All Forum Posts by: Molly Ronan

If you don't want to read the whole post - I would love to hear your experiences with knob & tube wiring. 

Hi everyone, I need your advice on a 3-family I have under contract. 

$313k offer, was listed for $295k - my market is very competitive right now for multi families. And this property was listed under what I think its worth - comps were at my offer. It is 3,500 square feet, 3 bay garage and shed. Each unit is 3 bedrooms, with kitchen, living room, dining room, and in unit laundry. 

I would househack and live in the top floor and rent out one of the bedrooms there for $500.

There are long term tenants in the first and second floors with rents well under market value. Eventually I would be able to get $1500 per unit. Right now I would be making about $1k per unit after I raise the rents. 

I would cash flow about $100 right now while living for free. 

Issues with the house:

1. A lot of active knob & tube - the whole house would need to be redone eventually. Electrician quoted 30k to 50k - no attic so both ceilings and walls would need to be opened. 

2. Old snowman boiler that would need to be replaced - we do have a lot of state programs to help with that 

Good news is I already found an insurance agency who will cover it - $3100 for the year. No requirements to upgrade. (right now, but who knows with insurance agencies)

My questions:

1. Do I walk away? This house is at the top of my budget. I don't have enough right now for the big repairs. But it sounds like they aren't urgent anyways. 

2. How much do I negotiate with the seller after inspection? 

A bit about me if it helps. I already own a 3-family fully rented with one problem tenant - cash flows very well. Im living with family right now. If I don't end up with this house, I will either find somewhere to rent or try to move into my other unit.

Thanks guys!

Hello,

My first deal was creative - my dad sold me a triplex for $1. But now I have a private loan with him to pay it off over 10 years.

Would banks see this loan as a mortgage? 

Would I be able to get a HELOC?

The details:

Loan is for $205k, 1.12% interest rate, 10 year (I know, amazing, I am lucky)

The house is probably worth at least $250k, maybe more in this market. 

Before I bought it, we did have an appraisal done before I bought it, so I probably would have to wait a while to get it appraised again.

My question: can I get a HELOC even though I haven't paid down the loan yet? Or should I wait until the majority of the loan is paid off? I don't want to pay off my Dad's loan through refinancing because it is such a good rate, so I would have two loans (seller financed and HELOC) on it at once.

Thank you!

Thanks @Will Fraser! That's exactly the kind of answer I was looking for!

Hello!

Are there any property management softwares that do not promote other companies in their app or website for the renter?

I've looked at Avail, it promotes Lemonade and their own credit boosting program.

I've looked at Rent Redi, it promotes U-Haul and their own rental insurance

I've looked at Cozy but now it's all in Apartments.com and I kept getting errors while trying to test it.

I am willing to pay for it. I want it to be as easy as possible for the tenants without showing them other companies. I don't want to be associated with companies or insurance companies I haven't vetted.

Thank you!

Molly

I'm in Hampshire/Hampden county but would still love to meet up!

Hey Logan, thanks for starting this thread! I am also looking where within the 1 hour commute time to Boston to invest, so all these responses are great. I am from the Western Mass area but thought that might be too far. I've been mostly looking at Manchester, but recently have been looking into Fall River and New Bedford.

Going to follow along on this thread!