All Forum Posts by: Michael Ueltschey

Michael,
[EDITED: Here's an alternative]
Purchase Price is $147,900.
It has a 2 year lease in place to Law Students at $1800/month. Lease started 8/1/2009.

It is a SFR, which I prefer. Better exit strategy and better rates on your loan. Today a SFR Invesment Property 30 year fixed rate is 5.75 with out points. (assuming 740 credit score)
PITI is $938, with 25% down.

[SOLICITATION REMOVED]

Thanks,
Michael

Alex,

I have lived in a lot of different places. Research Triangle in NC being one of them. I agree that you probably can't make the numbers work where you are. I would focus on one or two areas in one market.

Do your research before you decide which market. For example I am avoiding South and West Jackson for now. Why? b/c I want all my rentals in retail areas with current comps, so that I have an exit strategy if I need to liquidate. Parts of South Jackson are ok, but I am willing to sacrifice a little cash flow in order to be in a owner occupied market. The risk/reward is better, which I feel make the long term investment better.

Fellas,

Let me be clear before I post...I have financial interest in selling this house I am the 100% owner.

I posted this in another area but here are the details.

4bed 2 bath with 2200sqft in Northeast Jackson, MS. Granite in kitchen and new stainless steel appliances...it;s a great lookin house.

2 year lease starts August 1,2009 for $1800/month.

Taxes 200/month w/o homestead. Insurance 85/month.

I don't have it listed currently, but did for $147,900. I have it rented above market but should be able to keep it that way due to it's unique location.

Please feel free to tell me if ya'll think this is a good deal or not. I took it off the market b/c I liked it as a long term investment, but my income has dropped a little in my current job and I could use the equity.

Thanks,

Michael

Mike,

I have the property if you still are interested.

Location NE Jackson, MS 39211
2200sqft 4bed 2 bath in great neighborhood.

2 year lease in place for $1800/month.
Leased to MS College Law Students. ie good tenants.

This in a retail market. So the exit strategy should be great in the furture.

I just took it off the market but it was listed for $147,900. Let me know if you would like to see the appraisal and some pics.

Thanks,

Michael

Mississippi

My first job was mowing lawns when I was 12. I babysat, cleaned roofs, coached soccer and did other old ball jobs to make money till I finished high school. I started selling cutco knives one summer and realized how you could make good money in sales. I played college soccer and was fortunate enough to play professionally for 4 years after. I made peanuts playing soccer but was able to stay out of debt.

My childhood soccer idol (Tony Meola) told me about the mortgage business while playing with him In NY. I came back to MS and started a mortgage company in 2006 towards the end of the boom. I had it for 2 years but shut down in early 2008 and took a Loan officer position with Countrywide. I am still there. I recently purchased my first investment property that I am trying to retail. I am trying to see if i can turn my investing into a full time gig.

I agree with Stephani $40k is not a low ball offer. What price did the bank start at? It is probably due a price reduction if its been on the market for 90 days.

I would flip it if you can move it fast. BTW you don't have to sell it for 80% for FHA. Mike what are you trying to say? FHA does a have seasoning on flips however so you may have to hold the property for 90 days before it is eligible for FHA. Conventional loans are fine.

I would start small. You can cash out up to 80% LTV on average right now. I would only go that high if you had steady job with the income to support the new payments.

With that being said if you are smart and do your due diligence you can make some good money right now in reo's.

What do rents go for in the areas you are looking? How much will you be in the properties for after rehab? Where do you see the areas going in the next 5 years?

These are all ?'s to consider.

Why don't you form an LLC and get taxed as an S corp. Pay yourself a small salary as an officer and then distribute dividends as they come in. This how many businesses are set up.

I am in a market (Jackson MS) where there are hardly any short sales being done.

On a trip out to California I heard that some of the better deals were obtained through short sales. The REO market is great here, but I was wondering if I could find better deals through short sale?

Thoughts?