BiggerPocketsPodCastWholesaling101 You Tube ChannelKent Clothier - Memphis Invest channel

BiggerPocketsPodCastWholesaling101 You Tube ChannelKent Clothier – You Tube Memphs Invest channel

This is an older house, knob & tube wiring, which will obviously need updated for their safety.

Jon Klaus, speaking of web marketing...how's your you tube video doing?

Maybe it’s just a conspiracy by the manufactures of PEX tubing to get everyone to switch!

If you want to add A/C and you start opening up walls in an old building you might find a bunch of things you do not like.So on an old building asbestos, lead paint, galvanized pipes, knob and tube mixed with current electrical, undersized circuit panels, galvanized water main going to the, trees causing foundation issues, new roof needed, mechanicals needed to be replaced etc.When you start adding up the big things it doesn't look as pretty anymore.

Thats a economic test tube that noone can possibly claim to know whats going to happen.And even if you buy there, how do you know the area you buy in will turn up even if the city does turn around.  

Here is how I am estimating the financials for the short term for the building - both units together:Monthly Rent: + $2125 Mortgage, Taxes & Insurance: - $907.17Vacancy Rate: - $340 (this is likely inflated as there should be no vacancy for the bottom unit)Repairs: -$106.25Cap Ex: -$248.89 (everything looked to be in pretty good shape, at least 1/2 life left during the home inspection)Water / Sewage: -$120I'll be doing my own property management, lawn care, etc. at least in the short term.Total Cash Flow: $402.69 I believe the cash flow has a potential of reaching $619.94 / month once both units are renovated.Here's the rub - Found old knob and tube living wiring during the home inspection, one spot in the basement and a bunch in the attic w/ open splices.  

Wholesaling101 You Tube ChannelKent Clothier – You Tube Memphs Invest channel

I learned more in 2.5 Days from her, then from all the time I have read/listened to others (podcasts, seminars, blogs, books, cds, you tube, other investors etc).