All Forum Posts by: Samuel Mutschler

I’m keeping open the options and still doing my due diligence until I am able to provide the tenants of going under management or not renewing. I’m talking the local PD to make sure I have my information correct and can make sure bases are covered if the tenant decides to lawyer. 

I contacted the local PD, no police reports have been filed only phone calls placed from my property about concerns at other nearby address...dog barking, noise complaint, the latest was assist person. I confirmed there have been no reports filed or case files opened for the address. I am going to gather the local records from the PD certainly start conducting and documenting inspections. 

 I have experienced mental illness within my family and it is challenging, I don’t want to assume risk for my tenants situation unnecessarily. I have asked if they feel unsafe but I never get a straightforward answer which could be indicative of one of three reasons you stated. We haven’t modified rent and the tenants were placed using a state program to make them financially responsible, which has worked out minus the claims of home invasion. 
I have another property under a management company which will probably put them through a credit check/background check. I would give them 60 days notice that I plan to put the property a management company. 

SFH 2 bed, 2 bath. Tenants are related and both over 18. One tenant claims people are breaking into the house and hitting her at night. I've asked for police reports, received nothing, went to the house and found no damage or evidence of forced entry. The other tenant has never contacted me about the break-ins. I've combed through a year's worth of police reports and found no phone record from the property. The tenant threatens to get lawyers, my concern is their safety, but I can't get any justification to make improvements to the property for security. Tenant also claims they lost the key so I quoted her to change the locks because I will not pay for the locks if they lost key. Tenant said they couldn't afford for me to change the locks.

I’ve thought through two options. 

1. Lease is up in 4 months, probably going to put it under management and the tenants will likely move out.

2. Provide the tenant an option to install a security system at a cost to them, since there are no police reports about break-ins. 

I’m already planning to find a solid real estate/landlord tenant lawyer in the interim to be prepared for whatever might result in the month. 

If anyone has experienced something similar any recommendations would be appreciated. 

Update: My realtor contacted the listing agent. VRM Properties is misleading on their website, not very many details are provided on their loans other than comparisons to a conventional loan. No PMI and little to no money down. In the case of investors, they still require a 20% down payment, additionally there is a 2.25% funding fee because the REO was purchased under a VA loan.

Howdy! I found a home that is an REO and qualifies for Vendee. The website isn't very helpful. I've been able to calculate all my monthly operating expenses, lowest possible rent, and upgrades. The only figure I can't determine is the monthly mortgage because interests fluctuate and the down payment. I've seen numbers anywhere from 5-15% for a down payment. I don't intend to occupy the house as a primary residence but purchase the property as an investment property.

I realize nobody can quote me an interest rate. 

Has anybody worked with VRM and Vendee programs within the last 6 months, what have been your experiences, good and bad? 

Long time listener, first time caller. My wife and I own a two properties and just completed our first Live-in-flip. I'm in the military and put 6% into the Roth TSP (similar to IRA but deposit limits are higher). My TSP will continue to mature until 2050 but I don't plan to make any more contributions starting soon and use that money towards purchasing the next property. We also have a solid chunk in the stock market we are strategically liquidating to use towards hard, cash-producing assets.

My question is: How are people saving for retirement without making contributions to IRA/401(k)s? Our plan is to continue growing our real estate portfolio to have a majority of our cash flow from passive income. I don't have much faith in IRA and 401(k)s especially watching our parents stress about the value of their retirement funds right now because they are retired now or in the next few years.

Correct. I have a few interested lenders who want to know if they will have to pay capital gains taxes on the money they make from the interest or when they receive the final balloon payment. 

I found an investor for a rental property. The investor will act as the "bank" and provide the money for the investment property at maybe a 5% interest rate. Myself, the "landlord", will find a property to buy and manage the property. My question is how will the taxes work. The investor can wire transfer the money to either the seller or the lawyer directly. Will there be any taxes involved with that? (aside from the closing costs). The terms for the balloon mortgage would be 30 year fixed rate amortization table with a 10 year balloon payment. The landlord will pay the mortgage payment to the lender every month. Does the lender owe taxes to the government for the mortgage payment? Does the lender or landlord owe taxes on the balloon payment at the end of balloon mortgage?