All Forum Posts by: Nick DiTommaso

@Chris T. Thanks man! i will certainly give this book a read!

I am reaching out for any book recommendations that have more in depth detail to Real Estate Investing. Detailed Books or Audio Books that have more information on What To Do, How To Do This, or Where To Look, etc... giving more situational advice.

I've read Rich Dad Poor Dad along with other books just that have the same emphasis for motivation to investing, even read BP's book Rental Investing which had some detailed information. I do listen to BP podcast too.

Currently I just started reading, Buy It, Rent it, Profit by Bryan Chavis. It has more detailed information on the investing and the landlording process. I am liking it so far with a breakdown of minor things that could make a difference.

Any other book recommendations that have more detailed advice and instructional material in investing and landlording?

Thanks!

I am reaching out for any book recommendations that have more in depth detail to Real Estate Investing. Detailed Books or Audio Books that have more information on What To Do, How To Do This, or Where To Look, etc... giving more situational advice. 

I've read Rich Dad Poor Dad along with other books just that have the same emphasis for motivation to investing, even read BP's book Rental Investing which had some detailed information.  

Currently I just started reading, Buy It, Rent it, Profit by Bryan Chavis. It has more detailed information on the investing and the landlording process. I am liking it so far with a breakdown of minor things that could make a difference. 

Any other book recommendations that have more detailed advice and instructional material in investing and landlording?

Thanks!

@John Leavelle

Those are listing prices and multiple comps are listed in the area around 175K.

One Unit will rent for $1,000 and that mortgage payment does includes PMI.

Year 2 would be renting both units and would Cash Flow of $300 /month.

@Andrew Campbell

I am aiming for 3-5% down, nearing $5,000. The 10K comes from that down payment and an extra $5,000 towards any appliance or R&M. I am looking to put in as little to start with just to have a better return on cash. 

Looking a 2 decent duplex in a town near by. Good low crime and great school district, I am focused on this area as local restaurant chains are building in this location.  149K and 135K, Both 2/1 and 135K needs some updating.   

But after running the numbers, estimating the tenant to pay certain utilities, not including Garbage/Lawn, and having variable expenses of Vacancy/R&M/CapX is at 30% of rental income, conservatively high, cash flow does not look too profiting to me. 

Plan on Year 1 to occupy one unit and rent the second unit, but Year 2 I would be saving to move to a SFR. After mortgage calculating and estimating the rental rate judging from the rental rates in the area, I would only cash flow around $300. Is this reasonable?

With all the factors accounted form has anyone had similar outcomes? A mortgage would be around $1050 when putting 4% down and having a conservative rate and renting would be somewhere around $1000 for that area, maybe a little more depending on the condition of the duplex. 

I am a conservative person saving for those rainy days or big fixes so I could assume that's why I could be cash flowing low. Return on Cash comes out to 0.2. 

$300 in positive cash flow on Year 2 and the invested would be $10,000+$8,000=$18,000. $8,000 being the amount paid on mortgage Year 1. 

With all these factors, what could I do to better cash flow? Lower Mortgage payment, lowering expense, higher rent? Any advice or experience knowledge can help.

Thanks!

After multiple calculations on multiple duplex properties in start of my investments, I have noticed I wont be cash flowing. Occupying 1 unit and renting the 2nd unit has only equaled out the tenant paying a good chunk of the mortgage payment and leaving me paying for the rest. Now this will be my first home and going through FHA. I am more focused on putting a small amount down payment and having some money in reserves for any extreme emergency compared putting a larger down payment.

After doing the math, calculating rent expenses, vacancy, R&M, CapX and considering all the possibilities in my analysis, I would still be paying a portion of the mortgage payment every month, anywhere from $150-275 per month. I would eventually be renting the 2nd Unit after a year, but does this seem common? I would certainly have W2 income coming in and seems great that someone is helping pay my mortgage, build equity and setting myself up for future success. As though I would not be immediately cash flowing, does this analysis seem a great choice?

I currently shared a discussion about a Duplex I was interested in to purchase and wish to occupy one unit, but the property is being sold with both of the units occupied with tenants. I am composing a letter in reaching out to the seller (found their mailing address online) about the tenants lease and any additional topics I could speak to them about. Can anyone be of assistance of how this letter should flow?

Here is my rough example,

--Dear so and so

I have recently come across your property for sale and am very interested in your property located at ______ .

I would love to take a moment and speak with you about this property at your earliest convenience.

Email:

Cell:

Looking for forward to speaking with you,

Sincerely,

I am looking to be short and direct in this letter in pursuit to having a call back, and bring up topics about the lease agreements and reason for selling if they do call.

Any advice can help, Thanks!

I currently shared a discussion about a Duplex I was interested in to purchase and occupy one unit, but the property is being sold with both units occupied with tenants. I am composing a letter in reaching out to the seller (found their mailing address online) about the tenants lease and any additional topics I could speak to them about. Can anyone be of assistance of how this letter should flow? 

Here is my rough example,

--Dear so and so

I have recently come across your property for sale and am very interested in your property located at ______ .

I would love to take a moment and speak with you about this property at your earliest convenience. 

Email:

Cell:

Looking for forward to speaking with you, 

Sincerely,

I am looking to be short and direct in this letter in pursuit to having a call back, and bring up topics about the lease agreements and reason for selling if they do call.

Any advice can help, Thanks! 

I feel i am in the same position looking at a duplex, judging if its worth. I recently watched a bigger pockets Youtube video the other day, i forgot the title but its about the 4 square calculating a rental property. The major point I received from that video and from the looks of your position is that if it fits your needs and goals. Considering your position on short/long term goals its really up to you choice. I'm my current calculation for a duplex I can see a few hundred dollars coming in monthly but I know equity will grow. 

I am not a veteran, but spend majority educating myself for my first purchase and one advice I have been obtaining from podcasts, audio books and friends is that is to just jump in a do it. You really wont know how if its worth it until you try, but being smart and calculating like you have is ideal. The first property is a experience for next set of properties, that is if your goal is to continue for multiple properties. 

I have been actively seeking to purchasing my first home, and I am specifically looking at duplexes to live in one unit and rent the second unit. I came across a great looking duplex, in a great town near me. The price is a little above my liking but has been on the market for 7 months so I think I have some room to negotiate, but the only concern is that BOTH of the units are tenant occupied. 

I did some research and found the seller's info and was looking to contact him, most likely by mail, to speak about the lease agreements he has with his tenants. 

Has anyone experiences a situations like this OR know how to pursue this type of situation? I have never come across this type of scenario when learning about rental properties.  My guess would be to wait until one of the tenant's lease has ended to obtain a unit if I was to purchase this duplex. 

Thanks!

-Nick