All Forum Posts by: Michael R.

I quit my job and bought a few rehabs. Rehabed them and rented them out. I already had a few rentals already. The first year I was self employed I did 5 rehabs. Was alot of tough times and things are getting much better. I currently work part time so I can get health insurance.

i think that might be sec violation

I have a few properties I am going to sell. One I have owned almost one year the other 3 I have owned less than one year. They are great properties but I just wanna sell and clear up some debt I have and put myself in a more secure position. I have heard from other investors as well as my accountant that I should hold the properties for more than one year to pay less taxes on the sale. I never asked my accountant why (well maybe i did but i forgot) because I was not planning to sell at the time. So is this true and if so what is the reason?

Also another question is if I sell and finance the sale do I have to pay all of the taxes on the sale up front in the year I sell the property? Or do I just pay taxes in the year the payments are recieved?

Remove the spigot. I do this on all my properties. If it leaks the tenant wont tell you anyway and your bill will be huge. Also some tenants around here have been known to run car washes out of their yard which again will drive up your bill

Joel,
I do not have a pic of the property. I know the area well and bought 2 last month in the same area. Utilities are cheap I only pay water. Also the properties are assessed at a fair value- this one is assessed at 21k. Roof is 7 yrs old or so and has the typical deferred maintenance all these house have that are owned by out of state owners.
It is not a war zone. I have bought in the warzones in the past and am no longer doing so. This street is pretty quiet and has lots of owner occupied properties. The biggest issue is the tenant pool isnt the greatest so you might have 1 eviction a year maybe.
I will be going by this week i can take some pics and post them if you want.

While lots of pms here mark up repairs 10% what is the incentive for them to accept the best bid on a job? The higher the bid the more they make in terms of mark up. For this reason if I use a PM I always use my own handyman. This way the pm knows he cant make up repairs and I cut my repairs and maintenance costs significantly.

Ended up at 9k. It is a duplex rented for 900 a month. needs about 1k in repairs. Might end up being a halfway decent deal after all. When I started a few years back I always asked if it was listed. I do not know why I stopped but from now on I will be asking again.

Well the property was listed for 12k and been on market 280 days. Realtors here use a flat fee commission due to the low price of the house. That is another reason why I do not use a realtor. Sometimes the commission can be 1/3 or higher the sales price of the property.

I have low income rentals. I just make sure no paint is peeling, look for anything unsafe, and checks smoke alarms and co2's. Then just let the inspector come and make the list of repairs he wants. Dont worry to much about it just do the minimum and then work off the list he gives you this way you dont fix anything that might not been needed.

Thanks for all the great responses. The seller is tired of the broker asd she thinks he did not do enough to bring her buyers. Its been on the market a long time and the seller told me just send me the contract I dont care what the broker says. That being said I talked to the broker and he will reduce the commission by almost 50% so I made my offer though him. I explained to ther seller that I would rather go through the broker at the discounted commission rather than around the broker and have the broker sue her for full commission. I did not raise my offer it is a cash purchase and I will not pay her closing costs. She will have enough after closing to cover everything and I do not have to have a bad name from the broker who thinks I did him wrong.