All Forum Posts by: Sunny D.

Sunny, I used to work for one of the largest foundation repair companies in the United States and have repaired hundreds of houses similar and a lot worse to this one in Nebraska. I agree with Matt that there are probably some outside issues that can really help with this problem. downspouts pouring out water next to foundation, negative slope of outside soil or concrete, clogged gutters etc... One question that you could ask is when the skim coating was done. If it was done anytime recently, then you know that the wall is continuing to move since the skim coating wouldn't have cracked if the wall wasn't moving.

There are several different ways to repair a foundation without having to replace it such as steel beams, wall anchor plates, or carbon fiber straps with epoxy. As far as cost goes, I cannot speak to prices of contractors in California, but I can tell you how I estimate repair costs in Nebraska when I see a wall similar. I am going to use steel beams as an example. You should support the entire wall that is bowing, and you need to add a beam about every 6 feet with a couple closer to the corners, about 3 feet off. So when I am estimate I take the length of the wall and divide it by 5 to get the total amount of beams I need, and then multiply it by $600 to get total cost. So an example, if it is a 30 foot wall I would take 30/5 to get 6 beams, and multiply it by $600 to get $3600 repair. Now this is simply an estimation and costs can vary greatly.

In my opinion, this isn't something that should scare you away completely, but I would get a local foundation repair company to come and give you a free estimate and I would definitely ask for a reduction, the worst they can say is no and then you can re-evaluate if the deal is worth it.

Hope this helps

thanks so much, very helpful

0 Votes

Cleveland, Ohio

Originally posted by @Sal M.:

I did some analysis/modeling comparing 4 scenarios

1) Continue Renting in CA

2) Cash out Refi and Reinvest in TX

3) Sell and Reinvest, pay Capital gain tax

4) Sell and Reinvest with 1031 Exchange

Option 2 seems the best from a profit and feasibility perspective.

Sal

My dad has a home in Union City in the Bay Colony community. This area is still having upside as it is cheaper than Ardenwood plus we have the potential Tesla and Facebook expansion close by.

While folks do say it is easy to make more money in midwest, with more volume comes more expenses and less of things in your control. It will take a lot more of your time. If you are the accidental investor which is my guess, its not worth it. I would not assume more than a 10% long term return in mid west with minimum appreciation. You will easily get that return in your union city home over time.

My advice, don't sell do a refinance cash out and put that money in crowdfunding or in real estate close to you. If you don't need the money now who cares.

1 Vote

@Lesley Ray

Let me know if you picked one

I may get to 5 properties soon in Cleveland, so I am wondering myself if I should look at the CPA option. Not sure what they will help with though

1 Vote

Cleveland, Ohio

Thank you @Bob Collett, something to ponder today and decide.

Jad has been great to work with. He checked out multiple homes in person and in many cases we missed out on the offers by a whisker. Funnily, we had a home in the 160s st at my price point, we got seller to agree on a verbal offer and by the time we sent it, a different buyer sent theirs within a 15 min window and seller accepted the other offer thinking it was ours. The market does seem to have picked up but returns will be harder at the higher price points.

For a 60k purchase that can rent for 950.
Taxes ; 150, insurance : 60, mgmt fee: 95, maintainence :100 , water+sewer : 100
vacancy allowance :100

There appears very little cashflow unless there is limited vacancy and lower maintenance

Originally posted by

0 Votes

Cleveland, Ohio

Originally posted by @Matt Motil:

I am a registered professional engineer and almost everyone will tell you “it depends”. How much has it moved, how long ago did it move, is it still moving. Most likely the gutters need work or cleaned out to cause the water to get away from the foundation and reduce the pressure on the wall. Without seeing the exterior and monitoring, it’s hard to really know the extent of repair or if one is even needed.

Thanks so much for the reply. Jad Boudiad is my realtor and he said he will check once more on the extent of the move. The inspector says it may have been moving for years and no one noticed.

0 Votes

Cleveland, Ohio

In contract for 2 SFHs in Cleveland zip code 44111. I was looking for closer to kamms corner but has been hard to find one at my price point.

I have 1 duplex in Parma, 1 duplex in Old Brooklyn and 1 sfh in West side 158th.

SFH #4, near John Marshall school of engg 140th st , 3/2 .

SFH #5 near 117th south of Lorain, 3/2, have some concerns with bowing of walls.

I have been looking for rent ready homes below 60k and its been hard to find in the more desirable areas

1 Vote

Cleveland, Ohio

BPers

Need a quick advice

I am in contract for a 1920s SFH in 44111 zip code. It is around 117th and about 10 avenues south of Lorain ave (south of Thrush ave) . The price point is 45k. It is a well maintained 3/2 and I think the price is fair for a 15yrd old roof.

I got an inspection done and have some concerns on the foundation comment in basement.

Should I be concerned on this? Shall I ask for a reduction and how much would it cost to fix. Should i back out?

I have a few more days before I can back out, so appreciate quick feedback

0 Votes

Cleveland, Ohio

i am using chemicalbank and happy with it so far

1 Vote

BPers

Need a quick advice

I am in contract for a 1920s SFH in 44111 zip code close to John Marshall school of engg. The price point is 45k

I got inspection done and have some concerns on the foundation comment in basement.

Should I be concerned on this? Shall I ask for a reduction and how much would it cost to fix. Should i back out?

Thanks to @Jad Boudiab for helping with my search.

0 Votes

Originally posted by @Jorge Garcia:

@ Sunny, I really dont know where you are getting these better ROI numbers on east side because i'm a "on the ground " investor / contractor in all of Cleveland and own homes in Cleveland heights area where it's considered a great area and paid 80k for a multi-family where my max rent is 700.00 per unit and all new rehab!

Then I own on west side where I paid 20k + 7k rehab, my total investment was 27k and im getting the same rents with same quality tenant! My turnaround is actually better on west side!

I now own 32 multi family homes in west side and 6 in Cleveland heights and wish I never put a dollar on east side!

Sunny, you forgot to mention what a pain in the a.. the building dept out there is and crazy yearly inspections where they make you spend $ on stupid stuff not needed!

I been in this game here on the ground 8 years now and ill stay on west side!

Jorge

My 3 properties are all in west side, dont have any in east side. I am assuming your properties cost 27K + loan for remainder.

0 Votes

All Forum Posts by: Sunny D.

Sunny D. has started 22 posts and replied 237 times.

Post: SFH purchase: inspection red flag

Post: Cash out advice on rental property

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Post: SFH purchase: inspection red flag

Post: SFH purchase: inspection red flag

Post: #4 and #5 - in contract cleveland 44111

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