All Forum Posts by: Sunny D.

Challenges with tenants, turnover and deferred maintenance costs, PM issues. As a percentage of value these are killers on a low priced home. I got good appreciation as I bought 4 years back but I would not venture into those markets now. Don't believe the pro formats, you are guaranteed to lose money if you are out of state.

 I can write a blog on this on everything that can go wrong. I got lucky as well but had some bad apples pushed to me that led to skipped due diligence. I prefer something next to me that I am ok to drive 3 hrs to see what I am buying. People in Ca are going out of state, they don't realize bay area is becoming bigger and there is enough appreciation potential in Sacramento and they don't have to chase cheap out of state or appreciation plays in Austin, Florida, Denver, Columbus, phoenix etc.

I am exiting out of state investing. Sold 3 im my Cleveland portfolio and got 4 more to sell (3 in Cleveland and 1 in Birmingham). The cashflow is not worth it for me and I was lucky to buy at better pricing few years back.

i will only buy in A areas going forward for buy and hold. I bought 2 sfh in Folsom last April around 550k range and they have both appreciated 70k each since then. 

I am interested to join as well, got 3 long term sfh in Folsom area

Sorry to rain on the parade but get used to spending more on repairs for out of state properties unless they are in A neighborhoods. 

Telling this from experience. I expanded quickly to 8 out of state homes over last 5 years and exited 2 with a profit last year (only because I got in early in cycle around 2013 when prices were low). 

if you are willing to spend time then try thumtack but try to let the PM deal with it as the expense you were quoted is reasonable. I had a persistent racoons problem in one of my rentals, had to get trees cut around roof and fix all access points for it to go away. Your chance of making real cashflow in out of state homes only materializes when tenant stays 2+ years, so get these preventive issues fixed and hope that you have good tenants.

 Baxter

i got the roof taken care of (scheduled). I don't mind getting your contact of roofer for future reference

thanks

sunny

 Thanks

i tried reaching out but didn't get a response yet.

Folks

One of my rentals need a new roof. Can you please pass on some references. My GC had a roofer but has been unresponsive so looking for options.

Thanks

 plz see my response above

Each of your parent can give you and your spouse (if married) 15k each without incurring gift tax i.e You and your spouse together can receive total of 60k (4 checks of 15k).

Each of your parent can give you and your spouse (if married) 15k each without incurring gift tax i.e You and your spouse together can receive total of 60k (4 checks of 15k).

If you are not married, you can get 30k. 

If you are looking to receive more, consult a CPA. one option is to draft a loan agreement on the amount over 60k to treat it as a loan for a nominal interest of say 0.25% . Next year they can gift you 60k more that you can use to pay off the family loan principal.