All Forum Posts by: Taylor Chiu

@Richard S Myers Welcome to REI! You might have more success posting this in the Utah forum, instead of the general wholesaling forum.

@Carey Flamer-Powell Welcome to the investing world! What's your main goal with this property? 

Good cashflow to help you become financially independent?

Long term appreciation gain?

Property that doubles as investment and personal vacation home? 

The reason I ask is that the monthly cashflow is pretty low, and that's based on a low vacancy rate for STRs (maybe that's the right number though, I don't know the market). 

@Keyonte Summers Any other comps, or just the one?

@Keyonte Summers If you're estimates are right, then that sounds like a home run! How close to the subject property are your comps?

@Marvin Tomlinson Glad you're ready to take the plunge! You could go out of state, or go to other parts of New York. What's your plan?

 Yep, I imagine you could have a leasing agent and then the combo of the two would take care of your PM needs.

@Account Closed 2 - 3 years sounds reasonable. In my case, I expect to evict about 1/3rd of my inherited tenants. Some don't pay from the start, and some make it for a few months and then go cold. It's a process!

@Simon Obas What other expenses do you have with the property? Any utilities? Is insurance / taxes included in your $2290 figure? Obviously you'll want to calcuate with some capex and repair and vacancy reserves as well. That $6k in property taxes is brutal, but guess that's just how it is in some markets. 

Almost certainly you won't cashflow while you live in one of the units, although it will decrease your monthly housing expenses. Once you move out, I could see it cashflowing, but it depends on the above questions. 

@John Pflederer Have you considered bringing a handyman on via some sort of retainer? Like you will pay them a certain fixed amount each month, in exchange for doing all general repairs for just the cost of materials. Any large rehabs are separate, but this could allow you to stabilize your expected cashflow each month, since you won't have to dish out an unexpecte $250 each time someone's drain clogs up. 

Another option you could consider if all of the other advice doesn't work - sell the property and move on to the next one

@Account Closed 

Awesome writeup and great advice! I invest in C properties in Milwaukee, and I see a lot of similarities in the markets. 

Inherited tenants = russian roulette. That part resonated with me especially, haha. 

How long do you think it takes to stabilize the average property, given that you have to turnover inherited tenants, do rehab, etc...

In my market, I'm guessing it takes 1.5-2 yr to expect full stabilization.