All Forum Posts by: Stuart Johnson

So I am buying my first house here in Charlotte and plan to provide a basic fix-up over my first year, renovate the detached garage that's been converted to an apartment already, rent that out while I continue on the main house. All inspections have passed, good appraisal, clean title, loan in place and I am ready to go. The one major problem left are the tenants. The current owner has had a judge issue an eviction as of last week and for the tenants to be out by May 7th, the day before I close on the home. I have informed the owners that if the tenants are still there, I am walking away as I was never willing, nor able, to handle any part of an eviction with people I do not know. However, even if they are out by my the date, the county still allows a 7 day period before I can change locks and allow them to collect any additional personal property. Am I crazy to stay in this deal? Or am I overthinking and should wait out the 7 day period. I am not worried so much about the home as it really needs work already. However, when the property transfers to me, will I have any problems with this eviction process at the very end? I have known about the tenant issue and even extended my closing date with the assurance that everyone will play ball and the owners are handling it but it is coming in too close. 

I have a duplex I am looking to make an offer on with an FHA Loan. I have a motivated and reliable contractor lined up and responsive lender already. For an 1800 SF duplex that needs a full gut job down to the studs, how long would one expect for construction to be completed and tenants being allowed to move in? Unfortunately, I won't have too much time before I'll need tenants!

My lender responded saying I would have to have a tenant sign a lease prior to or at closing. I just asked him about using an appraiser's "market rent". Hopefully they go for that option! I know I could have the home staged for advertising but that's alot of work and I do not want a hard deadline for construction just in case something goes hairy. 

So I have a duplex I really want to buy but the purchase price plus construction costs puts my loan above my limit based on my salary. Through FHA, my lender said I can use 75% of anticipated rental income as an income source. This allows me to purchase the home with everything included at a price I plan to afford with conservative numbers. The catch is, my lender said I would need to have a rent agreement prior to closing. Does this mean I need to have tenants signed on before I close? If so, how?? I understand the Build to Rent homes do this but I am not a major development company. All inputs are appreciated!

Hey all, living in Charlotte, NC and have been listening to BP for a few years now and am eager to make a leap. The market has been red hot since I have moved here with little chance of things slowing down any time soon. Being a landscape architect, I feel I have a very good sense of where to buy and avoid throughout the city based on land development projects, walkability, and where the city is wanting to invest in. I have saved a little over 30K as of now and want to make the first investment count (or at least have the best chance of the greatest asset). I have been renting so far because I have a super low monthly payment giving me the opportunity to store capital over the years. This has been a blessing because I have been educating myself more and more while watching rates push lower. There are just so many options from house hacking a SF, FHA-203K Loan, hard money lending with a forclosed home, etc. I am not sure which route would be best for a first time home buyer wanting to make a secure investment and treat it as an asset, rather than just a large liability. I am thinking I should buy a home that needs a little elbow grease, house hack via 1-2 roommates and save capital and possibly renovate the home some with a strict budget (update appliances, bathrooms, new paint, etc). Based off of many homes for sale and rental prices, this seems to be a very easy option. There's also the election right around the corner which could turn the tides of a market that has seen little correction in over 10 years... What would you do?

Thanks Leon! I was just myself and was able to have a great convo with the REI. I'll also put a picture up shortly! I appreciate the honesty.

Stuart  

What are some good questions to ask?? I'm new in the real estate game and have been reading books and listening to podcasts for about a year now and am meeting with a local and successful REI for lunch who's done it all. I want to learn, grow, and most importantly start off on the right foot. Any help will be greatly appreciated.