All Forum Posts by: Mike Moreken

Yes go with PO Box, can expense it on taxes.    Use ACH for rent collection.

Welcome!

I have used Home Depot for a new roof + garage door opener.  They simply hire a contractor.   

I can not recall if it was Lowes or HD but when I told them the refrigerator was going into a rental they dropped the warranty to one year.

No per IRS the time it becomes available when the rent sign goes up.  So it rental sign goes up May 2015 then you write off in 2016!?

I rehabbed into 2015, put up rental sign Feb. 2015 My CPA says all rehab costs in 2014 will go into 2015 taxes, so crap loose losses due to inflation.  So for 2014 no Sch E for me :(

Flood insurance comes from the federal government.

What rates are you seeing Trenton is ~ low.  You are looking at NYC impact as well.

try

http://tax1.co.monmouth.nj.us/cgi-bin/prc6.cgi?&ms...

I looked at Fort Lee quickly tax about $10K/yr.  I think Paterson is a rough neighborhood?

So I just you are unhappy about 5% return?

One thought try to line up a 1031 exchange.  Get another property(s) with better cash flow?

Sell for cap gain and get slammed with taxes.

Using equity could be another way.  Interest write offs and getting into leveraging.

Look in cities, not a town like Sparta.  Cash flow ~poor neighborhoods.   Capital gains ~pricey homes.

I am spending time listening to Gordan Moss, Quixote Ventures ~podcast/pitches. 

My main question now is where does one get a list of notes for sale?  The tape?, what determines the price you pay?

I usually reject all $ pitches since info is out there (like BP).

An older couple > 65 years old has 3 row houses for sale for  > 287 days.   They bought these 3 during the boom times (high prices).
Bought home               Price paid      Ask price    Sq-ft
home 1 June '06        $82.5K           $81.9K      1460
home 2 Oct '05          $93.9K           $76K        1120
home 3 Mar '06         $62.9K            $77K         892

Homes 1 + 2 for sale in Dec 2013 $74.5K, 75.3K respectively.    They initially put home 3 up for sale Mar 2012 for $112K.  

Outlandish?
home 1 $56/sq-ft      home 2 $67/sq-ft        home 3 $86/sq-ft
They are renting or have for rent all 3 homes.  They live ~20 miles away.

They may also have at least one tenant from _____.  This tenant ~family just broke the glass on screen door next to my property.  So had to sweep glass into my lawn, when glass was revealed after snow melted.  Took me a minute to find source of glass across mutual front porch.  

This tenant is a twit, had one minor run in with them in my rehab phase.  They threatened to sue since a tree truck was left over night on her/our property.  She did back down, and truck (my contractors) left next day.  Then learned she was a tenant!

How does one approach a couple like this? Bought at high time, etc. My thought is one must do a walk through with inspector + estimate any repair costs. Then inflated price - repairs.  I might want to make it a pkg deal. 

I have one prospective tenant asking if he can rent to own the one I just put up for rent after large rehab.   I'm thinking Rich Dad game, one can bite off too much.  But economies of scale is attractive.