All Forum Posts by: Shelly Swanzy

@Henry Le

That they do Henry. My neighbor/landlord just had to evict a tenant for nonpayment and the utilities were included in the rental agreement. The tenants finally left last saturday (the day ordered by the judge to be out) they hadn't paid anything since June and then they'd only paid half of the rent. So they got free rent & utilities for the whole summer and if that wasnt bad enough after landlord entered home when they were moved out they had left the sliding glass door completely open, taken out all the storm windows and had the central AC cranked way down. Guess they felt like she'd wronged them, go figure.

I would use the lowest comp (sold properties) that she gave just to be on the safe side and I believe they calculate something to this:

ARV (After repair value) $62,000 x 70% = $43,400 - rehab costs - holding costs - your profit = MPP (Max purchase price)

Hope this is acurate (I'm still learning) and hope it helps.

If I had to keep the utilities in my name then I would up to rent to include the cost of utilities up to X amount of dollars and also incorporate a utility deposit into the lease, and the utility deposit is used to cover any overages on utilities and outstanding utilities bills and anything left would be returned to them after they moved.

I don't like keeping the utilities in my name because when the utilities aren't in thier names they tend not to care how much they use and the bills can get crazy and eat into the rental income.

@Joshua Dorkin yes I will do thank you.

We were watching a property on MLS it went from $29900 to 19900 I called the realtor to find out more -- it was an REO. We looked at it offered $7500 and three days later they accepted our offer (of course it had been on the mls over 6 months and was in a small town at least 30 minutes drive to next large town). I always look at how long something has been listed

I agree with other posters that I wouldn't even acknowledge his comment about your profit. I would thankfully decline his offer due to that fact that you are a wholesaler not a buy and hold investor nor a lender. Keep professional you never know one day he may very well be a cash buyer.

I buy them and fix them and rent them where I live in TX. Don't know what your market is though. You said good houses go for $200-$400K+ those are probably Single Family not Mobile. $95K seems high to me for such an old home that needs work. I'd first ask a realtor to see if there are any comps in the area so that you'll have a realistic idea of ARV. Then run your numbers and see if its a deal.

@Brian C if you allow pets - then I'd definitely do away with carpeting in your units. Also do you charge a pet deposit that specifies what is considered "pet damage"?

I have been trying to reply to incoming messages but it keeps telling me that the body cannot be blank. I insert the who, the subject, and type the message then click send. Using laptop/wifi. I don't want to come off as nonresponsive or rude for not replying in a timely fashion.

Any ideas?

@Mike H. I always make sure that cleaning the windows and sills are a part of the make-ready. If this was not done, then it really doesn't take that much time/money to go do it. Why risk dirty windows turning what could be a good tenant/landlord relationship into a bad tenant/landlord relationship. Also do you have a checklist or similar that you give the new tenants that they fill out within a given set of time when moving in that allows them to make you aware of any areas/problems that you may have missed during the make-ready? If not, when you go to clean the windows you may want to take one with you (make sure it includes something to the effect that anything that is not listed will be looked at in the future as the doing of the tenant) and also have a place for the tenant to sign and date. Keep the original and give the tenant a copy.