All Forum Posts by: Roberto Borja

@John Mocker @Ryan Thomas

Thank you both for the great info!

@Matt Leber

Also PMed you an insurance broker. Good luck!

If nothing works, try posting on https://www.fmap.org/index.cfm
Be prepared for the instantaneous onslaught of insurance brokers calling, though. And take down your request when you are done, or it will never end.

Hello all,
I had a duplex under contract that needed rehab. I wasn't able to get any sort of insurance because it needed rehab AND was occupied on one side. Builders risk coverage seems to be for vacant properties, landlord for occupied but must pass inspection, and vacant home insurance doesn't fit the bill either.
Does anyone know of a way to get insurance during the rehab if there is a tenant in place?

@Steve Morris
Steve's point about peeling an onion is one of my concerns as well. Especially the roof being sealed so my inspector couldn't look for more water damage. I'm not concerned with there being repairs, its more the lack of being upfront about them. And what seems like trying to hide cutting corners and poor workmanship. Is there a contingency I should add if I do ask that they make the repairs, so that I can back out if they aren't up to paar again?

@Joe Hammel

Ceiling mold: inspector didn't test for it, but pointed it out and definitely looks like mold.
Fasica: All the fascia needs to be replaced, but likely because there are no gutters on the house. Since the ceiling mold and water damage seemed old and small, it's possible the roof doesn't have much more.
I have it under contract for 105K based on the agent's description of being rent ready, and adding 5-6k for new paint, minor landscaping. It was a 12% ROI not including the equity from the principal payment in that hypothetical. 50K would definitely make it worth it.

Got a property under contract from an agent that is doing the property management. At first, he said everything was functional and livable. Then after going under contract he said they replaced water main from cast iron to PVC without pulling permits. And the roof might need to be replaced soon.

Inspector found the roof had 10 years of life left, but also found the hole to look into the roof was sealed. Also found ungrounded outlets, weak foundation where they replaced the water main, rotting fascia, sealed electrical panel so it couldn't be inspected, mold and water stains on the ceiling (looked old), duct taped holes in the wall and window, and more. Essentially looked like he had an untrained handy man come in to band-aid everything and possibly cover up any shody work.
He offered to have his handymen come in and take care of everything and then have my inspector come back out for cheaper than I could do it. Or I could get quotes and offer a lower price based on the quotes I get.

What should I do?
1. walk away because the deal/agent can't be trusted

2. Use my own contractors even if it costs more

3. Use their handymen and have the inspector check it out afterwards.

Thank you both for the suggestions! We will definitely look into those

Hello all, my wife and I are looking to get started with real estate investing. I am diving in deep into the podcast episodes, books, and blog posts. Just wondering if there are any local RVA real estate meetups to help immerse ourselves further and maybe meet a mentor.