All Forum Posts by: Sahand Banisadr

Hi all,

I'm newer to REI but have managed to obtain a duplex with a partner. We purchased the property cash. The property has been rented and has another year of contract signed. We were planning on putting the property under our LLC. I don't mind waiting the 6 months seasoning period but so far, all the banks that I have contacted, don't want to refinance if it's under LLC. Does any one else run into this problem?

Are there anything I could do? How do other investing companies buy, and refinance their properties? 

Does anyone have any suggestions for banks, credit unions or any other institutions that they could recommend?

I would appreciate any help. Thanks

@Noah Chappell Thank you for reviewing this topic. As an update, I had the property inspected and there are some issues with it but not a deal breaker. First, there is some remnants of termite damage which requires some fix in foundation, in addition, I believe the reason behind the high electricity bill is very poor insulation (aka. No insulation) in the attic. Due to that I was able to negotiate the price down to 49k. That should cover the fixes that it requires to make it truly rent ready and not just rent ready by appearance. Lastly it is in the C neighborhood right now but the area is in the path of growth and I’m hoping to improve in the next 3-5 years. Overall, I have decided to go with it and make the jump.

Again, thank you all for your support and advice. It is much appreciated.

@Drew Sygit and @Michael Noto, thank you guys for your responses. 

@Drew Sygit unfortunately there's no gas in this apartment and all utility including the furnace is electric. The tenant mentioned that the bill during winter months got as high as 350$ which is about 2-3 times higher than average for this size property. Then again, I'm not sure of the usage. I'm digging deeper into it now and am having the inspection this week.

@Michael Noto Thank you for the lesson. Much appreciated. I'll definitely keep it in mind and will look into the actual usage from the electric company. 

Dear Mr. Scott, Thank you for hosting these events. Is there another event in the near future? If so, could you please add me to the future event list? Thank you in advance.

I have won a bid (60K) on a Class C rental property (due to neighborhood and age of property) in Indianapolis. Neighborhood is a lower income working class and the property is a 2bed/1bath (~745sqf, and another 700sqf basement), all electric, built in early 1900 with average size backyard and very close to turnkey with some cosmetic repair. With current rent tenant (720$), 20% down with 3.875% rate I get ~150$ cash flow and COC of 8.2%.

Inspection is next week, but the current tenant mentioned that the last month electric bill was very large (300+, average is (50-120$), my concern is, could this be secondary to poor insulation, short or bad wiring, etc? 

My other worry is finding the right tenant for this property.

I'm having second thoughts and I feel like I'm scaring myself out of this deal. 

Please help out a newbie and give me your two cents. Also, if you have health with similar issues yourself and how you remedied it. Any help would be much appreciated.

@Sahand Banisadr oops! So sorry, didn’t mean to spam. New to BP and placed this thread in the wrong place. My bad.

I guess now that I’ve started posting, I can talk a bit about my experience. It is a bit of crazy market now, but that means more time to learn and evaluate deals. But don’t wait too long. If you come across a deal that make sense, and numbers match your goal, there’s no reason I wait. Just in. Water is gonna be cold at first but you get a hang of it. Good luck.

Looking for likeminded people in Indianapolis.

@Harshad Lalan thank you for the tips. I was planning on renting out the whole house but haven’t thought too much into it yet. I wouldn’t mind renting one or two rooms at a time. I’ll contact those agencies to see what they would offer.

I have just purchased a 4b,2.5b in Greenwood Indiana. The house was built in 2005 and is in really good shape. I’m planning on doing some house hacking and rent it out on AirBnb on some days and weekends. The insurance companies always try and sell me the most expensive deal possible. I’m new to AirBnb and don’t know what would be an appropriate coverage without paying way too much. Quote that I have is about 1.6k/yr from farmers. I’d appreciate any suggestions or recommendations. Thanks

@Shawn Holsapple, thank you for sharing these resources. So far I’ve gone through a few of these books and they have been tremendous.