All Forum Posts by: Jack Pomerantz

Thanks Matt and Steve.

You are right.  Question is unanswerable without stated goals.

Goal is retirement in 4-5 years.  Rented, the properties will supply about 40% of required cash flow.  I am OK being a landlord.  

Properties were bought for cash.  This used up 70% of immediately available equity.  The remaining 30% and/or the equity in the property must be leveraged to generate the remaining 60% of retirement income.

They are unseasoned.  They were purchased in October 2018.

The HOA allows for rentals with minimal 60 day leases. We are working to change the bylaws to allow shorter terms but I am uncertain if STR is practical. Also, I am not sure I want to deal with that as a retiree.

I have no Fannie Mae loans

Thank you for suggestion about lease to own.  I hadn't considered that.

Deal came to me as pocket listing from my realtor.

Thank you all for your thoughts.

9 newer condominiums purchased for cash at 40% below appraised value.  

 What is the best strategy to free up cash?

Sell off enough units to recoup expenditure?

RE-Finance at appraised value?

Only 2 units are rented out.  I think I could rent them all out at a 6% cap rate with no problems.

Thanks for any advice.

Could be cheap to set up if you used tax sale lots..

This is my experience from Hurricane Katrina now 13 years ago:

Properties in nice neighborhoods were available at hurricane sale prices for cash buyers.

Fairly extensive rehab was required but 13 years later those properties are now worth 2 - 3 times purchase + rehab price.

Not a get rich quick scheme but for those with cash and patience it was a once in a lifetime (we hope) opportunity.