All Forum Posts by: Russ McKelvey

Thank you Tom.

All: This article shows that Fort Carson actually gains 1800 Soldiers the only base to have a gain.

http://www.armytimes.com/article/20130702/NEWS/307020002/The-huge-BCT-overhaul

I have heard a bunch of people talk about Fort Carson losing a brigade. I am a REI and also a Soldier tationed at Fort Carson. Although we are losing a Brigade. The other three brigades will be adding one Battalion Each. That combined with the Caombat Aviation Brigade actually will result in an increase of 1800 Soldiers over the next 4 years. Colorado Springs will remain strong.

Also the CAB will produce many construction jobs over the next 4 years.

I am new to this and just introduced myself to two of four of my new tenants. Other threads on here and my attorney reccomended your initial letter to be very basic and simple.

Just Hello this is where you mail your rent and please call this number with any questions or concerns.

I had a long letter written but did not use it and now I am glad. After talking with 2 of the tenants today I have a lot more information and can better plan for smoothing out the change of ownership. I have a 4,3,2, and 1 yr tenant so want to tread lightly in the beginning.

Hello BP. Wondering what type of flooring everyone uses in MFH rentals and why.

Looking to replace old vinyl in a kitchen of fourplex but head that tile is a bad idea due to stained grout and other possible damage.

Fine with replacing vinyl with vinyl but I want something durable so we do't have to do it often.

What d you use?

@ Don S. My wife and I just purchased a 4 plex with an FHA loan. We will be living there for a year. Not optimal to move a family with two kids back into the apartment, but okay with us because we are thinking long term. When we took the loan for this house, the lender did in fact verify that we had occupied one of our other properties that was on a VA loan. If we had not, we would have lost the financing.

Also, Integrity is doing what is right even when no one is looking. When you are in business your reputation is everything. No matter where you invest the community is too small. Compromise on something as easy as this and no one will trust or deal with you.

Also FYI. As of 1 JUN 13 FHA the PMI for FHA loans last for the life of the loan, you cannot get rid of it after 5 years as in the past. For us this is 400$ a month, huge cut to cash flow.

We will have to refi when we get to 20% and rates will certainly be higher.

However, FHA and VA loans are assumable. So if you lock a rate in now at 3.25 - 4% when rates are higher you can ell to a qualified buyer that gets to keep your rate.

Ralph R.@Ralph. Thanks for the advice. I think we will just raise the rents to 850 as the newest tenant is already paying that and has been for a year so the others on month to month probably already expect it.

Then 25 bucks next year.

The fires have been crazy the last two years I am sure we will feel it in insurance soon.

As for fort carson, I work there, they will lose a brigade but actually gain 1800 Soldiers NET so that will help.

It is a small world. I have always wanted to visit Alaska, maybe one time when you are in town I can pick your brain about it.

@Steve. Thank you. our priority is definately to move in within the 60 days allotted. I just did not want to give someone notice and then also have another vacate as rents go up. Want to see if someone is already planning on leaving as well.

@ Jon K. Yep probably right about the rent. Our attorney had mentioned the question, but probably more of a due diligence question. Our estimate, the agent, and the appraiser for rent were all between 875 and 900 so I think we are on track. I know $850 is doable because the newest tenant has been paying that for a year. I am sure they are all talking and probably expect a bump to $850. Also will consolidate the questions and just ask what they like most and least. That is plenty of an opening if they have an issue.

@ Ben. Didn't think about how that question might put us in a week spot. I had read the first string before but not the second.

Thanks, headed over to the property in about half an hour.

We are very excited. We closed on our first 4 unit property last week and are beginnig to meet with the current tenants. We have a 4 year tenant, 3 Year Tenant, 2 Year Tenant, and one that is coming up on first year.

The newest tenant is paying $850 all others are paying 800. We need to move into a unit for our loan, but plan to just move in when a unit becomes vacant.

We think the fair market rent is $900 and would like to start heading that way over time.

The question: We want to get as much information from tenants as possible before deciding how to proceed with increases, etc. We value the tenants as they have all really maintained their units well and always pay on time.

We have set up tenant interviews and plan to aks the following questions: What else would you ask?

What questions do you have for us?
What are your concerns?
Do you have any concerns about the Property?
What do you like about the property?
What don’t you like about it?
Do you think the rent is fair?
What did you like about Jim that you hope stays the same with us?
What can we do better?
What is the best time to contact you?
What is the preferred method of contact? Phone, email, text, mail?
Email Address:
Do you plan to move in the next year? If so, when?

I am an Army Major. Just ask for his/her leave and earnings statement (LES) It will show all income. Military pay can be confusing because there is a good portion of it that is not considered base salary and is a non taxable basic housing allowance. If he has dependents this is almost 1700.00 in Colorado. Also he may be going to school as some compete and are funded for short tour to go to school. My friend is an REI and is in Kansas for a year at school and renting.

The LES will tell you everything. PM me when you get it and can show you how to read it. He gets it on the 1st and 15th of every month.

@ Andy. Thank you. The leases currently say they will receive a 30 days notice. We plan to offer 60 days as it is a big jump for at least two of them. We will go with that and probably send via certified mail.