, appraisal, minor repairs, expedited vacating tenants at request of Buyers Agent...waiting to close at this point.

Two Days before closing, We are asked for a 30 day extension to extend closing and paid $1000 to do so from Buyer. We learned the Mortgage broker who provided the loan commitment had the Buyer in the wrong loan type?

Two days into the extension, I learned the Buyers Agent has rented the Buyer a home owned by the Buyers Agent on a one year lease, with out disclosing any of this info.  

There was also a lot of questionable things coming from the loan broker, who works side by side in the same office as the Buyers Agent during the extension.

Ethics have always been loose and fast with the local realtors and now ‘in-house lender’.  I am interested in learning how others feel about this and how they would handle this issue.  Thank you.

My thought process was to cull two older, remodeled units before they would need upkeep or additional maintenance.  I have not utilized a 1031 exchange yet, but was considering trading up to other properties.  

When you talk about using the equity in the houses to buy more properties, what is the best method? HELOC? Any other insight?

I own multiple rental homes, and commercial retail properties.  They are all paid for.  The residential properties all have great tenants that pay rent on time, take care of the homes, etc.  

A typical rent scenario looks like this:  Rent $800.  Tenant pays all utilities, landlord pays property tax and hazard insurance.  Insurance and property taxes cost me about $100 per month.

The market is a currently a sellers market, there are no listings on the board at the real estate office.  I was approached by a local real estate agent who inquired about my interest in selling some of my rental homes, as he had buyers and no inventory.  According to the agent, the two properties I would be interested in selling, would bring $150k and $165k.

Here lies my question.  Is it better to hold the properties as rentals, or sell the properties?  

John Lynch, John Lynch Construction is great.  He has done more than 15 roofs for me.  Affordable, fast, clean, quality work.  

@Derrick Burtle I buy, remodel, and hold. The majority of my offers are much lower than asking price because they need a lot of work. I have encountered this many times. I tell the agents like this: Your job is to present the offer. You can present that offer in writing, or the next agent can. I had one agent tell me just that, and refused to write the offer. I walked to the cubicle across from her, asked the next agent to write the offer. She did and the deal was signed around 3 hours later. You know your numbers, don’t let agents change your mind. Their job is to submit the offer.

I recently subdivided a prime 1 acre parcel in our small town into four additional lots. The sites are perfect for small single-family housing- close to schools, shopping, downtown, etc. I typically finance all of my projects out of pocket. I am looking for insight on the best way to finance development of these properties. Should I be speaking to lenders up front and build spec? Should I advertise the lots for sale with a build to suit option? Do I use a realtor to advertise the properties and homes to be built or do I advertise myself? Thank you in advance for your response.