All Forum Posts by: Zack Thiesen

Thank you, Mike. Yes, I'm all for the inspections! Inhabitant safety is #1 for me, and making sure my rental doesn't devolve into chaos is also good. I was just curious on the details. I'd heard a little about the Amazon distro center... that's great news also. Thanks again for your insights!

Looking to invest in Davenport remotely and wondering if anyone has general area grades for the city. I have read that south of Locust St. in general is not the best area. Some general questions:

What are the best and worst areas? 

Is the city and county generally friendly or adversarial toward landlords? 

Are there any local legal quirks or nuances or hoops to jump through in Davenport? 

I've noticed the city on their website has an application for rental licensing. How frequent are inspections and what are they like, including initial inspection? 

If you are a landlord in the area, what has been your experience and your vacancy rates if you keep up nice, well-maintained units?

Any proposed changes on the horizon that may affect landlords in the near or longer-term, i.e. property tax reform, civic measures, building projects etc.

Thanks! Feel free to get in touch also if you have (or are) property management or contractor recommendations.

My sister recently purchased a home on a lot of acreage here in California. We are very close and she offered to let me build a small ADU/house on the lot. I'm in the process of selling a house and would have enough to build the building and other improvements like driveway, fencing etc. It's a tempting offer since the land would be free, more or less. I'd like to put all appropriate and very well-deserved warnings about getting into financial and RE dealings with family aside. That's something that, indeed, I am going to heavily weigh and consider. I'm strictly asking about the logistics of doing this.

My main question is: If I build a home on that lot, is there a way with a lawyer to isolate my share of the value? Is the only way to subdivide? If I wanted to sell when they did not, could I draft some contract with a RE lawyer that had them pay me out for my building and share of the parcel? It will be tough I think, since the added market value to the overall property will likely be less than what I will pay to build the property, but then again I'm not really looking for tit-for-tat value here. I likely will not sell for many years, during which time I hope there's enough appreciation to bridge that divide.

@Adam Tafel

The Fed printing funny-money and spilling it into useless sectors of the economy leads to severe inflation or hyperinflation. My bet is on that happening within the year. No joke. People think it's an impossibility bc it's never happened in the US. But if we've all learned anything in the last few weeks that is no excuse to not see obvious signs all around.

Preventing it relies on someone believing there is someone else in a position of power who could see that coming and prevent it. Let me know when you spot them!

@Russell Brazil @Chad C. I believe both of those statements, hahh. 

I've been reading so much about people arguing back and forth between gold, silver, USD, bitcoin, real property etc about what might be the better hedge or store of value in catastrophic economic conditions. But you have to ask yourself - even with useful or rare items - if things really hit the fan, who will be there to buy them from you, and with what? At least with fixed debt on property, you scale up with the new economy.

Just thought I'd pose this question amidst some of the negatives people are throwing around regarding buying real estate during this time, because I think it can be smart - if you do it the right way and find the right property - to buy real estate even now. 

Hypothetical question (that definitely has nothing to do with current world situation..):

If for some reason $1 became worth $500 would I then be able to pay off my 30yr fixed rate mortgage with a week's pay?

@Account Closed I know WI has a 50% raze order law on the books, meaning if repairs on home will cost 50% or more of home value, it is condemned. Although as I understand it, it is rarely enforced. As ridiculous and borderline deceptive as it would seem, title searches don't usually find this info and title insurance policy don't typically cover it either. I would try and back out mostly on seller failing to disclose, but it is possible there was raze order and the govt failed to get in contact with previous owner, but order is still effective. I remember reading a post like this a bit ago, where the city in WI didn't even record it or anything.. it would have been completely impossible to find that information out in any way, and yet they somehow still have authority to impose the order. Totally insane... I would look into what is behind the order, call city to see if seller was ever notified or successfully contacted (wouldn't take seller's or agent's word for it even) etc. 

I would get a lawyer and in the meantime refuse to sign and make a push to get my money back. Good luck!

@Bryan Mitchell Not seen anyone else mention it but if you are a DIY kind of person then tile is extremely cheap. For me it was even less than a laminate top, including tile, grout and bag of mortar. I use it in my places just bc I already have a tile saw though. I got some 12x12 slate-look porcelain tiles on sale at local building supply for last one. Super easy to clean, super hard, water resistant and don't have to deal with laminate peeling at all. And you can potentially get a great, natural stone look. Not so much affordable if you have to hire a tile guy however... just putting it out there though!

@Sandy Gabin

I would never let someone A) do the work themselves or B) hire it out to someone I didn't know where I wasn't involved in the process. A lot of people seem to think a bedroom requires a closet of some kind. If you really feel obliged to provide one, Amazon has a lot of affordable RTA/knock-down models in the under $50 range.

Personally I would decline this... Even if completely control process including arranging and vetting labor, review plans and cost with tenant, get in writing that tenant is willing to pay that cost for the improvement and upon moving out/end of lease that they make no attempt to dismantle or remove the built-in closet, it can still lead to a sticky situation. That last part is important since a walk-in is much more involved process, with framing, drywall, electrical and trim etc and if they tried to remove it or damage it when they left it could be a headache. But if it all went to plan it could also be a great benefit to you. As with all things in the real estate world, there is risk and reward. 

@Jason Ridout I save it for the right time and place, mostly for banks/lending. But I will say it matters to point.. there's a difference between frugality and appearing like you're a con man after leaving a business meeting and getting into your car with 3 donut wheels and a cracked windshield. I actually respect frugality, and most of the truly wealthier people I know (mostly work for at this point, as a carpenter and part time REI) drive pretty modest vehicles and don't bother dumping tons of cash into one of the worst performing assets of all time.

I don't dress that way or have a ultra fancy car because that's not who I am and don't feel like I need it. My pursuit of REI is for me and my family and I've got nothing to prove to anyone else but myself. I also grew up in a place where looking like you had money made you a target so there's that too, lol.