All Forum Posts by: Joshua Rogers

Yeah I'd go the lift route.  Using a lift I'm able to hang 10' sheets, and I'm no super hero.  That said, drywallers are usually cheap, and they prefer to hang their sheets so they know the job will be easy to mud and tape.  For most DIY'ers, drywall isn't worth the frustration and poor results (typically).

On our rentals we tend to pay roughly 2% appraised value for property taxes (specifically in Collinsville, IL)

Taxes seem too low as well...my area is probably similar or lower in property taxes from what I know of the St. Louis market (though I don't know much), yet would easily be $300 a month on a house like you've described.  What's the appraised value according to the city?  They may reevaluate property taxes at time of sale, which could impact your taxes dramatically.  Your father may have several tax exemptions (owner-occupant for one, possible senior, etc).  You won't qualify for these exemptions.  

I am investor on the other side of St. Louis...please tell me where you are able to get a 30 year fixed on a rental property.  I have several banks "trying" to get me a 20 year fixed on my 15 house portfolio.  That detail would have an impact on the viability of your investment.  

Good to meet you Ryan, feel free to connect with me, I'm just down the road in Collinsville, IL!

Click-lock vinyl plank or tile would be my top choices.  If you're worried about cracking, use a crack-isolating membrane like Kerdi.  I have yet to see tile crack when laid directly on old basement floors, despite existing cracks at time of install.  Obviously, anything can happen when you have concrete and tile which don't like to move without cracking, but I have not seen it myself.  I rarely see the benefit of sheet vinyl...subfloor has to be nearly perfect, it's a pain to remove when glued, and has a tendency to be torn by tenants.  It's "cheap", but not when you consider all the costs.  Durable plank vinyl around here is about $2/sqft, tile is $1/sqft plus underlayment cost.  

Unless you are buying from a motivated seller, it rarely makes sense to purchase a property that requires no rehab and has tenants in place.  I know that sounds like a broad generalization, but without purchasing significantly below market value or putting in a decent amount of sweat equity, the property will not perform all that well and will hurt your debt to income ratio.  My 2 cents is to buy a rehab, then use the equity after rehab to borrow against for the down payment on the next house.  It's called leverage.  It's not without risk, but it's a great way to grow a monster portfolio without a lot of cash in the deals.  Obviously, there is so much more information about this subject on biggerpockets, I strongly recommend you do your homework before buying (what sounds like) a very average deal.  I could be wrong...perhaps your sister is giving you a fantastic deal.  If that's true, figure out a way to do it.  

Welcome, feel free to hit me up with questions or a meetup, I'm local.

I'm in favor of hardwood refinishing.  His price is in the ballpark, maybe on the medium to higher end (but that is using my market as a reference), but he probably does quality work to justify the price.  Carpet may last 5 years or 5 weeks depending on the tenant.  

We bought our current home with the plan of renting out the finished basement.  It works fantastic, since the basement is essentially an entire house, with 9 foot ceilings, full bath, a bar that has the amenities of a kitchen (no stove, but college kids rarely use stoves), and a big bedroom and living room. I can't speak to the costs of ADDING a mother-in-law suite, but it may be simpler to find a house that lends itself to creating a mother in law suite without much rehab, e.g. a walkout basement, existing wing separate from house, master bedroom with door to outside (separate entrance), etc.  Good luck!