All Forum Posts by: William Sing

 Companies that have 50 employees or more are required by the state to submit that they will be doing layoffs or terminating business. I believe every state has something similar to it. Usually it is called "WARN". You can see Oregon's program here - https://www.oregon.gov/highered/institutions-programs/workfo...

If you then google "WARN LIST [STATE]" in google it will usually come up as well, but this is how people see if there are major layoffs coming or not. Here is Oregon's list:https://ccwd.hecc.oregon.gov/Layoff/WARN

If you are hearing of potential cuts in your company and your company meets those standards, you can check the designated WARN website and see if you need to start a job hunt yourself. 

@Lynn Gadd I agree with @Jeremy Horton If this ever goes to court for an eviction for whatever reason it would more reasonable. I hope it doesn't get to eviction, but if it does you can reach out to https://www.landlord-solutions.com/ . They take care of everything with the process if it gets to that point but recommend you look up the right forms and serve them if they don't start paying rent. For Oregon specific these are the usual go to's:
- https://store.oregonrentalhousing.com/

- https://www.rentalformscenter.com/state

My standard operating procedure is to just ask for the prorated amount along with the deposits within 48 hours of the lease being signed. This makes it easier for billing and setting up things for the long term. 

Hey Dustin, You might want to check out Chroma Property Management - https://www.chromaproperty.com/. Let them know I sent you :)

Do you already have the contract on it? Sounds like you are wholesaling it? I'd recommend you'd post it on the local REI group.

@Gordon Watt One other thing to look at is doing a mid-term rental as well. Since you are near OHSU/Saint V's it might be another option as well. If you still want to go the route of Airbnb, I would recommend these resources: 

Airbnb Permitting Help - Melissa Wright at STRpermit.com or Descansa PDX can help as well.

If you are looking for more midterm rentals I'd look at FurnishedFinders - Create your own listing on a site frequented by traveling nurses/doctors. 

If you have more questions, just let me know and DM me :)

I agree with @Nathan Gesner! I would recommend still doing everything you can to get it rented sooner rather than later and be okay with dropping the rent amount to be more attractive. Usually, you can start maybe mid-way through what you think it is worth and then do a larger price reduction of $100-150/month after the first week and then do smaller rent drops from there. Even offering one month's free rent has been something we have had to do up here in Portland. Another route if you want to wait it out until more favorable times (spring/summer) is to convert it into a STR or Midterm rental. Highly recommend furnishedfinders.com if you are going the midterm route. That is a lot more work though and might not be worth it.

You're on the right track in trying to leverage your initial investment to expand your real estate portfolio. 

1. Initial Investment:
   • Closing Costs: You've rightly accounted for the closing costs initially.
   • 20% Down on 24 Homes: With $490,000, putting 20% down on homes valued at $100,000 each would indeed allow you to purchase 24 homes, leaving you with $10,000 in reserves.
2. Equity Line of Credit:
   • LTV Ratio: Banks usually offer up to 70-75% LTV for non-owner occupied HELOCs. This means that with a 20% down payment, you wouldn't have accessible equity for a HELOC since your LTV would be 80%. To access equity through a HELOC, you would need to either increase your down payment or force appreciation of the property to increase its value and thereby your equity in it. For instance, if you put down $50,000 on a $100,000 home, you'd have $50,000 in equity. The bank would potentially offer a HELOC up to $75,000 (75% LTV), allowing you to access $25,000 through the HELOC ($75,000 - $50,000).
   • Additional Purchases: While your strategy to use a HELOC for further purchases is theoretically sound, it would be constrained by the LTV ratios and the actual equity you have in the properties.
3. Equity and Debt:
   • Ownership of Equity: You would "own" the equity used from the HELOC in the second round of houses, but this comes with increased debt and interest payments on the HELOC.
   • Scaling and Risk: Scaling using this strategy comes with substantial risk, including over-leverage and the task of managing a large number of properties.

Where You Might Have Gone Wrong:

• Equity Calculation: The main area where your strategy encounters a hurdle is in the availability of equity for a HELOC given the LTV ratios applied by banks.
• Risk Assessment: Leveraging can amplify both gains and losses, so a careful risk assessment is crucial.

Hey @Jonathan Kang! I recommend using Toija Beutler (https://www.firstexchange.com/) to help out with the 1031 exchange since there are a lot of moving parts to it. She is really knowledgeable about this kind of stuff. I'm not sure if she does much on the side of the regular taxes. 

For the CPA, I'd talk with Jon - https://www.latscpa.com/

If you want to connect further, let me know! 

Hi Nessa! Congrats on your son being ambitious enough to make that first step. 

I agree with @Theresa Harris that it would be a good idea to get a cosigner on the loan. The DTI is the biggest factor for loan programs these days.

Since you are in Oregon, I'd also talk to lenders who have access to the Oregon bond program. It is supposed to help first-time home buyers and may be able to give them higher flexibility. 

Depending on how far out he wants to go, I'd look into using the USDA loans potentially. 

Talking with a lender about what he would need to do in order to increase that amount would probably be a good idea so he can see if he can position himself in the future to be pre-approved for more. 

If you need any lender recs, I'd talk to @Julee Felsman since she is in the Oregon area. If you need any recommendations in Albany, let me know too and I'd be happy to connect you 😊