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31 January 2025 | 5 replies
They have no 2-factor authentication and don't email you to confirm that you want to update your login, both of which I'd consider industry standard these days.
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27 January 2025 | 14 replies
A property that may not have great cash flow could still be a great performer because of the appreciation factor.
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28 January 2025 | 6 replies
Brewerytown and East Passyunk could also be worth exploring.Big projects like Bellwether can boost neighborhoods, but they often take time to show results, so don’t count on them as a main factor.
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2 February 2025 | 7 replies
I understand there are some other factors I glossed over like gaining the approval of the first seller to switch collateral and the lien in second position, gaining approval of the second seller to put a second position lien below the big loan, and scheduling the sale of the first property to coincide with the purchase of the second property.
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27 January 2025 | 6 replies
@James Boreno You’ll likely owe taxes, but don’t forget to account for your adjusted cost basis, which factors in the original purchase price, depreciation over 10 years, and any capital improvements.
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27 January 2025 | 0 replies
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15 February 2025 | 21 replies
You should have a good idea of every expense you have in your primary home, then add the STR specific: (These are rough estimate numbers, depending on various factors)STR insurance - a special insurance that covers both the property and your liability, could be $2~4k in areas without natural disasters, could be more than $10k in some other areas.cleaning fee - approx. $50 per bedroom, so a 4-bedroom house will cost you about $150~200consumables - bathroom supplies, kitchen supplies, beverage supplies: $20~30 per week, depending on how much you providewear and tear - towels, linen, kitchen utensils, some furniture: $1000~2000 per yearRepairs/replacement for things that guests break or steal: $1000~2000 per yearAlso, if your personal use is less than 14 days a year, the entire property's expense is deductible against STR income, but if you use more than 14 days, then you will have to calculate the proportion of how many days it's rented out vs how many days you or your family uses.
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4 February 2025 | 13 replies
Be sure to factor in repair costs to keep things profitable.
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29 January 2025 | 0 replies
This factoring includes the presence of competent contractors who can limit unforeseen surprises and costs.Myth 2: They're Too Risky to Invest InThere is risk in any investment; however, distressed properties are not inherently riskier than any other real estate investment.
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7 February 2025 | 11 replies
I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).