All Forum Posts by: Sameer Kh

Hey folks, I own a single family investment property. I was built in 1983 and when I bought it in 2016 it was renovated (new roof, foundation beams, appliance, carpet and paint).

Its been 7 years since I bought and my interest rate for 30 year was 3%. I have paid off more than 40%. The house has appraised to almost double my original purchase price.

the property generates little positive cash flow of $250 per month. (Keeps growing since I have renters who just renewed for 2 more years and I kept nominally increasing every year. Last few years insurance and property taxes have impacted cash flow a lot.

since the property is old every now and then I have had issues such as leaks in pipes, fence falling, and appliances.

My question is should I sell this house and buy a slightly newer and rent it out OR just pay off and get full cash flow and till then invest for my repairs from my pocket/heloc for repairs which will increase.

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San Antonio, Texas

I made an offer on a property that was constructed few years ago. This property is located in the middle of the city but the seller says there is no foundation, roof or any kind of builders warranty. Is it safe to buy a new construction without any builders warranty? Will it pass inspection? The property has paying tenants.

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Hello BP Folks,

I have signed contract to buy multiple duplexes and I only have cash for down payment for one. I would still like to buy multiple as I can afford 15% down payment vs required 20% for conventional. Do you recommend any lender that allows 15% or 10% down payment? Or anyone looking to partner on the other duplex?

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Originally posted by @Brandon Richey:

@Sameer Kh so looks like your cash flowing properly. $490 a month after HOA which is almost $6k a year. What I think it is , is a management issue. I get minor leaks happening but a good handyman shouldn't cost more than $100 to go fix minor things that take less than an hour . Also shouldn't be happening once fixed and addressed. Sod as well. Can get sod for nothing at Lowe's and go to Facebook find someone to go get it and lay it down like a handyman and your out of their pretty cheap. You have to Buy right , finance right and manage right. I think the last one is your issue here. Maybe fire the management company and watch the cash flow come in ;) right now

The management company makes more on your investment than you do. And a $6100 make ready is retarded.

The manage right is where it's issue I agree due to no time. Too many things in the air hence the property management. Trying to get cheaper quote for repairs let's see

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Originally posted by @Courtney Nash:

@Sameer Kh Have you requested more bids for the repairs? It does seem high. Or what if you do most of the work your self to save money?

Trying to get more bids nothing yet

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Originally posted by @Larkin Adey:

@Sameer Kh

You won't need a 1031. You've owned it 3 years and with depreciation and your upcoming "paint n patch" you will have enough to offset the cap gains.

Sell that pig and move on. Something without an HOA would be wise.

Keep 1% rule is too tight these days. Gotta find a greener pasture. Betting on appreciation, is betting. Save that for the race track.

Thanks for the advise.

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Originally posted by @Mark Sewell:

Originally posted by @Sameer Kh:

Originally posted by @Brandon Richey:

@Sameer Kh if the rent is $1280 and your debt is at $79k roughly there is no way you should be losing money or making $100 a month. Somewhere in this process your getting hosed big time. What are taxes insurance and hoa? $6100 for a make ready is silly ... you can find a good ole boy contractor (the one who is the guy that does the work) pay him $1500 for a week and he will do anything you want over there quick ! I , in general, thing property management companies bring no value and cost investors money outside of their 10%. Generally properties are over maintenance , make readys are always costly and rent is always a little bit low ..

My total PITI is $750. The annual HOA is $450. However, the repairs minor ones such as leaks have cost me money. Then there was tree trimming and now there is front sod that HOA wants me to replace. So yes. I can get lot of equity from it but the ongoing cost hurts cash flow.

Would you be interested in contact info for a handyman buddy of mine? He might be able to help you with this.

I hate to see you sell it if you don't need to.

Yes that would be great. PM me

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Originally posted by @Ola Dantis:

@Sameer Kh I have too many questions to post on here.

First of, $6,100? For turnover? That's crazy, your PMC must be a Class A company employing engineers to paint and doctors to clean!!!! 😳

SOLUTION FOR YOU: I literally did this about a week ago! Go on Thumbtack (or download the App), post a job for an interior painter and then post a job for a cleaner.

Now, tell your PM to step aside, get the painter and cleaner to give you a quote and you might seriously consider keeping your PMC.

What you need to figure out is how to stop the bleeding, and yes, you may not want to self manage, but you may need to until sell or get it to stabilize and then sell.

Thanks for the tip on thumb tack let me check that out.

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Originally posted by @Angel Medrano:

@Sameer Kh

I’ve flipped properties for 10k

Painted a whole house laminate flooring throughout

Vanities and toilets minor patch work and new appliances

So 6100 sounds crazy for a turned over unit if there was so much damage why wasn’t the security deposit kept to help off set repairs?

There is security deposit of $2100 which I have asked them to mail me

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Originally posted by @Adam D Rinehart:

@Sameer Kh small world, I grew up in Richmond, TX. Where is this property?

North Houston

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All Forum Posts by: Sameer Kh

Sameer Kh has started 12 posts and replied 41 times.

Post: Should I sell my old investment

Post: Buying new construction with no builder warranty

Post: 15% Down payment lender for Duplex Investment

Post: Should I sell my losing SFR rental or continue to hold on

Post: Should I sell my losing SFR rental or continue to hold on

Post: Should I sell my losing SFR rental or continue to hold on

Post: Should I sell my losing SFR rental or continue to hold on

Post: Should I sell my losing SFR rental or continue to hold on

Post: Should I sell my losing SFR rental or continue to hold on

Post: Should I sell my losing SFR rental or continue to hold on