All Forum Posts by: Anthony Simboli

@Eliott Elias thanks for the information. Do you mind expanding on what you mean by having leverage throughout the lease? Or was that captured in what Nathan was speaking about in his reply. Thanks!

Hey guys,

So a unique opportunity came about that I've never experienced in all my years renting. Someone in the neighborhood offered to pay cash (or cashier check) for the entire rental lease (10 month lease) upfront. I'm trying to think of anything that I'd need to do with a situation like this. My plan is to still screen/credit check etc...as I would any other tenant and ask for a set security deposit check and have them sign a lease just as I would. 

Anyone ever have this happen and if so anything to look out for? 

Thanks!

I'm hoping this will help me get more cash up front for more properties!

@Scott M. thanks for your feedback this is helpful, and exactly the position I'm in right now with one of them. We've been going back and forth. I expanded the scope a bit so obviously prices went up and next thing you know I was looking to do too much. Luckily he's been great and willing to work within the new numbers I feel comfortable with given the property. Appreciate your help!

@Nicholas Weckstein Thanks for the response. Yes price is definitely important. At the moment I'm considering using 2 contractors potentially, 1 for exterior work and the other for interior, but I'd prefer to use just one. It's a live in/BRRR type situation. The numbers from the start have been a bit skewed from what I would traditionally do given I want to live in the first unit for a few years as I settle so I paid a bit extra plus the high prices in the market. Just trying not to stray too far from what I would normally want to see in numbers to make a BRRR work. Still learning so appreciate the input.

Hey BP,

I'm in the process of hiring my first contractor (for major renovations). I've worked with contractors in the past but for smaller jobs as I typically do most of the work myself but now it's requiring some licensed professionals.

I'm starting to get estimates back and as I figured they are all over the place. My goal is to not get the cheapest contractor, but to start building a solid relationship. My gut instincts are telling me that the most expensive contractor right now will be someone I would actually want to work with on future properties (he's very timely, he's thorough in his estimates, and communicates extremely well, even to the point he came back to explain the estimates to me vs. just sending me a pdf with prices). How would you go about sharing other estimates you've received explaining that you want to work together but can we get costs down? 

Open to any and all suggestions. Again this is not only my first big project (3rd property), but I'm also finally in the state that I would like to stay in for future properties so I have relationship building top of mind.

Thank you

Hey BP!

Looking to see if anyone has experience taking a loan from their 401k to finance rehab costs on their rental property. I have a strong 401k and plan to repay the loan as quickly as possible. I would need to fund the project fairly quickly and estimates are around 4-6 weeks for the project duration and will likely be paying in 4 25% installments.

For those with experience, could you provide some pros and cons with what you've seen. 

Thanks in advance!

Hey all,

I'm currently in a unique "BRRR" situation for my new property. Unique in the sense I renovated one unit and will now be living in that for 1-3 years. The renovation in the 2nd unit as well as some outside work (carport/driveway) is work that I have not done before (ceiling replacements etc.). So I've opted to get bids from contractors.

As I wait for the estimates, I'm curious about suggestions for the financing portion of it. I just purchased the house in April so I'm not looking to refinance. I have cash but also do not want to deplete all my funds. I have a strong 401k as well. Open to any suggestions. 

Side note, plan to purchase next property within the next year to year and a half so would like to keep that in mind as I plan out the financing. Rough estimates so far are in the range of $25k - $50k.

Thanks!

@Russell Horning thanks, I've used plenty of sites but have not had much luck.