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6 January 2025 | 2 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.
10 January 2025 | 2 replies
How many years managing is equivalent to the benefit of the 20% down?
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12 January 2025 | 6 replies
A Heloc is an open end mortgage same as a credit card the only benefit is that you only pay on the amount you borrow.
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9 January 2025 | 9 replies
As a result of being federally charged with these crimes, you may face monetary fines, penalties, prison time and other consequences of Equity Skimming.Equity Skimming and related penalties of sentencing are detailed in 12 United States Code USC Section 1715Z-19.
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8 January 2025 | 0 replies
The homeowner has direct title, can sell at any time and gets 100% of the appreciation and tax benefits on these houses.
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15 January 2025 | 13 replies
Timely because January 31st is the deadline.Sending 1099-NEC (formerly 1099-MISC) to contractors and vendors2024 update: While not directly related to sending 1099-NEC forms to your contractors, you may have seen the panic on social media about every $600 electronic payment reported to the IRS under a new law.
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13 January 2025 | 6 replies
This protects against potential claims and liabilities specific to the rental.For tax purposes, maintain clear records of rental-related income and expenses, allowing deductions for insurance, utilities, maintenance, and depreciation proportionate to the rental unit.
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6 January 2025 | 0 replies
When under contract at 300k with the expectation that codes would be the determining factor on what can be done on with the property, as it relates to new construction.
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5 January 2025 | 2 replies
You mentioned "The only problem is that these are 6 month lends, I'm 1.5 months into this, so any work that I do now will not reap any kind of benefits until 6 months from now."
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10 January 2025 | 2 replies
What I'm wondering is: is there a way to get the cash invested into this rehab back out of the property in a relatively short timeline, as if it were a BRRRR?