All Forum Posts by: Tamara Deering

I wouldn't include your housing allowance as extra income in analyzing the deal. But it looks like the rent from one unit would cover the mortgage and you would be living for free. You could put your housing allowance in the bank to cover the monthly expenses. It seems like a solid deal given your VA loan.

Sorry without seeing the signed agreement I can't tell you what your rights are.  Even if I could see the agreement this is probably one of those times that I would advise taking a copy of the signed agreement to your real estate attorney for advice. But...do you really want to get involved with a seller who did not follow through on their initial agreement?  How do you know you won't end up in the exact same place as the other investor that was unable to close in July?

The San Antonio real estate market is generating a lot of interest right now and rightly so.  It is a huge market with properties that are lower than many other cities.  This morning I reviewed the new properties on the market in the last 36 hours, there were 109 single family properties that came out of the market.  Of those 109, 4 are worth taking a closer look.

@Christopher Thompson

Nice work.  

Just to throw in my totally redundant two cents.  Keep it until the tenant gives notice, then either refi and re-lease or give it a good clean and quick touch ups and sell it.  But right now having a cash flowing property even a 4% is a good basis for building your portfolio.

@Amy Hanlon

I don't know how much work you are planning to do so I can't answer with any specificity except to say yes, there is an order for construction projects.  

The first order of business is to get the property "dried in" and secure.  If you need a new roof, siding, or windows you do this first to ensure that following work doesn't get damaged by weather.  You also change your locks and install security at this point if you need it. Demo happens at this stage as well.

Next come your systems, the least flexible things go first, HVAC, plumbing then electrical rough in.  Insulation and sheet rock (drywall) come next.  Then bathroom tile and finish plumbing (or top out).

Finally comes your finishes, messiest to cleanest - paint first, then cabinet set, flooring, finish carpentry (doors and trim), final electrical and hvac. Then construction clean.

Exterior paint can come at any point after dry in, landscaping including hardscape like driveways and paths comes last.

This is in a perfect world but it probably won't happen that way, trades will be out of order and everyone will be on top of each other.  The plumbers and the hvac guys are going to cut some structure that shouldn't have been cut, the electricians will run their wire in the wrong place and the other trades will get angry and the carpet guy will tell you he is only available a week after your finish carpenter is scheduled to complete.  Managing a construction project is a combination of babysitting, juggling, acting as a referee and a cash machine, with a dash of a dictator thrown in.  It's my favorite thing in the world, and the worst thing I ever do all in one.

@Account Closed

Who is your broker?  This is why new agents are required to hang their licenses with a broker.  If you are using a virtual office instead of a physical one you will have a difficult time ahead of you.

If you are contacted by a potential buyer you should begin a conversation with them, you want to know what they are looking for, when they want to buy, how far they are in the buying process, do they have financing in place, do they have their down payment, what type of loan are they planning to use, etc.?  These are really personal questions so you need to build a relationship before asking them but you don't want to waste a lot of time if they don't know the answers.  Also, you need to know about all of those things as well so when they have questions you can answer them with some degree of credibility.

If by some chance you get a seller you should really refer them to another agent for a referral fee.  Ask the agent if you can shadow them on their listing appointment and throughout the process.  There is way too much to know on the listing side with a lot of liability for a rookie agent to take on without the strong support of a broker.  It isn't fair to either you or the seller.

Good luck in your new career.

@Corey Kenney

A PUD is a private utility district, there is also a MUD a municipal utility district, these are entities put in place to collect a fee to repay the developer of a subdivision for the installation of infrastructure like water and sewer. These services charge the homeowner for a set period of years and save the city or county the cost of installing utilities to outlying areas. The developer typically gets a tax break while being paid back by the homeowners.

@Scott Petty

I would say the easiest way to do this with multiple lenders is option #3. Give everyone proportional interest in the project based on their contribution. You may want to consider setting up an LLC or partnership for this purchase if you are going to do it that way.

@Elizabeth L.

It can be done as long as you are diligent about paying off the cards, preferably as soon as you get your draw or your refinance.  It is really easy to get underwater with the cards because the minimum payments are so low.  Also, be aware that the balance on those cards will affect your credit score and the amount of money you qualify when you refi.