All Forum Posts by: Timothy VanWingerden

The eviction process wasn't too bad for me. My attorney charged a flat fee of $300 which included all of the filing fees and he took care of everything for me. I just had to show up at court. This is in a small town though so I'm sure it varies by area. 

Just make sure the numbers really do work. On my first deal I thought I knew how to calculate rehab costs and I was about 35% over budget.

Since you are using the money from the cash out to pay off another loan your interest should be deductible. 

@Charlie Moore I want my C class homes to stand out among all the others so I can get THE best possible tenants. Just because it is C class does not mean you don’t make the necessary repairs and present the house well. Tenants need to know exactly what my expectations are and the best way to communicate that is how you present your property to them.

@Charlie Moore Cleaning is so tedious to do? The presentation of your rental dictates what type of tenant you will be getting. Hire someone to clean the property and be sure to write up a good punch list on each turnover. It might sound minor, but this will make a huge difference in the long run.

1) Rich Dad Poor Dad

2) The Book on Rental Property Investing - Brandon Turner

3) What every Real Estate Investor Needs to Know About Cash Flow...And 36 Other Key Financial Measures.

4) The Book on Managing Rental Properties (if you are self managing).

I wouldn't do it if it were me. I use mint personally and my personal finance is fairly complex as well. Even though Quickbooks isn't the most intuitive, as you continue to grow your rental investing you are going to keep trying to retrofit Mint into something that it has not been designed for. I also like the idea that every rental payment is backed by an invoice on QB.

When you cash out refinance, you are putting your paid off property on a mortgage. From a tax perspective, your interest expense is deductible on your new mortgage. I'm not an accountant but from my understanding the cash you get from the refinance is from your equity so there are no capital gains taxes or anything like that because you did not sell your property. 

I would do the cash out refinance to pay off the short term debt if it were me.

I wouldn't put each SFH into a separate LLC. That is expensive to do for each SFH. My accountant charges a flat fee of $500 per LLC at tax time, plus you have around $200 annual filing fees.

If it were me, I would start by calling a handful of local banks to see what types of loans they will be able to offer considering the collateral that you have. With the properties paid off you have the option of a HELOC (home equity line of credit) where you can borrow against the equity in your home.

Best of luck!

@Emily Beatty I offered on both of those properties too! (I didn't get either of them). Glad that the property is working out for you!

Correction: it was March of 2018.