All Forum Posts by: Jamie Engledow

It worries me thst the neighbor said, "if you dont do something about it, something bad will happen".  Was that a threat?  Or an observation?  Unfortnately I don't think you can really do anything about it without evidence.  And you have good advise to the neighbor when you told them to call the police regarding potential illegal activity.  Without proof of illegal activity I would figure you have no further obligation to act.  Note-all of the above was just my personal opinions, no expertise to back it up.

The purpose of the analysis is to see if it is a good investment, so yes, you would run the numbers as if you were renting out one side.  You need a place to live and that is a personal expense, not an investment.  If you were renting both sides out, you would still need a place to live where you would be paying market rent for being a tenant of some other landlord.  I probably did not explain well, if I figure an easier way to explain, I will update later.

@Robert G.  That makes sense.  I commented previously without thinking as I do not know the good or bad areas in Miami.  I will zip it in the future for markets I do not know.

yes.  Introduce yourself as their new landlord.  In you letter be friendly, but firm.  Let them know you are readily there to address their needs in connection to the property (unless it will be managed by another company and in that case refer to them).  Inform them where to contact in various situations.  Inform them where to send subsequent rent payments.  If you desire to change their rental terms let them know, and as rule of thumb as each state or county,s regs may be different, give them 90 days from the purchase of the properrty until your nee rental agreement comes into effect.  Send a copy of the proposed rental agreement and request signature or rebuttal before 60 days.  If they do not sign that leaves you with 30 days to decide how to proceed in event they do not sign. If at any time they becime 15 or more days late, begin eviction process.   I am a softee, so others may suggest stricter guidelines.

I think cash flow is the best strategy for investment in rental properties.  However, in my case I want to purchase a duex through fourplex for myself and children to reside in and therefore it must be in top school rating area, so I just restricted myself to an A neighborhood.  In todays market even if someone was renting out my unit, I would probably still negative cash flow $100 or so.  Maybe not a smart idea, but I criss fingers for appreciation!  But, for future investments I will focus on only the cash flow, no matter the neighborhood rating.

I have seen many multifamily in miami under 200,000

If they are month to month trnants, senf them your letter ASAP.  Include were to send payments and your updated month to month lease rules and requirements.  If you desire more long term 1 or 2 year lease include verbage for any incentives to that.  Key is, notify in writing.

This stinks that she has no rental contract.  As others have posted first get rental agent to access fair rental value.  Then if not comfortable yourself, hire attourney to compose commercial lease agreement.  If current tenants agree and pay, great, if not know that you can get higher rents from future tenants!

Oddly, I have seen many affordable multifamily in Miami even though their is all this hype about outrageous prices.  I have been looking for an affordable duplex to quad with each unit 3 or more bedrooms in preferably Boca Raton, but will settle for Wellington. Well, a duplex in Boca is over $500,000.  In Wellington if I want to hasssle with foreclosure a duplex $380,000.  A fourplex $900,000plus.  I have seen a multitude of Miami listings for far less, but since I want to owner occupy and Miami is not where I want to be, I exclude, but I envy the lower prices In Ft. Lauderdale, Pompano, and Miami.

And neil has a good Odea.  I always can fond perfect cabinets for a discount at the Restor store.