All Forum Posts by: William S.

Think long term.

I have commercial land in the college town of Lawrence, KS. Seeking to make a connection with developers in the commercial space.

Land for sale. Great for commercial development opportunities! Located in the college town of Lawrence, KS. Near the new Rock Chalk park sport complex. Contact me for details.

https://www.remax.com/realestatehomesforsale/land-...

I've got a property with some equity (rental). Cash flow is great, but plan on selling in 3-5 years to trade up into A-class rentals. What should I do with this equity? What should anyone do when they have some slight equity?

@Dave Lawrence

Insurance is actually $72/m, but I still am seeking around $50/m from another provider.

The biggest issue with keeping it is that it's on a slab. Plumbing is original, so if I keep it long term, I'd want to update that. Who knows how much that would cost........

@Clayton Mobley

• Yes. It is not an ideal situation. At this point I'm focusing on how to improve the situation as a rental.
• I do have another rental that is performing well. Originally bought as a rental is why. High cash flow and $25-$30k in equity, but I am not interested in doing a cashout refi. Saving that for a later date when major repairs are needed
• So my current portfolio looks like this
  • Houshack duplex. Pays for the PITI of a 3.5% down FHA loan in a A-class area
  • 1 SFH rental that performs well
  • 1 SFH converted rental that isn't the greatest
• I can fund the $15k rehab with a 0% interest Credit Card that I can payoff easily before the 15 month term

@Clayton Mobley

• We had a list price offer for $127,500. I bought it for $121,000 two years ago
• Buyer got cold feet. Strange to work with
• Owe roughly $90k on the loan
• Needs to rent in August because of the weather up here. Everything is very seasonal based
• Can only find buyers and renters from May 1st - Sept 1st
• Kitchen remodel would have to get done. Cabinets are original and falling apart
• If it does not sell this year, it'll be hard to ever sell. Selling time frame is short
• Was never intended to be a rental, but may be forced into making the best out of it

@Account Closed

The area will not get worse by any means. It's a solid area, but by no means high appreciation. It'll just keep up with inflation that's it.

Interest rate is 3.74% with 20% down. Only equity is the 20% down and maybe an extra $5k. Can I still tap into the equity/down payment to fund my rehab?

@Mike Lowery @Antoine Martel @Clayton Mobley

Thought I'd follow up on this post. We had an offer but it fell through. Due to the time of year, I'll have to rent it out in August. 

• If I hold it, I can increase the rent to $1,200 but I'd have to do a kitchen remodel and other repairs ($15k)
• Self manage, but hire out leasing
• Find new insurance. Current rate is way too high
• This would leave me a cash flow of roughly $160/m
• Appreciation for the area would only keep up with inflation

Thoughts?

@Nick C.

I have this problem. Not sure what to do. 

Bought for $112k

Cash Flow after PITI, maintenance, PM = $443/m

Appraisal is $145k @ 75% LTV 5% (estimated)

Cash Flow after PITI ($25kish cash out) = $250/m

This is not factorting in CapEx. Monthly cost of that is $166/m, but I have $5k of reserves to cover anything. Additional cash flow and appreciation will be used for CapEx (stuff in like 15 years from now).