All Forum Posts by: Victor B.

Hi Shawn Holsapple, thanks for the feedback. This definitely helps.

Welcome to BiggerPockets Tom/Wendy.

You will soon figure out why your good friend gave this site such raving reviews. It really is a great place to learn and network with other investors and professionals.

Best of Luck!

Hi @Uwe K. I would much rather invest in state but the prices here are out of my price range and wouldn't yield much cash flow. I did want to confirm that the duplex is a 2BR lower and 1BR top. Thanks for the feedback and advise on how to do further research.

Hi Joel Owens thanks for the feedback. You make several valid points. I am currently working with the realtor to get more detailed information, but I will definitely take into consideration your feedback as I continue to look for a deal.

Hey Andy Collins thanks for your input. These issues are definitely top-of-mind.

Shout out to Mehran Kamari for referring me to this part of the site. I'm getting a lot of great feedback from everyone.

Hey @Jeremiah B. the $350 for taxes/insurance/water came from the agent. He did say they were conservative numbers. One thing I did want to clarify is that he is not the listing agent and is actually representing me as a buyers agent. I will make sure to call different property management companies for more detailed expense estimate.

Hi @Adam Johnson thank for the great pointers. Unfortunately this property is out of state so I may need to reach out to multiple property managers, other investors, or agents to get feedback on the area. I live in California and this property is in Milwaukee. I used Google Maps, Trulia, and SpotCrime to get a general feel for the area. The Google Street View feature allowed me to virtually drive thru the neighborhood. When doing so I did pay close attention to the type of cars and property conditions. The houses seemed to be well maintained and the cars seemed to be average. Of course this is not the same as driving the neighborhood in real time but I believe it works as a starting gauge.

Hey @Joseph Weisenbloom thats a really good question. With that in mind I think it is going to be extremely important to find a really good property management company.

Thank you guys for the feedback.

Any other feedback or comments would be greatly appreciated.

Hey BP,

I wanted to get feedback on my first possible deal. Please let me know what you guys think.

The owner of the home passed and now the son is selling the property. The unit in which the owner lived in is vacant but the second unit has a long term tenant that is willing to pay $400/month to stay in that unit. He is currently on a month to month verbal agreement.

Purchase Price: $40,000

Expenses on repairs & cosmetics: 3K to 4K (Estimate by Agent)
Financing Assumptions:
Down Payment: $8,000
Apprx. mortgage Payment: $168 @30yr Term
Rents for each unit: These are fairly conservative numbers.
1st Story- $600 (Vacant)
2nd Story- $400 ($275 now)
Property tax, Insurance, and Water : $350/month

Management Fee: $100/month (10% gross rent)
Vacancy: 8.3% estimated
Individually metered? Yes

Big Ticket Items: Roof, Windows, and Furnace were replaced in the late 90’s. Electrical Fuses were updated to breakers.
Area: Borders the end of rough neighborhood. According to Agent neighborhood continues to improve.

Concerns:

House was built early 1900’s

Exterior of house has an asphalt/asbestos mix

Lead base paint disclosure

Please let me know if I missed anything. Any feedback or comments would be greatly appreciated.

Thank You.

Hi Renee,

I couldn't agree with Dell any more. He highlights some really good points.

I made this mistake myself and now owe taxes on an entity in which I hold no assets in. I would also recommend waiting until you have a deal.

Best of luck!

Welcome to BiggerPockets Michael,

You came to the right place to learn more about Real Estate Investing. It seems like your off to a good start lining up a group of professionals.

Good luck on your current deal and future ones to come.

Welcome to BiggerPockets Nicole.

Although I cannot relate to having children I can say that I also struggle with the concept of taking on debt. I like listening to the Dave Ramsey show as well but I like to think that there is Good Debt and Bad Debt. If you haven't done so I would recommend that you read Rich Dad Poor Dad. Make sure to stay active in the forums and ask questions.

Best of Luck!

Welcome to BP Kurt.

You came to the right place to learn and network. Make sure to stay active in the discussions and ask questions.

Best of Luck!