Tenants complaining about a broken stove when its stopped working because the grease build-up on the burner was not cleaned since the unit was rehabbed.

I was purchasing a duplex for $12,100 and everything was running smooth until the day of closing.Closing occurs, everyone gets their check and leaves.I get a phone call from the closing company 10 minutes later saying they discovered a $20,000 lien on the property from the electric company, and that they have stopped payment on the seller's check, and they are "undoing" the closing.The seller did not reply to the closing company until he found out his check was no good.

Cash out refinances where the subject property was purchased within 6 months (measured from HUD-1 date to the disbursement date of the new mortgage) when no financing was obtained for the purchase are allowed under the following parameters:o The new loan amount must not be more than the actual documented amount of the borrower’s initial investment in purchasing the property, plus the financing of closing costs, prepaid fees, and points – subject to the maximum LTV/CLTV/HCLTV for cash out transactions.

Electrical is easy... just stop short of wiring into the circuit box and there's no juice to electrocute yourself with... that said, you probably don't know all the compliance rules to pass inspection anyhow...Generally there's several outs... either through financing or inspection.

Does it make sense to put 50% down on a property and borrower at interest only with a 5 year balloon?

Our home in Santa Barbara has built up some equity, to borrow against for purchases.

Hi Sam,I don't have any articles for you so if that's the only thing you're looking for you can stop reading now.Last year I spent one month in Kawai looking at exactly this type of property.

If you can get a decent rate on the money you borrow, you can put that cash-flow to work in acquiring more properties.

So, less closing/selling costs and the cost of borrowing the money (just for round numbers say another $20k), I can expect to see $20k profit.The second question is, what is the maximum ARV on the house I could reasonable expect to get?

So I borrow a dollar at 3% for 30 years.