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21 May 2024 | 3 replies
Since I'm just starting out, I wanted to invest in new construction property that will likely have lower maintenance costs in the short term.How did you find this deal and how did you negotiate it?
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20 May 2024 | 1 reply
Both properties fall into Class B- category and has no HOA and no rental restrictions.Here are the details for each property:Property 1:3 Bed, 2 Bath (1020 sq ft)Purchase Price: $250,000Moderate rehab needed (Kitchen, floor, bathroom sink vanity, light & fan fixtures, interior paint)Rehab Cost: $30,000After Repair Value (ARV): $295,000Down Payment: 20% (Out of Pocket: $50,000 + $30,000 (rehab) = $80,000)Projected Rental Income Post-renovation: $2100/monthProperty 2:2 Bed, 2.5 Bath (1168 sq ft)Purchase Price: $230,000Moderate rehab needed (Kitchen, floor, bathroom sink vanity, light & fan fixtures, interior paint)Rehab Cost: $30,000After Repair Value (ARV): $295,000Down Payment: 20% (Out of Pocket: $46,000 + $30,000 (rehab) = $76,000)Projected Rental Income Post-renovation: $1900/monthThe location is moderate, with amenities like shops, restaurants, a mall, and a baseball stadium within a 5-mile radius.Considering buying both as they are in the same building, the total cost and income overview would be:Total Price for Both Properties: $478,000Down Payment & Closing: $96,000 + $10,000 = $106,000Total Renovations: $60,000Total Price (Including Renovations): $478,000 + $60,000 = $538,000Total Out of Pocket: $166,000Projected Gross Rent Monthly: $4000The rate of interest for the mortgage is 7.5%.I am currently evaluating: A) The break-even point for two townhomes considering a cash investment of close to 32%.
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21 May 2024 | 8 replies
Repairs cost more than anticipated
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21 May 2024 | 6 replies
If you decide to go that route, hire an experienced management company and underwrite very conservatively otherwise you could get ruined by high maintenance & turnover costs and potentially evictions.
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20 May 2024 | 3 replies
Hi bought ten lots of land in Sebring Florida its R# zoned paying for upfront construction cost need help with getting a mortgage once its built so I can continual to build on the rest of the lots going to be about 18 homes made of containers I have 3 other investors working with me.
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20 May 2024 | 32 replies
It always seems to take longer, cost more and cause more stress than I plan
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20 May 2024 | 88 replies
An LLC seems to complicated and costly at the moment.
20 May 2024 | 5 replies
That's three months of mortgage and utilities, the cost of flooring, and the cost of painting.
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17 May 2024 | 11 replies
You can go to another CPA that just files and doesn't really look into your financials and their cost could be less but you're actually paying for it in the long run.
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20 May 2024 | 7 replies
It costs 10k for them to complete one deal for you and to get your foot in the door.