All Forum Posts by: Tyler Mutch

My recommendation would be, if you have someone that could co-sign, is a house hack, go out and find a duplex that would make sense (close to work and places you hang out). Live in one unit and rent out the other, make sure the numbers work for you while you're in the house, and once you move out. This way you can get an asset for relatively low money down! 

@Carol C. I'm sorry, I guess I wasn't clear. The lease expires on the 15th of March, rent is usually due on the 5th. She is moved out, but is unwilling to pay rent for March, because she chose to move out before March 15th when the lease expired. 

An additional note: I have someone ready to move in, screened, and vetted. I could just let her go , and move the new tenant in.

Hello All, 

I gave a tenant their 30 day notice 40 days ahead of time, the lease is set to expire on the 15th of March. She is claiming that she does not want/need to pay for the month of March( due on the 5th) because she wasn't for any point in the month. She took the liberty of moving out early, and is now claiming that she won't pay and expects the full deposit back. Does any one have any advice or input ? 

Thanks! 

@Eric Matuszewski If you are doing owner occupied you may want to keep it under 4 units, you will be able to put less money down into the transaction, but watch out for the PMI if you choose to go with a low money down strategy. Milwaukee is IN GENERAL a cash-flow focused market!

Hope this helps. 

@Anthony Reyes I am in a very similar situation, young, big saver. I went out and purchased a single family rental all cash because I felt that I needed to get my feet wet and learn a couple of things. I am not sure how realistic that is for you in your market. Otherwise, if you are able to qualify for a loan and get 3.5% down and you work a decent W2 job. Why just shoot for a duplex, why not go for a 3 or 4 unit, similar lending rules should apply. If you ever have any questions about beginning as a young investor feel free to reach out! I hope this helps! 

As far as books go, there are a lot of good recommendations generally found at the end of the biggerpockets podcasts if you are at all into those! 

@Al Costanzo I would even try for a 2-3 bedroom house hack and sublease the other bedrooms in your side of the Multi-family. I think that the vacancies and repairs could become an issue, but also could be mitigated if you ran your numbers more on the conservative side, so if your expected vacancy for your area is around 7%, I would run the numbers and make sure that your numbers still work when ran at a 10% vacancy! 

@Thomas S. I just started to follow this post, is your math saying that it would be easier to achieve that $833 a month if you had multiple properties for that 100k in equity. Rather than taking the 100k and spending it in one place trying to achieve the $833 mark? 

You say that the equity is reducing the properties cash flow by the 10% it deserves as the lost opportunity value. How would someone be able to reclaim that opportunity value? Pardon my ignorance, but what is opportunity value, is it just money that could be spent somewhere else, and what does it have to do with the return rate? 

Also, based on your formula, wouldn't owning it free and clear erase the "debt repayment" portion of the equation, actually increase the monthly cash flow. I know that owning it free and clear and paying it down faster are two different things, and that it causes your money to be slow. I am just trying to understand things here a little better. 

Thanks! 

@Al CostanzoWelcome,  I bought my first rental property while attending school back here in Milwaukee. My guess would be that we a little bit smaller barrier to entry out here than West Virginia. My biggest learning point was the podcasts, I was able to drive to work, or be going about my daily routine all the while be learning about real estate. If you ever have any questions feel free to reach out! 

@Linda Hastings thank you I will check those out!