All Forum Posts by: Priyanshu Adathakkar

@Chris Rizzo I am assuming this is not a single tenant building with you the only tenant? If that is the case, properties like these are not valued based on comps if building A is priced at $X, it does not mean the property next door that is exactly the same in characteristics is also worth the same. The price depends on following: Vacancy, CAP rate, quality of tenants, quality of leases, amount of deferred maintenance and other such factors.

As long as you are willing to sign a long-term leases (ie. quality of lease) you can always get good deals anywhere. The long-term lease and your option to renew play more to the advantage to the landlord and to the quality (price) of the property then it does you.

Yes forming an LLC to buy the property and then leasing space back to your other entity is always advised.

Pri

Form an LLC and transfer the properties to that LLC. This could be a single member (you) LLC. Now you have a US entity that owns the property..

An agent is responsible to screen and monitor people who enter your property. If that is not of concern DIY. 1 month rent as commission for a residential property is standard, exclusive agency is also standard for most agents especially if they are good at what they do.

You are playing with fire, are a few dollars worth risking your license for? Regardless of the State, check the National rules/laws. Good luck!

Regardless of the sublease the original is responsible having said that if there is somebody that is in the property without your knowledge or approval (the sublessee) he/she/they are  trespassing regardless of their relationship with your tenant unless they are guests visiting for a short duration and not using your property as a primary residence. ou can throw them out and evict/sue your tenant for breaching the lease.

Is it a flag? If yes any PIP involved? if yes when and how much? If you are confused with these terms, you are way over your head! Running a budget property is hard, hands-on, full-time job. It is not meant to be a passive investment.  If you want to still buy it get help from a professional with experience, the purchase contract itself runs into about 40 to 80 pages, just to give you an idea of the complexity. 

It is your money to waste, appraisals are valid for about 6 months but remember appraisals are a personal opinion of a licensed professional trained to provide such opinion. If something changes in a month from the appraisal that might change the value of the property, let's say the city announces that it'll put a park in the neighborhood and this causes the value of your property to go up, you will be stuck with the old lower rate or will have to appeal the appraisal.

@Branden Irvine Hi Branden, I look forward to meeting you tomorrow! Best Pri.

Lease is a contract, if they commit for 12 months, they owe you rent for 12 months, however if they leave in 3 months and you are able to re-lease the space in the 4th month they can be let off. If you are able to rent it in the 6th month they owe you 3 months rent. I think you get the picture. If you have paid commission to a real estate agent to get you this tenant, they owe you the prorated commission too.

Too risky, regardless of the state you are on shaky ground. Be cautious always, that is my philosophy. I know many would disagree.