All Forum Posts by: Patrick Gleason

Hey BP, 

With our newly proposed casinos being built in Massachusetts shortly, what do you think will happen with property values? Will they rise or will they fall? Do you have any examples of what home prices did in your community? I look forward to hearing your answers!

@Tyler Ansell I'm waiting to hear back from the trustee to see exactly what my role would be. Even at $40 a door it does seem like little to no money for the time required. 

Hi BP, 

Let me first start off by saying how helpful this site has been. Without its members I never would have gained the confidence to get in on the student rental niche. Thank you to all for participating in these forums, you are much appreciated!

Here is my current situation. I am 24 years old, and own 2 student rental properties as well as a construction firm that caters to the likes of Harvard University and Boston College. We do large projects as well as building maintenance. I recently have been asked if I wanted to place a bid in regards to managing a 35 unit condo complex in the Boston area. I have experience with managing small residential properties as well as managing the construction side of commercial buildings. The condo complex is searching for a property manager that will take care of all financials, meet with subcontractors, attend monthly meetings, walk the property once a month, and report to the building in emergencies. With that being said I do have some questions.

At $960/mo to complete these tasks, is it really worth it? Is there much more headaches I will have to deal with than I'm predicting?

What types of things can I bill for? Can I bill them for book keeping? Is a 4 hour minimum to show up for emergencies/ meeting with contractors unreasonable?

Being a contractor myself, is it illegal to keep up the properties myself? (small projects like paining or repair work,  we aren't talking capital projects)

How will I write up a contract and what types of things should I include?

Thank you all for your help and knowledge, 

Patrick 

thanks @Jared Irby and @Victoria Avery. Im looking into everything you guys mentioned because I HATE surprises :). Thanks again!

Bravo, the place looks great!

@Account Closed Thats a great point, I never would have thought of that. So your saying if the condo complex needs obvious updating like new carpet or new walls the HOA can knock at my door and ask for $X amount of money if the HOA finances are not in order?

Hi BP, 

A condo has just come up for sale in my area. The town has come a really long way in the past couple years and being 15 mins away from Boston, that helps as well. This condo complex is a 2 minute walk to the commuter rail and a 10 minute walk to the downtown area (train is 25 mins to Boston). The price is right @ $180,000 but I will try to haggle them down a bunch. With comps going anywhere from $240k-$350k (condos closer to $350k are part of 2-3 family homes) this makes the condo even more desirable. Did I mention they have a pool and comes with an extra parking spot? It only needs a new kitchen, new bathroom, and some new flooring.. all very easy since I'm a contractor and the unit is in great shape. Its a 3rd floor unit with an elevator so you don't have to troop up the stairs. 

BUT HERE IS THE KICKER :(

The hallways and rugs (out of my control ) have not been touched in 20 years. The rug is dirty and the hallways are very dimly lit. The elevator is also outdated. Will a potential buyer completely disregard the beautifully remodeled unit because of the hallways and elevator they just had to walk through to get to their unit? Will my sale price be impacted by these hallways and rugs? Has anyone been in a similar situation as this?

Any feedback is greatly appreciated! 

@Account Closed I'll believe it when they start breaking ground. 

@Eric P. If you do end up putting tile down on the floor it is imperative your floor is dead level and free of debris. After removing the existing floor make sure you vacuum twice to remove debris.  If you put anything larger than a 4"x4" tile they will crack within a couple of years. If the floor is not 100% level, you can use mosaic tiles. I can't guarantee they won't crack but you'll be buying yourself another 5-10 years with the mosaic tiles.

From an investor standpoint, I'd recommend putting hardwood in the bedrooms. Carpets get old, dirty, and always end up getting thrown out. If you get sick of the hardwood color, you can always re stain it. 

Hope this helps, 

Patrick 

@Victor Eng I like how you just painted the kitchen cabinets, saves money and looks like a brand new kitchen. It looks like you saved the original granite as well, bravo. Don't beat yourself up over the floors too much. Theres a flip in my neighborhood going for 675k and they left all the original flooring- Un level floors with 1/4"-1/2" gaps to add "character" which I think is a great response!