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27 December 2024 | 8 replies
@Phillip Austin we've looked into these and it's our opinion they should only be used with Class A tenants, maybe Class B - deifinitely NOT Class C or D tenants.Several companies in this area will no longer allow S8 leases or tenants under 600 credit scores - because of the high number of claims & corresponding claim amounts.
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27 December 2024 | 93 replies
Costs are too high and I'm into this for over 100K.I have feelers out for someone who might accept my lot as participation for an equity agreement in a new build.
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28 December 2024 | 8 replies
that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.
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24 December 2024 | 6 replies
Here is a fresh example, and it actually came from another tax firm (not mine) specializing in real estate.Let me briefly tell you why I crossed out their pitch:Strategy 1: depends on your 2025 projected net income vs your 2024 net income, among many other factorsStrategy 2: can backfire amidst the uncertainty of future tax rules regarding bonus depreciation, and also ignores alternativesStrategy 3: no rush to do it before December 31stIf you decide to continue reading, I will give you a high-level overview of the most common EOY tax strategies, obviously without an actual discussion of each one.
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25 December 2024 | 11 replies
Quote from @Itay Heled: I manage nearly 400 rentals and demand is high.
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29 December 2024 | 16 replies
I found that it is highly dependent on location and secondarily on time of year.
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3 January 2025 | 40 replies
Better to have half a dozen high end paid for props that take very little work and not so much drama..
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23 December 2024 | 3 replies
The numbers could make sense if you do STR, but it's still tough because the pricing for multis is high and the long-term rental return isn't that great.
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23 December 2024 | 3 replies
Without fully signing up I can't tell if they have just a few or a lot of properties listed.The concept is definitely interesting, and could work but if the number is properties is high.
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23 December 2024 | 5 replies
So like I am not going to run out and buy a bunch of lots in Lehigh acres or coral gables FLA which is saturated with new builds and un finished new builds were the FOMO got going big time and builders have failed to execute and left investors high and dry.