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All Forum Posts by: Robert Hubbard

Robert Hubbard has started 1 posts and replied 7 times.

Post: Buffalo HELOC Lenders

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0
Quote from @Andrew Cosme:

My name is Andrew I live in Buffalo NY and I currently have a single family house and I’m looking to tap in to my equity so I can buy a duplex and house hack. There’s a couple credit unions in the North Tonawanda area I live in but was wondering if maybe someone had a referral I can check out. Please and thank you! 


When I shopped around for my HELOC I found Niagara Choice federal credit union (on packard rd) had the most favorable terms.
Introductory rate at 1.75 for 1 year, after it was 4% plus prime, 15 year draw, interest only. I couldn’t find a bank that had better terms.  Hope this helps. 

Post: First deal analysis, after home inspection. Should I walk away?

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0

Thanks for the insight, giving it a thirty thousand foot view I could definitely find a better deal!  Appreciate it much!! 

Post: First deal analysis, after home inspection. Should I walk away?

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0

I have been doing the research to get an idea of cost and it's hard to determine the ARV bc there's nothing recently sold in the area that was a 2 unit on the nicer end.
also the pricing does not take any of the issues into account  

Thank you for the input!! 

Post: First deal analysis, after home inspection. Should I walk away?

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0

Hey all, 

     Got an offer accepted on first deal and after having the inspection I'm second guessing the purchase so I will break it down.

2 unit 4bd/2bth upper and lower 

PP-130 with 25% down

Originally seller wanted all cash offer for 124k.  They were worried the place wouldn't pass bank inspection.  Cash offer pulled away b/c it has a shared driveway.  They now opened to conventional so I offered 130 with a 2 month post occupancy (they are currently looking for a house to buy).  Inspection revealed that the service line from outside to the panel inside the house has a lot of water damage and you can see the calcium deposits on the breakers.  Looks like its been an issue for a long time.  House also has a single car garage but its a complete loss as the foundation is compromised and the whole garage has a lot of structural issues.  I'm fearful that the garage if knocked down will hurt appraisal in the near future.  Both furnaces are over 20 years old and showing signs that water is getting into them-very possible the chimney needs to be repaired. 

I don't want to lose the deal but struggling to find a way to make it work.  I plan on going back to the sellers and asking for some sort of either price reduction or credit.  Good chance they'll tell me to pound sand.  Any insight or advice would be greatly appreciated 

Post: Student Rental BRRRR

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0
Quote from @Anna Laud:

@Kenneth Gonzalez

Hi Kenneth! 

I think one of the main things to consider in this scenario is keeping your property in it's move in state or as close to it as possible for refinancing- which shouldn't be an issue with quality renters, students or otherwise. 

I also think its probably good to communicate with your lender about your plan here and make sure you're your both on the same page as it would come down to the writing of your loan product terms- and it sounded like you're already planning to do just that. 

With these two things in mind, I'll kind of lay out the best practices for making sure you've got quality student renters in place;

The first thing that runs through the minds of many investors is wild frat house parties and total property destruction - but there is a ‘beyond this’ outlook to it too, and it can actually be a decent idea in some areas.

Most of the time having a buy & hold investment in a college town, you can be assured of a decent size tenant pool- for both student and faculty alike. The draw for students living ‘off campus’ is huge, especially as housing costs mount for some schools (it’s just more logical to rent with others and split costs in a lot of cases).

There are a few different types of renters college towns can provide;

-Typical ‘in session’ student renters

- Year round student renters (usually those out of state or from abroad, or university/residency renters)

- Faculty/staff renters

Your typical ‘in session’ renters are going to make up the bulk of your tenants in most cases, and this can be a pretty ideal scenario. They are in most cases not looking for anything fancy, and a house offered at ‘apartment’ level finish would work in most cases. Meaning they usually have their parent’s predetermined budget in mind, so cheaper is better.

In most cases this means you won’t need to dump in a lot of funds for updates- just the basics that are in good repair usually work. Only in areas that are bringing in more money for tuition (such as private college/universities) would it be considered advantageous to ‘compete’ with a few upgrades (basically keeping renters closer to a lifestyle in amenities they might be used to)

Perks here are -

  • Minimal ‘basic needs’ updates only needed most of the time
  • Rent often paid by someone else (first bank of Mom and Dad in a lot of cases)
  • Never really a need to market property/have scarce renter pool

A lot of folks are worried about the lack of credit history with student renters, worried about property damage and this is the key to help with that;

  1. Add the parents/legal guardians to the lease and screen their credit/background just the same as any other renter
  2. Get the maximum allowed by your state in terms of security deposit
  3. Have utilities paid by renters (this lessens the likelihood of seasonal utilities being out of control)
  4. Use an app/online payment system to ‘remind’ of payment due/accept payments automatically (like AHC deposit)
  5. Use an online (or even via text on group with co-signer) to report damages/issues
  6. Use this same app or text thread to respond to anything abnormal/red flag likes noise complaints, too many overnight guests etc- keeps a ‘report’ in to parents as well and can be used as leverage for offering ‘responsible housing’
  7. Offer a GPA discount; this sounds silly maybe but it takes responsibility to make good grades and carry a higher GPA. Car insurance companies do the EXACT same thing for this very reason- it promotes responsibility. For incoming Freshmen, senior year GPA’s will work just the same.

This covers your property for not only rent payments, but also any damages in most every case.

In terms of what happens during summer break to the renters? This is a time where you can consider Airbnb options as well as your yearly rental income kind of leveling out ‘offseason’ payments. If you’re much closer to campus and know walking distance will allow you to charge more rent than a house 10 blocks away, while purchase price is the same as other said house, use this difference in charged rent ‘in term’ to help offset your ‘off season’ bottom line.

You might consider breaking down the rent in a more ‘per person' way than a monthly flat fee as well- and this can increase your monthly ROI quickly. As this is a common place practice, just make sure you're competitive, and don't overprice yourself out of the running.

One more commonplace thing is to offer a discount for repeat renters- especially those that are in good standing - this would be like a ‘discount’ for signing a new lease agreement at the second semester end of one year, for the upcoming fall semester etc.

Keep in mind too the perk of ‘family’ discounts along these same lines and renting to siblings (again, if you know parents are qualified co-signers- you’re setting yourself up for another good renting situation in most cases)

You could also consider a month to month with another tenant during this time as well- just be sure to let them know in advance and screen them accordingly before going this route. Bottom line is, you can account for year round payments, even while school isn’t in session.

Renting to faculty, out of state students, students from abroad and more of year round (such as residency) students will not carry the same short term renter displacement, but may require a higher level of finish in some cases as this becomes a year round home.

Perks here are-

-Year round rent under the same renter/ as your lease terms apply

-Some renters having supplemented housing stipends paid in the form of allowances, stipends, and other arrangements

-Lesser degree of potential property damage for those in graduate/residency programs (simply based on age and maturity - again, use the automobile industry here in why most car rental places won’t rent below age 26)

-Less need for obtaining co-signers (allowing tenant to solely establish some credit history as well)

When your tenets do move on and out, as a ‘thank you’ for being such great renters for the span of their academic career, it can be nice to offer a letter of reference as well for future renting needs. Informing your tenants you’re willing to do this is simply one more reason to be kind to your property as well as make timely payments. Not needed necessarily, but can be nice to offer!

Hope that helps some and gives you an idea of what to keep in mind = ) 


 WOW Anna!!  You really hit this head on!  Im a new investor in a small/private collage city and your insight is beyond helpful!  Thank you for that full detailed response!

Post: Connections in Buffalo, NY Area

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0

@Thomas Latuga thank you! I reached out to Eric and just waiting to see location and time. Thanks again!

Post: Connections in Buffalo, NY Area

Robert HubbardPosted
  • Investor
  • Buffalo/Niagara Falls
  • Posts 7
  • Votes 0

I know this thread is a little old but was wondering if Buffalo had any meetup’s scheduled. Thanks in advance!