All Forum Posts by: Richard H.

I invest in MA, a very tenant friendly state. There are 2 parts of an eviction process in the state. For part 1 I do it myself. For part 2 I use an attorney.

If the process is straightforward as you say, I’d start the eviction process right away. Do not nag tenants about paying rent. I made this mistake when I took over my first multifamily in 2018. They know the rent is due and they’ll just respect you less and reinforce their believe you’re a weak landlord they can walk over. 

Understand the process and follow the process. 

I think Zoom should work. I've participated in another Zoom REA meeting and thought it went really well.

Hi,

Can anyone recommend a property management company in Allentown, PA?

Thanks,

Rick

Hi,

Does anyone have any experience with Witman Properties or VP Management in MA? Would you recommend either or is there another property management company you'd recommend for Springfield, MA?

Thanks,

Richard

@simon w. That makes sense. Both people who served in that capacity for me were real estate agents who had represented me on transactions.

Right. It just needs to be someone who lives in the area.  That's the only requirement.

Hi Vishwa - I'd reach out to the section 8 coordinator before closing on the property to ensure the tenant is still valid. Then I'd have the tenant sign a new lease once you take over. 

Regardless of whether the lease is with a different owner, it's good to have the lease between you and the current tenant.

@Zach, as someone mentioned earlier, eviction is very state specific. I have properties in PA (landlord friendly) and MA (tenant friendly). My approach to eviction is totally different depending on the state. I'm not sure how Indi is. I'd recommend the letter if he seems willing to move. Do realize though, eviction has to be done 100 percent by the book. If you mess it up, it can be a very lengthy process. 

An MA landlord friend of mine improperly tried to do an eviction before having to hire an attorney. He is already 4 months without rent from the tenant due to not starting the process correctly.

Brandon, your idea sounds solid. I'd only say that you need to not count on appreciation as the area has already appreciated a ton. Interest rates were very low for many years. Home prices are driven in part by interest rates. The lower the rates, the more home someone can afford. As interest rates go up, the price appreciation is less likely to continue. So buy the properties for the current cashflow, potential future revenue increases from raised rents, or things you think you can do to reduce expenses. 

I also considered Newark when I first started. I remember looking at properties that were priced at 500-600k around 2007 that went down to like 300 in the recession and are back up to 500-600k (looked at pricing history on Zillow and Trulia). Point is that prices are back where they were before the recession. With interest rates increasing, wouldn't want to buy at the top of the market.

Hey Nick, I know you said you don't feel ready. But as someone else said, you'll never feel ready for your first deal. I remember that after studying this stuff for about 6 months, I told myself that I needed to study for another 6 months so that I "would know everything." 

Then I had dinner with someone I met at an re meeting. We were discussing things and he owned about 16 units. I shared my knowledge and thought process about waiting an 6 additional months. His question to me was, why wait, I had more than enough knowledge to do a deal. Less than 2 months later I closed on a single family and 8 months after that closed on a 5 unit. 

Point is that I never thought I'd be ready for the first one, but after that you realize that this isn't like studying for an exam where you will know 100% of the material before sitting down for the exam.