All Forum Posts by: Chris T.

@Daisy Ferreiras - I agree that credit unions are a great first place to look.  Charlotte Metro and Truliant are both great to work with from my experience but there are lots of other choices as well.

Just a quick reminder and invitation for our next monthly Charlotte networking meetup.  It looks like we should have another great turn out!  

@Sean McKay - it has been a little while since I have rented out through AirBnB but I'd be happy to share what I know.

There is a networking meetup I host for local BiggerPocket members here in Charlotte the first Tuesday of the month, if you are able to make it.

Charlotte, NC REI Networking Meetup - Tues. June 4th

Welcome to BiggerPockets @Sean McKay !

BP is a great online resource and community with lots of active members here in the Charlotte area.  Are all of your units here in Charlotte?  

My realtor just let me know that the city of Charlotte is proposing a few changes to its rental housing ordinances.

While in general I support making sure that tenants have a safe and healthy place to live and owners being responsible for their properties, I do think it is always a good idea to review the changes being made and how they effect us owners. Some of the bigger changes appear to be with the penalties that can be imposed ($100 per day fines up to $500 per day or even jail time).

Here is a link to the proposed changes: Proposed Housing Ordinance Changes

There are upcoming public meetings as well as a survey on their website where feedback can be given. for those that are interested.

I am not sure how the city is trying to get the word out, but I am just hearing about this and I even previously had registered with them as a landlord. Just thought I'd share.

@Emmett Burton - on the surface if the numbers work out well with your conservative assumptions and you are accounting for property management, then it looks like you might have found a good deal.

Be sure to have a good property inspection done during your due diligence.  That will give you a picture for any issues that might be hiding below the surface (electrical, plumbing, foundation, etc.).  

@Tyler Labelle - 5% CoC is a little low, but I understand your thought process of trying to get a higher quality property/tenant. There is value in reducing your time requirement as a landlord.

One thing to be aware of since this property is in SC is the different property tax rates (owner occupied vs investment property).  I don't own any residential properties in SC so I don't know the exact differences but know it can be a substantial.  Since your margins will be thinner you want to make sure you have all the right numbers.

WHAT:    Casual Networking Meetup of local Charlotte, NC area Real Estate Investors

WHO:      Investors of all levels and experience

WHEN:    Tuesday June 4th @ 7pm - (1st Tuesday of Every Month)

WHERE:  Resident Culture Brewing Company, 2101 Central Ave Charlotte, North Carolina 28205

Come enjoy a beer, share what you are doing or hoping to do, and learn from other investors in the Charlotte area! Everyone is welcome and encouraged to come out to meet other local investors. It will be an informal get together with good beer and like-minded investors of all stages.

There are often other groups at the brewery so look for a small "Reserved" sign at the end of a table to help identify the group.

** Please be sure to comment below so even those using the mobile app can know who is coming!  Also, let us know who you are hoping to connect with or what you are hoping to talk about **

@Johnny Situ - I have one SFH coming up for renewal before everything gets a final vote so I think I will be able to capture most of the increase, but will take 2 years to fully capture like you said. If they decide not to renew I should not have an issue when placing a new tenant.

@Pat L. - The issue here is that this is the first revaluation in the Charlotte area in 8 years and back then it was the heart of the real estate downturn.  Tax values are changing drastically from one neighborhood to the next so it is causing large swings in property taxes.  It is hard to gauge what it will do to market rents since we are just learning the millage rates.

Now that Mecklenburg County and the City of Charlotte have announced their proposed new property tax millage rates, how is everyone planning on addressing their rental rates?  Will you increase rates to fully capture the increased taxes?  Will you add on your typical percentage of rent increase on top?

My properties are averaging close to a 50% increase in annual taxes.

Proposed Rates (as of 5-7-19)

Mecklenburg County      $0.6169 per $100  ($0.02 above revenue neutral rate)

City of Charlotte              $0.3481 per $100  (keeping at revenue neutral rate)