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5 March 2024 | 11 replies
: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+, 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, 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.
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5 March 2024 | 7 replies
If you're using contractors and getting multiple quotes, they typically can buy material at better prices so I'd let them.
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6 March 2024 | 13 replies
It’s typically 3-5 years but can be bought down/out completely depending on lender and state.
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5 March 2024 | 15 replies
@Philip FeinsteinMost CPAs charge separately for tax prep and advisory services.
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5 March 2024 | 4 replies
Mods, if this is in the wrong area please move or delete.I pay for a monthly service that gives daily updates to the mortgage market, specifically how MBS are trading and market influences that sway pricing.
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5 March 2024 | 5 replies
For that reason, I focus on looking at investments with value-add opportunity, and thus turnkey properties are less attractive to me.My metrics, then, are typically if my purchase price, remodel costs, and holding costs are less than 70% of the After Repair Value, it's a good deal for me!
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5 March 2024 | 34 replies
Ask your HR department if your company supports an in-service rollover of your 401K to an IRA (which can be a self-directed plan if that's what you want).https://www.401krollover.com/what-is-in-service-401k-rollover-plan/Once I reached a certain age (late 50s), my 401K plan allowed for an in-service rollover.
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5 March 2024 | 7 replies
Typically a lender wants to see a couple years of documented employment/income history.
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5 March 2024 | 6 replies
Traveling professionals are typically going to use a site like FF or Airbnb.
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5 March 2024 | 25 replies
I personally don't like pay too much attention to ProForma as I can't predict the future so I usually just like to know if cash flow is good AND more importantly if I'm financing, if the DSCR (debt service coverage ratio) is high enough to safely qualify for financing (usually above 1.2).