All Forum Posts by: Tom C

Lordstown, Ohio..

Excellent.. Thank you!

I have been research termite treatment for a week or so now and I have found a few websites that will sell Termindor to the public. I am seriously thinking about doing my own termite treatment. It doesn't sound very hard, just drill holes in your basement floor around the mud trails and around 12" apart and then pump the Termindor in the holes, then seal off the holes. Everyone I have talked to says that I shouldn't do it myself. As far as using diesel fuel.. I wouldn't suggest it. You are looking at several major issues with that.

This is most likely a very basic question, but I have never rented an apartment, so I am not sure how an LL goes about this. When you obtain a renter, they have to have all of the utilities put into their name. Which means that they first must come out of my name (LL). Can the renter just call up the utility company's and have everything changed over or do you as a LL have to make arrangements with the utility companies to have this done?

Second question is, when you either have a renter move out or you have to evict, do you call the utility company and tell them the day you want the utilities put back in your name and if so, how much notice do you give to the utility company's? My concern is that the eviction does not go according to plan and now the utilities are in your name, while the renter is still living on your property. Can someone give the steps that they take with utility turn overs? Thanks

I am closing on my first HUD property this week. Paid 23K for it, comps are in the 50's. Will take around 4K in rehab to make it rentable. I will rent it out at $650.00 month. Did a final walk through over the weekend and discovered termites!! We don't have termites in my area. Can't believe I didn't see them the first time. So now I am looking at another $1,500 in exterminating fee's.

I can say that I have never seen a house sell for 80K in a neighborhood full of 20K homes. We a lot of 20K homes and a house for 50K will just sit there and get broke into while they steal the copper and furnace motors. Who will buy that 80K home when they can go to better area's and purchase the same home at the same price? I guess I am missing something here. I don't understand how the comps are coming in at those prices in such a bad neighborhood.

Bro,

You mentioned a BK, I am new to this business and also had a BK in 03. My FICO is up to 643 now. Banks will attempt to take advantage of you since you are concerned about the BK, don't let them. I was able to walk into my credit union and get a loan on my first rental property with 15% down, which came to $3400. The interest rate is a little high @9.9 for 10 years, but don't let people tell you that you can't do it because you made a mistake in your past.

I agree with Mike. I also live in Ohio and just purchased a 3 brd nice little brick 2 story for 23K. Tax access value at 53K. I will have about 3K in it to make it rentable and due to the location in the city, I should be able to get $550 to $600 a month in rent. This city will be on the rebound in the next few years hopefully and even if it doesn't, I am not losing. I can always get my money out of it if I need to. Keep in mind that there are hundreds of houses that range from 10K to 30K in this area, just not all of them are in such a great location and are in as good of shape. It took around 20 walk thru's to find this one. Many people from out of state are looking at this area and are relying on PM's to provide feedback on these properties. I have lived in this area all my life and I know the city. You really need to do your homework when buying property in these types of area's.

RedStar,

Sounds like it is working out nicely for you. I live in the area and if you can get a renter to pay that kind of money, then you are doing very good. Most rents in this area from what I have seen run around $300 to $400 a month. So pat your PM on the back.

Another thing to consider which I have also, is if the area is so bad, do you feel good enough about the area to work there and if you're married, having your wife go into the area alone. I have found several properties, but I could never allow my wife to go into the area alone to rehab the homes.