All Forum Posts by: Pat Martin

I never really though about month to month like that but now that you mention it it kinda makes sense. You can't collect money from someone that doesn't have it and if your on month to month you can kick a bad tenant out easier.

Any of you guys in a state that allows series LLC use them? There is not much info from the IRS on these new entities and I am getting slightly different information from my accountant and attorney. Do you have to have a different bank account and file a separate tax returns for each series? Or just file one for the main LLC and combine all the separate series in one tax return?

Thanks!

Just curious what kind of cap rate would one of these big investment companies make on their single family rentals? I am only getting about 8% after all expenses, capex and property manager. I feel I'm buying close to the best deals in town getting about the cheapest labor for repairs and getting market rent. It seems to me that with all their overhead they can't be getting that great of a cap. Thoughts?

I had this happen to me and when the neighbor had their insurance company out they said that I would I have to file my own insurance claim. He basically told him to cut off the tree on the property line and leave it for me to take car of. Luckily I only had the very top 10 feet of the tree so I took care of it myself. Hope this helps!

So Im looking into using a property management software such as Rentec or Buildium. If I do this will I still have to enter everything into Quickbook? If so what is the benefit of the software over just using Quickbooks? Thanks for any help. I hate accouting and quickbooks but am trying to figure it all out.

I have purchased 3 properties via their live foreclosure auctions. You just have to do you homework and make sure that you are gonna get a clean title. But they have all worked out to be good deals for me.

Hello,

New to the forum here but have been messing with real estate investing for several years. Started off by buying personal homes at a bargain and fixing them up and selling them two years later at a profit. This past year I started a partnership with my father and brother and we have bought 6 rentals in one year with cash. I feel like I know my market well and have been buying close to the lowest prices that could be had. Two were purchased though realtor that were foreclosures, one was estate auction, and the other three were foreclosure auctions. Here is my concern when I run numbers on trying to get financing to buy more the numbers don't really add up to me. Then I see posts of people making 10-12% net on rentals. Mine are netting just under 8%. Some of the expenses are estimates such as repairs and vacancy. Below are the summary of the 5 properties that we currently have rented. The 6th one we started a new LLC and put it in there.

House 2

House 4

House 5

What are your thoughts on these numbers? Can you spot any issues? Any suggestions on financing options? Thanks.

PS the current market value of the 5 properties is $600,000

Pat