All Forum Posts by: Sanjay Sinha

Thanks Dustin. If we do extend their seller lease back, it will be on a new agreement with a minimum of 2 months and monthly extensions after that. Our city states short term rentals as not less than 30 days and so I am guessing this would not be considered a short term rental. Another thought process is that the seller could have simply refused to vacate but instead is willing to give us a safety deposit and a monthly rent and hence is not thinking of staying without our permissions. But of course people can change. I am still new to this and so all inputs are much appreciated

I had recently bought a home in the San Jose area with the intent of demolishing it and building a new house there. During the time taken to get the permits, roughly 9 months ( May 2021), I was planning to rent out the house. But given these Covid times when eviction is tough, should I even risk it? I will be losing out on some $20,000 in rent. What precautions should I take to minimize my risk? If I were to rent it out, how best to rent it out for such short periods of time?

Also the sellers of the house are currently occupying the house as they had asked for 2 months of rent-back as part of the sale. They are interested in renting it for longer. Is there any additional risk of renting it to them longer? The seller had been to jail some 20 years ago and so he does make me a little suspicious. But another thought process if that if he refuses to vacate later, he might refuse to vacate now too. So in some ways I don't see any additional risk. Any opinions?

@Houston Garcia thanks for the reply. Would love to speak to a project manager to understand their capabilities more. Right now leaning more towards using a project manager. This also helps learn the processes more than directly using a GC.

 You are correct in that I cannot sell it after building it as an owner builder. But there is an out clause. I can sell it as long as I use only licensed subcontractors and not do any of the actual work on my own. That is what I am planning to do.

Thanks @Dustin Allen

@Josh Cuthbertson well $150K is a lot of money. More than what my wife earns in a year. Also I would chalk this down to more learning as we plan to do more of this. Also the actual city is Cupertino. Is that also so bad when it comes to permits and inspections?

@Dustin Allen @p@Pavan Sandhu thanks for your inputs. Any ideas about how to recruit a project manager?

Planning to build a spec home in the San Jose area. We have already put in the earnest money on a lot with a very old house. The question I have is how easy it is to be the owner builder on this construction project and hire the sub-contractors directly instead of hiring a GC. We're planning to build a 3,500 sq ft house. With a construction price of $300 per sq ft. So construction price can be in excess of a million. If we're able to cut out the GC and save 150K to 200K, that is substantial savings.

However me and my wife don't have direct construction experience. I did study Mechanical Engineering many years ago and have some sense of how things come together and my wife has done quite a few interior design projects but no direct interactions with subs, only GCs. But she is willing to put in the time to manage the subs. Are we foolish to take this on? Ideally we would like some one with experience to do some project management as well as direct us. Where can we get such people? Where can we find such kind of construction project managers? Would some retired GCs be willing to do this?

Planning to build a spec home in the San Jose area. We have already put in the earnest money on a lot with a very old house. The question I have is how easy it is to be the owner builder on this construction project and hire the sub-contractors directly instead of hiring a GC. We're planning to build a 3,500 sq ft house. With a construction price of $300 per sq ft. So construction price can be in excess of a million. If we're able to cut out the GC and save 150K to 200K, that is substantial savings.

However me and my wife don't have direct construction experience. I did study Mechanical Engineering many years ago and have some sense of how things come together and my wife has done quite a few interior design projects but no direct interactions with subs, only GCs. But she is willing to put in the time to manage the subs. Are we foolish to take this on? Ideally we would like some one with experience to do some project management as well as direct us. Where can we get such people? Where can we find such kind of construction project managers? Would some retired GCs be willing to do this?

Setting up a real estate business. Would love to know a CPA who can help me setup the right entity and also work with me to minimize the taxes on my many deals.

I did contact many of the other CPAs mentioned in prior posts but no one has replied. Thanks in advance.

Thanks for the reply Lynette. Any one else have experience with buying from a sex offender?

Also he is insisting on a two month rent-back. Is it likely for him to cause problems and not vacate at the end of two months?