All Forum Posts by: Nick Macklin

@Lesley Resnick it's 32209 so not an amazing area but the numbers work out pretty good. 732 Westbrook rd.

@Rodney Robinson Jacksonville, FL. I just recently had a Permanent Change of Station to Southern MD but have spent 6 of the last 11 years in Jax.

I have had it rented out for 2 months now and the rent is 800/month. Property is a 3/1 at just over 900 sqft.

@Jake Stuttgen Thanks! It was really a pretty small project but something to get my feet wet on the strictly investment side. I have a few other projects I'm working now that should pan out even better!

Investment Info:

Single-family residence buy & hold investment in Jacksonville.

Purchase price: $22,000
Cash invested: $5,000

SFH purchased through seller financing with 2k down 5.25% and amortized over 5 years. Financed rehab with 3 year private loan. Doesn't cashflow much now but total cash invested is 5k, it will cashflow decently in 3 years and I will own outright in 5. First rental property that I did not also live in myself at some point.

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

The ultimate cashflow and low initial capital investment.

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

Craigslist and patiently waited for seller to decline larger investors lower offers.

How did you finance this deal?

Seller financing and private loan for the rehab.

How did you add value to the deal?

New roof, flooring, countertops, and paint throughout

What was the outcome?

Own it currently with no plan to sell anytime soon.

Lessons learned? Challenges?

I paid too much for the rehab. Contractors are just as much a piece of the puzzle as the initial purchase.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I did this deal for myself to minimize closing costs on the seller's side. If you are comfortable with contracts and paperwork this may be a tool you can use if it makes sense. Otherwise I use a licensed Florida agent to make it easier on myself especially since I live 700 miles away from my preferred area.

Ive been mailing homes in that zip code recently. I think most homes in the area should rent fairly quickly but I have no experience personally!

Im crunching deals all the time so feel free to reach out to me if you like!

Thanks, I was considering the prorated amount as well.  Either way I'm pretty sure it will consume their whole security deposit.  Thanks!

I'm sure someone has run into this issue so I figured I'd reach out but first a little back story.  Tenants signed a 1 year lease in July.  Paid rent on time if not early every month.  A few months ago they asked if they could replace the carpet in a few rooms at their expense.  Didn't know if they were staying for a while and I said I would be ok if they did everything so it all matched, but I never heard anything more until they said they were hoping they could get out of the lease early.  I took it as a chance to get more rent and placed it on the market and had it rented in 1 day (should have asked for more rent in hind sight).  They then started asking for their security deposit early because they needed it for the new place.  Of course I explained why that could not happen.  

While showing the place I noticed some coloring on the walls and what I thought were marker stains on the carpet.  They fixed the walls but the carpets are pretty bad after only 6 months.  I found out many of the stains are kool aid and probably won't come out.....  They are in every room.  I had not planned on replacing the carpets for quite a few years but now I will have to if a cleaner can't get them out.

My question is:  How much of the deposit can I legally count towards replacing the carpets now if the stains don't come out?  Also, on a side note, they smoked in the garage even though the lease states "no smoking on the premises" and when I showed the house it smelled like cigarette smoke in there.  Thanks for the help!

Hope to see you all there today!  Don't worry there is also a Facebook group as well with more coming!

I think some of it is that I intend to make it a 4 bedroom and the scope of work didn't show that clearly.  Also looking back through there were some sales recently that make me think it actually will appraise for right around there.  Tough to tell though... Might chalk this one up to a quick learning session.