All Forum Posts by: Account Closed

Stay vigilant and be ready when an opportunity comes along. The 2% rule is dead in Miami. You would be lucky to find a 1%'er.

You should absolutely continue to contribute. If RE investing doesn't go as planned you will have your IRA as a cushion.

Jason Bott could you share the information for 1M liability coverage for around $120.

I can only speak for Miami, but I would say YES it makes allot of sense down here. Starting in May (for the fall semester) the students start calling every rental home listing within a 5 mile radius of the University of Miami. The surrounding area is Coral Gables with homes between $500,000 to well over $5,000,000. Many owners will not rent to students so the ones that do are able charge a premium. Also, leases are always 12 months so you don't have many vacancies as long as you stay on the same schedule every year.

Just make sure everyone over 18 is on the lease and ideally you have the parents co-sign as well.

I own a rental property on Miami Beach as well. You definitely do not want to renew the lease with the tenant. Many buyers will want to move in right away or keep the unit as a second home. Keep them month to month or if the condo requires create a renewal with a kick-out clause in case of a sale. That way the tenant can be forced to leave if necessary. For residencial real estate we use the comparable sales approach, not cap rates. In regards to valuation, if you send me the property information I would be happy to take a look.

Hi Erick, Welcome to the forum. I live in South Miami and work out of Coral Gables. I mostly buy and hold, but have done a few flips as well. If you want to connect or have any questions about the local market feel free to send me a message.

@Albert D. The seller asking for earnest funds be sent to him pre-closing is not the norm (at least not in Florida). Typically the buyers title agent or realtor hold escrow until closing.

To answer your question you typically have two "outs" in the sales contract. First being the inspection period which can range from 5-15 days. Once that expires and if you are financing you will have the financing contingency which is typically 30 days. Should you receive a loan commitment then decide not to close or be unable to close your earnest money could be in jeopardy should the seller choose to go after it.

I agree with @Account Closed. If they are unwilling to show you the bank statements they are obviously hiding something. 

Hi John,

I own several condos as rentals in Miami. My best advice is to review the past 5-10 years of fees. What you are looking for is big increases in the HOA. I prefer to see stable increases max 1-2% every few years. Also make sure the reserves are adequate for the big ticket items like the roof and elevators.

I would be interested in a meetup.