All Forum Posts by: Shane Bracewell

@Blaine Alger I did but was unable to find what I was looking for. A little too expensive, not populated enough, and concerned about the cold climate

@Lee Fahy exactly! Tough for me to start local.

@Jim Cummings Thank you for the offer! PM me your email and I'll send it over.

@Theresa Harris Thanks, I do have a great realtor and a handyman to handle this type of thing. Just looking for a second set of eyes as this is all new to me

@Caleb Heimsoth yea the land and property value has been right around the same amount for 5 years

@Caleb Heimsoth good point! although I'm hoping that's not the case here as the repairs needed per the inspection allowed me to knock the price down by 10k.

@Anant Garg thanks for the warm welcome. My realtor definitely has a handyman, I just want to have the opportunity to get a second opinion if necessary

@Caleb Heimsoth comes out to 43% of income. Low, but believable. Anyways, I appreciate the concern but I don't want to get too caught up in the #s as my question is geared towards repairs.

@Joe Scaparra this is my first property so I do not have any experience w section 8, but that is the route I wish to go for this one. I have an exceptional realtor in TX who is well versed in this area and I will be leaning on her expertise to succeed.

@Caleb Heimsoth sure, annually my prop tax 5000, insurance 1200, prop mgt 10%, maintenance/repairs 10%, capex 5%. Property was built in 2006 and had roof repaired in 2017. Utilities will be the responsibility of the tenants.

@Joe Scaparra I am in AK and my duplex will be purchased out of state. Yes it is scary to dive in but I am confident in my team enough to move forward with this decision. I do have a property manager. I intend on having them handle repairs but wanted to reach out to BP for other referrals to help further insulate myself.

My OpEx does sound low at first glance but I've run the numbers and I believe I have budgeted appropriately.

Fellow BPers,

I have recently had an offer accepted (and renegotiated due to unanticipated repairs) on my first duplex in Ft Worth, TX. Below are the details:

$174,250 offer accepted on a 2006 duplex (4 br/2 bath per unit) in a C neighborhood. Inspection revealed many issues with plumbing, electrical as well as cosmetics. Therefore, the seller agreed to drop the price $10k as well as pay 2% in concessions at closing. Conventional financing for 75%LTV at 4.875% with 1.75% in origination fees, fixed rate over 30 years. I am assuming $12k in repairs which would mean total cash invested: $60,000. Anticipated rent (section 8) = $1350/unit and operating expenses (including taxes, insurance, PM, maintenance/repairs, capex) project to be $1100/yr. CF=$400/unit.

Investment returns:

Cap rate=10%

CoC ROI=16%

However, I need your help! I would like to bid out repairs to get a general idea on how much OOP these repairs will be. I can still back out of the contract until Sunday night. I would like to have an idea what my OOP repairs would be prior to making this decision. I have an inspection report but I am not sure which items need immediate repairs prior to renting or which ones can wait. Does anyone have a recommendation for someone who might be able to help guide me? Basically, I am looking for:

1) Someone to look at my inspection report to offer insight into what needs immediate attention as well as what would be the costs.

2) Guidance on how to get bids with an itemized list of immediate repairs and associated costs.

Any advice is greatly appreciated. Thank you!

Shane

Fellow BPers,

I have recently had an offer accepted (and renegotiated due to unanticipated repairs) on my first duplex in Ft Worth, TX. Below are the details:

$174,250 offer accepted on a 2006 duplex (4 br/2 bath per unit) in a C neighborhood. Inspection revealed many issues with plumbing, electrical as well as cosmetics. Therefore, the seller agreed to drop the price $10k as well as pay 2% in concessions at closing. Conventional financing for 75%LTV at 4.875% with 1.75% in origination fees, fixed rate over 30 years. I am assuming $12k in repairs which would mean total cash invested: $60,000. Anticipated rent (section 8) = $1350/unit and operating expenses (including taxes, insurance, PM, maintenance/repairs, capex) project to be $1100/yr.  CF=$400/unit.

Investment returns:

Cap rate=10%

CoC ROI=16%

However, I need your help! I would like to bid out repairs to get a general idea on how much OOP these repairs will be. I can still back out of the contract until Sunday night. I would like to have an idea what my OOP repairs would be prior to making this decision. I have an inspection report but I am not sure which items need immediate repairs prior to renting or which ones can wait. Does anyone have a recommendation for someone who might be able to help guide me? Basically, I am looking for:

1) Someone to look at my inspection report to offer insight into what needs immediate attention as well as what would be the costs.

2) Guidance on how to get bids with an itemized list of immediate repairs and associated costs. 

Any advice is greatly appreciated. Thank you!

Shane