All Forum Posts by: Randall Jacobs

Are there any other good threads running on this topic?

At the moment I have only one tenant in my SFHs with problems, but I expect more. (My MFH's are another story. I have partners and professionals with my MFHs, so that will be determined later and probably handled differently.) I am just looking for a reasonable solution that can get me by until the situation changes. 

I don't know about the rest of you, but all of my insurance policies indicate that they will not pay if the property sits vacant for over 30 days. Loss of insurance could affect my loans, so I am a bit nervous about that. I am positive that whatever the Government does will be favorable to tenants and the Big Guys and leave us Little guys hanging in the breeze, just like the last crisis, so we do need to be pro-active.

I am just looking for ideas.

Randy

Like it or not, we and our tenants are in this together. I have had both good and bad tenants. Most of my current tenants have been with me for 5+ years and they have been good. Being a hard-*** is not going to benefit anyone. Evicting good tenants is not going to benefit me or my tenants. How is having an empty property going to benefit me? Finding new tenants during this situation is not going to be easy.

I am considering a loan-type situation and would like to get some input. Currently, I can afford a 50% reduction of rent for probably 4 months. I am thinking that when and if my tenants approach me, I can offer a 50% reduction in rent for "X" months, providing that they sign a loan for the difference in rent. That loan would be payable in 1-2 years after the cessation of the discount. I would probably charge a 9% interest rate. The end result is that I have offered a reasonable solution for both of us and I should be able to recoup some of my losses. 

My real fear is that the situation can get much worse and last for a long time. The government (Progressive JP) could kick in and end eviction until the end of the situation.

What do you think???

Randy

I have a 4 property portfolio of single family homes in Harris and Galveston counties. These homes are 12 years old, in good condition, occupied and have been cash flowing since day one. They would be an excellent investment for out of state investors or anyone wanting income right out of the shute that's not wishing to do remodeling, make readies, marketing, etc. This is a stellar opportunity for someone considering a 1031 exchange. 

If you want to hear more contact me at [email protected]

This is for principals only, no agents,  scammers, dreamers or others without sufficient capital or credit. 

I have a portfolio of 4 SF properties I would like to sell in the Houston TX area. I would prefer not to deal with agents or other middle men. Is there a way I can do this on this forum?

I have a SF for rent in Bacliff. This week I got a call from the Galveston Sheriff's Department. They told me that they had apprehended a wire thief at another location. The thief had an extra key on him and they determined that the key belonged to my property. I met the deputies at my property. From our joint search everything looked OK except that the electricity and water had been cut off. The deputies left and I proceeded to turn on the water and electricity. I turned on the water and noticed that all the faucets on the property were on including the pop off valve on the water heater. Once I got all the valves shut the water was fine. I then went to the breaker panel and flipped all the breakers on. NO ELECTRICITY! I called my electrician. He came out the following day and informed me that the thief had removed the breaker cover and clipped ALL the wires. They weren't going to be able to get to it for 2 weeks and it was going to cost me 3 Grand! Luckily my insurance is going to cover it. In taking with a Deputy, the MO on this guy is that he would find a property with a lock box. He would then Jimmy the lock box and take the keys for later use. Warning, you had better check your lock boxes for signs of damage. I found that I could pop most of mine with a screwdriver in 10-20 seconds. Can anyone recommend a more secure lock box? Be careful out there 😉 Randy

I have a SF for rent in Bacliff. This week I got a call from the Galveston Sheriff's Department. They told me that they had apprehended a wire thief at another location. The thief had an extra key on him and they determined that the key belonged to my property. I met the deputies at my property. From our joint search everything looked OK except that the electricity and water had been cut off. The deputies left and I proceeded to turn on the water and electricity. I turned on the water and noticed that all the faucets on the property were on including the pop off valve on the water heater. Once I got all the valves shut the water was fine. I then went to the breaker panel and flipped all the breakers on. NO ELECTRICITY! I called my electrician. He came out the following day and informed me that the thief had removed the breaker cover and clipped ALL the wires. They weren't going to be able to get to it for 2 weeks and it was going to cost me 3 Grand! Luckily my insurance is going to cover it. In taking with a Deputy, the MO on this guy is that he would find a property with a lock box. He would then Jimmy the lock box and take the keys for later use. Warning, you had better check your lock boxes for signs of damage. I found that I could pop most of mine with a screwdriver in 10-20 seconds. Can anyone recommend a more secure lock box? Be careful out there 😉 Randy

If you you satisfied with the apartment, I would go with the investment property. Just don't over buy.  Go for something that will cash flow at $1000 - 1500 per month.  That range will rent easily. Stay away from condos. 

Randy

One word of caution.  If you want to rent your property quickly and keep it rented, you need to price your property @$100 below HAR rents. 

Randy

Some commute,  but most work locally. Deals are everywhere, not just in the ghetto.  You just have to diligent and patience. 

Randy