All Forum Posts by: Nathaniel Wenner

I purchased a 4-plex back in June with an FHA loan and the intent of occupying a unit. upon taking ownership, the unit I was planning to occupy needed extensive cleanup, and I have not been painting and preparing to put in new flooring. I am wondering if I still need to be living in the unit while I am doing these repairs because of the FHA loan or if I can move out until the rehab is done. Any help would be great! Thanks!

I purchased this property in June 2022 and inherited 4 tenants. 2 have since moved on and 2 remain. 1 tenant recently complained of mold in her unit. There was no indication of this on the home inspection and she has not brought up the issue before. She just signed a new lease (1 year) at the beginning of August. The lease states that she agrees to the condition of the unit but she has failed to fill out a move-in checklist that was provided to her. I got a quote to repair/clean up the mold 2 days after her initial complaint and am planning to have it repaired sometime in the next week depending on availability. Mind you it's $3,000. She has since asked me to deduct the cost of her at-home test from her late rent fee and I refused as the lease states she is responsible for items in her unit costing less than $50. She has since threatened to go to an attorney since she claims the mold has been causing her to miss work, causing issues with her son's health, and has racked up "extensive" medical bills. Is this something I should be concerned about as it was an inherited issue I was not aware of?

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $112,000
Cash invested: $20,000

Small cash-flowing single-family home.

What made you interested in investing in this type of deal?

Cash flow.

How did you find this deal and how did you negotiate it?

MLS. Through an agent.

How did you finance this deal?

Traditional bank financing.

How did you add value to the deal?

I increased rents.

What was the outcome?

Successfully holding.

Hey @Brian R. How has this property performed for you over the last few years? I am an investor from the Mankato MN area but am looking at a property in Owatonna. Also, I am curious if you found a good property management service in the area for your property? I'd love to connect with another local investor so feel free to PM me as well!

Kyle, 

Thank you for the input! The issue I am having is these are long-term tenants (since 2013) and they do not plan to leave the unit any time soon. I have a current seller-financed loan but would like to get the property reappraised and refinanced. I would also like to raise the rents but in order to do so, I will need to improve the property. These are all reasons that I would like to try and do the work without having the tenants removed. Do you have any further advice?

Hello! I recently purchased a property that has tenants in place under a lease but I would like to do some work on the interior of the house. I am curious if anyone has advice on a method to rehab a property while letting the tenants maintain their residency in the home and keeping the tenants happy? I would like to refloor the main floor of the home (672 sqr ft), put a fresh coat of paint, and clean up the only bathroom. Any thoughts or suggestions would be great!!

Investment Info:

Single-family residence buy & hold investment in Saint Peter.

Purchase price: $95,000
Cash invested: $19,000

A single-family home that is currently rented and in the process of a slow rehab. Currently purchases with seller financing and hoping to refinance after rehabing.

What made you interested in investing in this type of deal?

There was a good price and seller financing.

How did you find this deal and how did you negotiate it?

I found the deal through a family member and the deal was negotiated directly with the seller.

How did you finance this deal?

It was seller financed for 25 years at 3.5% with a ballon at 3 years

How did you add value to the deal?

Cleaning up the property, fixing the basement and small interior remodel.

What was the outcome?

Still in the process of rehabing.

Lessons learned? Challenges?

Learning as I am going.