All Forum Posts by: Shane M

2.2! :P And with potential for better if I can negotiate lower (or worse if the repairs cost grows), but as always it needs a more thorough analysis

Current tenant is paying month to month. There is supposedly no physical lease. How would I watch my backside on this? What process would I have to go through to evict the existing tenants and how much time would it take?

Obviously I would try to get the existing tenants to sign a lease, but I've seen the place and I sincerely doubt that happening.

The two buildings are actually side by side like neighbors would be but the drive-way is in between and shared (it is quite wide). Well water is shared too.

If I considered it a duplex and didn't have to tear down the one building it could be an amazing deal. I've got to double check my repair numbers too. Right now I'm at about 25K in repairs, it is listed as 25K and both units together could rent out for 1100/mo. That leaves about 200 in cashflow without low-balling the deal.

I'll let you know how it goes and if I get turned off by the local inspector.

Thanks for the correction! So there are two buildings on the same lot. But here is another weird thing, they both have address numbers on the outside of them that are in sequence. And the tax info. in one case has the non-delapidated address and in the other has both. Both records have the same parcel number too.

Okay upon closer inspection of the records the one with the non-dilapidated building as the address on the tax record without the second says it is for 2010. The one with both for 2009.

It is a 70x110 lot, does that sound too small for two properties if the second building was fixable and I could split the lot?

It is going to be expensive to demo an entire 700sq/ft house!

I've been looking at a deal that apparently has 2 properties on the same lot. When I look up the tax info. I get one record as the primary property and another as the primary and the secondary property.... how could this be?

Considering we are talking about two properties for a really low list price, it is potentially a 60-70% ARV deal without even low-balling (and of course you would).

What could the negative recourse be with two properties on the same lot? What are the typical problems you run into with two units on one property. Are they harder to sell? I'm thinking it may be a good idea to try and split the lots too, but would I do that before I rehabbed them both for tax purposes? One may have actually been condemned at one point, maybe that is why it doesn't show up on one tax listing?

The good news is, when you look at these properties from the outside, it looks like a mini slum between the two of them. With some major demo and trash removal and a little rehabbing on one prop and probably a total gut on the other it could be a smoking deal. But there may be some pitfalls, your thoughts?

Thanks!

I might start myself by saying that I currently rent but am pursuing 203k FHA financing to try and flip a house that I would like to live in and ultimately when I decide to move, make money on. This way I can take a little more time with the process.

Although now that I have that pre-approval letter, everyone seems to take me more seriously, so maybe I should just use that to wholesale some amazing deals :D

I'm just wondering what types of housing the various investors choose on these forums. I would assume that most of you own your own home or are tenants in some of your rental properties, but who knows?

My question is, how does your personal living space effect your RE investing and business? Or does it even effect your business at all?

I would also extend the question to why you live in your geographical area, but I'm assuming it would either be because of family, your "other" job (if you have one) or because you follow the best markets. But who knows?

If you toss the RE some cash to say thanks for their time (assuming you get paid as a bird dog), I'm sure they wouldn't mind showing you however many properties you want. Especially when a lot of RE agents are looking for anyway to bring in some extra income.

Originally posted by MikeOH:

As I said, you can do that if you don't have a large portfolio. Twelve rentals is certainly not a large portfolio.

Mike

Plus wouldn't you want to be making more if you could anyway? I mean, I guess if the 2% and 3% deals don't exist you can settle for 1%, but if you do enough digging you will find the better deals. There are motivated sellers out there! Of course I'm speaking theoretically having not closed on my first deal yet :D

Private money, maybe peer 2 peer lending like
this?