All Forum Posts by: Tyler Davis

Hi All,

I know this question probably comes up often, but I wanted to ask: if you're using QuickBooks to manage your rental properties, which plan are you using?

Currently, I'm managing 17 units using Google Sheets, but I'm transitioning to QuickBooks. I started with the Simple Start plan, but as I learn more about the software, I realize that to effectively classify income and expenses per unit, I need to use Classes and Locations, which are only available on the higher-tier plans.

I’ve seen suggestions to use units as customers as a workaround, but I’m curious if anyone else has tried this approach or has recommendations for managing multiple units in QuickBooks with the Simple Start plan.

Looking forward to your feedback!

Thanks!

How long have you lived in the home prior to selling? If its over two years then Capital Gains taxes are excluded up to $250,000 for single folks and $500,000 for married folks. 

As for where to invest it, I would consider a High Yield Savings Account, right now you can earn up to 5% on your money and its accessible whenever you need it. (Note you will have to pay taxes on the interest earned).

Also, you could invest in the S&P 500 which on average has a 10% return each year. 

Hope this helps!

It really depends on how deep you want to dive into it. For your inaugural deal, I would recommend keeping it relatively light. Let's consider two properties under analysis:

The first property has a Purchase Price (PP) of 100k and an After Repair Value (ARV) of 250k, but it requires a substantial amount of work for remodeling.

On the other hand, the second property is listed at 170k PP with an ARV of 250k, but it only needs cosmetic enhancements like paint and flooring.

Which one do you feel more confident about pursuing? The first property might yield more cash back after the refinance, but it involves a larger remodel, extended holding costs, and increased overhead. Meanwhile, the second property might result in breaking even on the refinance without additional cash back, but it offers a quicker remodel with lower overhead.

Personally, I would advocate for a slightly higher upfront investment to undertake a smaller rehab and ease into the process. Remember, the first deal doesn't have to be a slam dunk, and it's crucial not to succumb to analysis paralysis.

Additionally, I would start researching how to effectively run "Comps" on properties to get the ARVs.

 What was the reasoning for wanting to pay off the rental? Typically you want the debt with the property and putting that debt on your primary is generally a no-no unless its short term.

If I were you I'd pull out 70% equity from the rental property, go find another house under market value to fix up and force appreciation. 

Say your rental is worth 100k, pull out 70k, find a property for 40k, and put 20k into, and 10k into holding costs and extra buffer.

Refinance that rental at say 100k,at 70% LTV and get 70k back.

Now with the 70k you can either pay off the first rental again, pay off the additional amount you put on your primary residence or use that money to scale and buy more. Now these are arbitrary values but you get the point.

Hope this helps!

Hello All!

I'm a real estate investor from Central PA, I currently have 16 units, mainly single family and multi family(4units and under). 

I'm looking to expand my network and meet folks in other states, was wondering if anyone is hosting any online meetups that I could join.

Thanks!

Hello, everyone!

I recently learned from a neighbor that one of my inherited tenants is planning to move in three additional children into her apartment. According to the lease, only individuals listed on the lease are allowed to live there, and any changes must be reported to the landlord. The property is a three-bedroom unit, and there are already four occupants: two children and two adults.

I reached out to the tenant after learning about this situation, and they explained that they had obtained emergency custody of their nieces and nephews from CPS. However, one of the bedrooms is quite small to accommodate two beds.

I have some concerns regarding code compliance, as it seems there may be too many people staying in the property, and the rooms may not be suitable for that many children per bedroom.

What should I do in this circumstance?

Hello!

I am looking into shifting some of my properties to Section 8 and was wondering what are some of the best places to advertise to find prospective tenants that have a voucher already?

I am approved with my housing authority to be a Section 8 Landlord and have given them the properties that I want to rent to Section 8. They place your properties on a list and send them out to prospective tenants. I also post my properties on Facebook and Zillow, but have not had any inquiries from Section 8 approved tenants.

If you rent to Section 8, what ways are you advertising to find tenants?

Thanks!

 I invest in Altoona PA, and have a 4unit. I use Solensky Insurance Agency, they find the cheapest rates around.

Real Estate Attorneys,

My sister is currently facing some challenges with her landlord who is attempting to sell the property, despite having entered into a Rent-To-Own contract in 2021. According to the terms of the agreement, the house was to be sold for $25,000, with the last payment due in February 2024.

After reviewing the contract, the only way the landlord could get out is if they were 60 days behind which they never were, they have proof of all messages and rent sent. The landlord also never sent them any termination contract if that were the case.  

Is there anyway they could go to the courthouse and file a lien on the property? I'm not too familiar with Rent-To-Own/Land contracts or how they work from beginning to end.

This is in Pennsylvania, they have scheduled meetings with attorneys but would greatly appreciate your insights and advice on this matter.

For your reference, here is the link to the contract:

https://docs.google.com/document/d/12o0-BIXyo4PaFh5_zUEFH_VB...

Thank you for your assistance.

MLS, Auctions, Sherriff Sales, Tax Sales, Facebook Marketplace, Craigslist, Wholesalers, Direct Mail Marketing