All Forum Posts by: Ron Flatt

I have inherited tenants similar.  I did find that a lot of traffic usually indicated drug activity.  

I would most definitely carry through with the eviction, make sure your new tenant understands that a 4-plex is a family unit,  that only people listed on the lease should be staying there, and traffic in and out of unit by non residence is frowned upon.  

On my tri-plex, I only have one tenant left.  She has heeded the warning I gave her.  The other two have long since been gone.  

Just stay firm,  remember you can train your tenant or they will train you.

Cut the string on this one.  We have all been burned, it is better to take the blister and move on.  You will find if you keep him on the burn can get severe.  

Make sure you change your locks and get a new contractor.  2-3 week job  I would recommend 30% when job is half finished in your opinion and the remainder upon completion.  

I have not had a problem in basements, (we do not have many here in Central Texas).  However Bathrooms are notorious for having problems with mold.  

Yes I do my own remediation.  I remove all sheet rock, in the room.  I treat wood behind drywall with (do not have name) product from either Home Depot or Lowe's.  I replace any insulation and replace drywall with Green Rock.  I make sure all water leaks, (fresh and drain water).  I put a vent fan that automatically comes on when the light is on.  

I have one unit that had a reoccurence after this.  I visited the duplex late one evening to ask if I could check out the problem.  I went to the bathroom, and it was steam filled.  They were fixing to take a shower, but was letting the shower run on full hot to warm up bathroom.  BINGO- I found the problem.  I informed renter he would need to run a dehumidifier to stop the mold.  I gave him some cleaner and told him, I would check back in 3 months to see if it was stopped.  I came back, I do not know if he is using the dehumidifier but the mold was gone, I did send in Maintenance man to repaint around top of shower.  

I cannot see a negative number on this paying cash.  

HOA $254 and Annual Taxes $1000 and say $500 insurance expenses 1754 which is roughly $150 per month. $980 rent less 10% management fee. gives a $880 per month. Figure a $100 month for repair and 85% occupancy rate. 780 X 12 months X 85%= $8500 yearly income on $70K investment looks good.

My question is the same as other poster why not leverage.  A $42K loan will give you a better cash on cash return.  Should be able to get a super cheap 15 year loan on a 60% loan.  

That way you can buy two.  

Just my opinion.  

Thanks @Michael Rodriguez

I have several rentals now and I am currently trying to buy out partners (family) in a company I am 1/3 owner in.  My problem is found from most lenders, they do not want to consider the 1st liens we have on property we have sold, and they are considering the property that is unsold a deficit instead of opportunity not currently performing.  The rentals some do not like because most are C properties but cash flow great.  

I will check out investors exchange.  Thanks

Has anyone done any business with PrivateMoneyGoldmine.com?   Unsure how these individuals got my name, but they send something almost daily to my inbox.  Seems too good to be true,  but it is a subscription.  You pay them and they provide individuals who loan money in your area.  

Anyone have any dealings with them, or have done business with them?

I was and still am with an investor, (family) who was complaining about her return on at bank.  She has rentals of her own but did not want to buy more.  I made up a promissory note, it is signed by both of us.  She can ask for her money at anytime and I will get it to her within 90 days.

She gets her 6% and I add enough to round up the amount to the next even $100, just to make it lower the principal a little each month.  Last year she was talking about wanting a new car and she had just lost her husband.  I had just sold a property and offered to pay her off.  She declined, said she would use her cash in the bank, she wanted my 6%.  

It is an easy deal for us both. The key is make sure you buy the property right, use the BRRR strategy. She gets a first on the property for 18-24 months. You refinance, then offer to pay her back with refinance money. If she wants to move on to the next one or two properties, just continue as long as it is beneficial for you both.

Most of my rentals have come from tax sales.   It is a great way to pick up some fixer uppers.  I do check, but I have only had one lien come back and it was by the city for demolition of a house.  A quick check at the courthouse takes care of it.  Send me a PM with any questions that I may be able to help with.  

If your single that is true.  You still have options, you can still get conventional or owner financing or find a pard.  

yes, that is why I said wait until you get your duty station