Real Estate Investing: Contractor abandoned my job |
- Contractor abandoned my job
- Consider a "Reverse" 1031 exchange
- 23 active duty seeking mentor
- How Much of My House Appreciation is Actually From Interest Rates?
- For those of you who are waiting to buy why are you waiting?
- Considering buying a lot, building a shipping container home on it, and then getting a mortgage. Advice?
- "I buy houses" Signs Question
- Rental Price "Collapse"
- What would you do: 7/1 ARM at 2.875 or 30yr fixed at 3.125?
- Selling house and want to replace flooring to make more attractive. What type of flooring do I use?
- Add a second unit to a Single Family Home FHA property?
- Loaning into a LLC
- First Investment and a Proper Start...
- Central AC - Just learning
- Maryland - AA Co. looking to buy 1st property
- Re-investing the net proceeds in a 1031 exchange
- Property with multiple owners, current mortgage is the name of deceased person, which owner(s) should apply for cash out refinance? Want to keep taxes/accounting simple if possible.
- Asset manager doesn't want to work with a 1031 exchange
- How to buy foreclosed properties in California?
- LLC for a property with under 50% occupancy rate?
- [NYC] Commercial Industrial leases - Looking for good resources / info.
- Looking to start my property investment. What is your advice?
- Biggest hurdles for purchasing property in the US as an overseas investor?
- Buying a Condo to rent individual rooms out to college students
| Posted: 31 Aug 2020 07:52 PM PDT Just a weird experience and I wanted to see if anyone had any insight. We are out of state investors. Partner and I used a contractor to fix up one unit in our first quad and while we didn't love his work, decided to use him again on a duplex we were taking down to the studs for a remodel. He started the job in February and things seemed to be progressing well until June or so. All of a sudden it seemed like the update videos didn't change much. He mentioned on a few phone calls that there were lots of delays with COVID and some of his guys weren't working. He was also having trouble getting inspections done, again supposedly because of COVID. 3 months later with little to no progress I started leaning on him a bit to get explain. He again blamed COVID delays but also said he couldn't find a reliable plumber to coordinate with the plumbing inspector. At that point I started mentioning that if he can't get it done to just let me know so I can find another contractor. He supposedly found someone to finish that plumbing up and then I asked him for a new schedule/budget to finish our the project. He promised he'd get it to me a few times and then dissapeared. No answer to texts or calls (I was doing one call daily followed by text instead of voicemail. 10 days go by and I let him know today that I'm looking for a new contractor and just wanted to confirm the code for the lockbox. He responded immediately with the code and said he'd have his guys come pick up their tools. I asked if he wanted to talk about what happened. He said "it doesn't matter" and "I don't want to argue and damage our relationship" (that one's a mystery to me since I'm not sure how the relationship isn't damaged at this point). I asked if all the work I paid for was done... And he's responded "I don't make any money until the end of the job. I have more into the job than I've collected at this point." And added her likely wouldn't have made anything money on the job. So is that what happened? Did he do the math and decide it wasn't worth continuing at the quote he gave me? It's not as though I haven't paid for overages on other jobs. I feel like that's just par for the course when working with contractors. Has this ever happened to anyone? Edit: to be clear, I was paying him for materials and labor as he needed it, so assuming he did all the work I paid him for I may not be out anything but time. [link] [comments] | ||
| Consider a "Reverse" 1031 exchange Posted: 31 Aug 2020 07:29 AM PDT Very little known, but a highly effective way to increase your profit margins and save on taxes Most people believe that you have to sell an investment property before you buy the replacement property. But you can sell the investment AFTER buying the replacement(s).....legally and guaranteeing all tax benefits. I've done it many times and have been able to do very well using this technique. I encourage all investors to research this option, and consult a competent 1031 exchange specialist to help you. Good luck [link] [comments] | ||
| Posted: 31 Aug 2020 03:29 PM PDT Looking for a mentor in the San Antonio, TX area. Willing to work on off hours for free in exchange for training and mentor ship. Currently saving a nest egg for an investment property. I have a stock portfolio and am looking to start a real estate one. Particularly rental properties. [link] [comments] | ||
| How Much of My House Appreciation is Actually From Interest Rates? Posted: 31 Aug 2020 10:27 PM PDT Sensitivity Table Linked Here [Image] So we already all know that lower interest rates drives up house prices because people can afford more mortgage, and thus more house. But I was curious as to exactly how much (for my rental property). So I made a little chart linked above, with round numbers for illustrative purposes. So let's say you bought a place 2 years ago for $250k, 10% down, at the prevailing interest rate in 2018 (4.5%), 30 year term. You'll see on the left side I've pulled out some rudimentary assumptions:
So for our sample property we start at the 4.5% row and go to the right until we hit the orange, then look up at the column header. That's how much house one could afford with the assumptions above in 2018. $250k house. Then we switch to the 3.0% row (FMAC-reported 07/20 interest rate) and go to the right until we hit the blue. $310k house. When I punch in the actual numbers from my investment property, I find that the second value is almost 100% spot on for the current selling comps. This means that there is a good chance that my house's price increase is completely explained by:
(At least for my area), that means I can forget all the other explanations I've heard....COVID behavior, cost of materials, etc. What does all of this mean? Nothing new really, besides some colorful charts. Amazon could move in tomorrow and then my spreadsheet would be useless. [link] [comments] | ||
| For those of you who are waiting to buy why are you waiting? Posted: 31 Aug 2020 05:15 PM PDT | ||
| Posted: 01 Sep 2020 02:32 AM PDT So I have my eye on a piece of land in a desirable location. It's a popular area for weekend trips, Airbnbs, etc. I have enough cash to buy the land, with a bit left over, so I want to build a shipping container home on it. It wouldn't be the only shipping container home in the area. I'm sure I could take a personal loan to cover the cost of converting the shipping container into a home. Once that's done, I want to try and get a mortgage on the house and use it to pay off the loan. The rest of the cash I'll use for other investments nearby. I plan on living in the home I've built, so I can be nearby my other projects. My concern is that lenders might be weary of offering a mortgage on a container home. Does anybody have experience with this? Also, I'm afraid the personal loan will work against me in getting the mortgage. It will be like $20k, and I don't have any other debt. Any general advice on a project like this? [link] [comments] | ||
| Posted: 01 Sep 2020 02:06 AM PDT I put one up the other day in a vacant lot I own and received a call from someone wanting to sell their house. My question is, what do you say to people to convince them to sell their house for less than they could get on the open market? Also, how do you make an offer on a house through the phone without having ever seen the interior of the house? Are the people that put these signs up going to the house and inspecting prior to making an offer? The house would be worth $165k in 90% shape and I offered him $100k. The house realistically needs $10-$20k in repairs which I explained to him. I also told him we would forgo real estate agent fees, closing costs, etc but he did not seem very pleased with my offer and thought it should be closer to $150k. [link] [comments] | ||
| Posted: 31 Aug 2020 10:15 PM PDT
| ||
| What would you do: 7/1 ARM at 2.875 or 30yr fixed at 3.125? Posted: 31 Aug 2020 06:55 PM PDT This would be a jumbo loan on a vacation area rental property that I would get to use some. Plan on holding it long term. Seems like interest rates are about as low as they will ever get, which kind of scares me for a for a 7/1 ARM. Adjustments are capped at 2%/yr 6% max on the ARM. I obviously take reddit advice with a grain of salt, but it is interesting to hear how people approach/think through things. [link] [comments] | ||
| Selling house and want to replace flooring to make more attractive. What type of flooring do I use? Posted: 31 Aug 2020 04:46 PM PDT I am selling one of my houses. The entire house is pretty well updated, except for the living room floor which i think is dark and unappealing. I want to replace it with a lighter natural wood flooring that looks high quality to maximize sale value. This is the current flooring (brown stuff) which I think looks bad: https://imgur.com/gallery/GSB7jtg My contractor recommended Trafficmaster "Luxury" LVP flooring. This to be exact: https://www.homedepot.com/p/TrafficMaster-Teak-6-in-W-x-36-in-L-Luxury-Vinyl-Plank-Flooring-24-sq-ft-case-53712/100609202 I went to home depot to check it out, and was surprised at how flimsy this "LVP" is compared to "Laminate" flooring of similar price. What type of flooring exactly do you recommend to make this house look better? [link] [comments] | ||
| Add a second unit to a Single Family Home FHA property? Posted: 31 Aug 2020 06:45 PM PDT Can I add a second unit to a single family property purchased with an FHA loan? Would there be restrictions on what I could do with that second unit (rent it out or condo and sell it off)? [link] [comments] | ||
| Posted: 31 Aug 2020 11:33 AM PDT I am leading a group of (4) total investors from California that are looking to purchase a small 1-4 unit (non commercial) multi family property in Arizona. We have a combined $140,000 for our down, looking to purchase a property in the $450-500K range in Arizona (open to other states but focused in AZ for now). We are all friends, but we want to structure the investment as an LLC. Does anyone have experience doing this? I've read about quitleases post close, but is there any way that we could close the loan into an LLC (no operating history on the LLC)? Any specific banks or contacts that can help us achieve this? [link] [comments] | ||
| First Investment and a Proper Start... Posted: 31 Aug 2020 12:16 PM PDT To start, a quick summary of the situation: This investment is currently in it's planning stages with the involved people saving up over the next 24 months to purchase a property. Our goal is to lessen the impact of our first property purchase as well as divide the work between a total of 3 people. We also plan to manage the property ourselves, avoiding property managers until we actually need them. We've agreed that doing it ourselves is going to be invaluable experience for when we expand and purchase additional properties. Some questions i have are:
Let me know if you need any additional info or have questions for us, ok respond as best as able. I appreciate any and all advice! [link] [comments] | ||
| Posted: 31 Aug 2020 07:05 PM PDT Hi all! I am brand new to real estate investing - I'm just casually browsing and learning and hope to enter into a flipping/rehab situation in the near future. A lot of the homes I have been looking at are historic and as a result there is no forced air heating system or central AC. I'm sure it depends on the size of the house and a multitude of other factors- but throw a ballpark figure at me -what is the rough cost of adding this to a home? OR what if there is already a forced air heating system - what would be the cost to add in central ac at that point? [link] [comments] | ||
| Maryland - AA Co. looking to buy 1st property Posted: 31 Aug 2020 06:38 AM PDT I'm curious if there's any Maryland landlords in here. Looking to buy a rental property and capitalize on the large military presence here. I live in an area with a lot of active Navy personnel and I've been looking at Odenton/Annapolis. Curious if there's any other areas people would recommend? [link] [comments] | ||
| Re-investing the net proceeds in a 1031 exchange Posted: 31 Aug 2020 05:04 PM PDT Let's say I bought a duplex for $200k, I've paid the loan down and still owe $100k. The duplex is now worth $300k and I sell and intend to buy another property for the purposes of investing. For the 1031 exchange could I buy a replacement property for $100k, sheltering the capital gains, and paying off the existing loan and keeping what I paid toward the loan? Or would I need to re-invest all of the net proceeds on a $200k property? Or (as someone just told me and research seem to say yes) does the replacement property have to cost as much as the relinquished property? Otherwise there would be a boot? What would I be taxed on if all of the net proceeds are re-invested? [link] [comments] | ||
| Posted: 31 Aug 2020 04:22 PM PDT Not sure if this is the best sub to post this in--if someone thinks somewhere else would be more appropriate please let me know. This sub was the first that came to mind as far as finding some people who might have similar circumstances. A family (parent + 3 children) owns four SFH rental properties with the following ownership interests for each property: parent: 1/2 interest child 1: 1/6 interest child 2: 1/6 interest child 3: 1/6 interest Properties are not in an LLC. A loan exists for one of the properties (the loan is in the name of a deceased borrower). Loan balance is $117k and property is worth approximately $450k. The family wishes to do a cash out refinance (up to hopefully 75% LTV = $220k additional cash out) in order to 1) lock in a lower interest rate and 2) get cash to invest, probably in more real estate. The long term goal is to grow the family's portfolio while trying to minimize the parent's net worth (in order to minimize / avoid estate tax down the road). Bonus if this can be achieved without major headaches related to taxes and accounting. Who should apply for the loan? The parent has the greatest income. I don't think any of the children would qualify by themselves. Putting all four individuals on the loan seems like it could be a real hassle as far as the application goes, but it might keep accounting and taxes simpler in the long run. Currently, for accounting and tax purposes, all rental income and expenses are divided according to the interest described above, which keeps things simple. And in case anyone can answer a related tax question: if the cash obtained via the cash out isn't immediately used for funding more rental real estate, does that significantly complicate how the interest and the points apportioned to the cash out can be deducted in the future? [link] [comments] | ||
| Asset manager doesn't want to work with a 1031 exchange Posted: 31 Aug 2020 10:19 AM PDT I found a property I would like to purchase as a replacement property in a 1031 exchange. It is a VA owned property. We submitted a cash offer and were told there were two other offers on the table. We were told that our offer is the highest but the asset manager does not want to deal with a 1031 exchange. There realtor and myself are at a loss as to why the asset manager would feel this way. Realtor is trying to follow up with the listing agent to see if there is any way we can make this work. Is this a common issue with REO properties and doing a 1031 exchange? Any thoughts on why the asset manager has reservations dealing with a 1031 exchange? [link] [comments] | ||
| How to buy foreclosed properties in California? Posted: 31 Aug 2020 03:07 PM PDT I've done a search here, and it seems like auction.com is not a site to go by? So where would be a good place to find foreclosures in CA? To clarify, I am interested in more rural areas, so NOT SF/Bay Area/LA. I own one SFH that I turned into a rental when I bought my new house. I'd love to connect to any local realtors as well around the Central Valley. [link] [comments] | ||
| LLC for a property with under 50% occupancy rate? Posted: 31 Aug 2020 02:44 PM PDT I just picked up a small second property for a weekend getaway. I plan on using it for short term rentals, but don't plan nor do I expect the property to be cash flow positive or seeing any IRR. For tax purposes, my financial adviser said the best plan was to purchase in my own name and then convert to an LLC if I go down that route. I had a few questions that I was unable to figure out and was hoping someone here could help.
Thanks! [link] [comments] | ||
| [NYC] Commercial Industrial leases - Looking for good resources / info. Posted: 31 Aug 2020 01:59 PM PDT Hello everyone, I was wondering if anyone has any material they'd suggest to learn more about leasing industrial properties in the NYC area. Looking for a property for a startup and I've never done any thing close to this before. The few phone calls I've made it's clear I need to educate myself more on the subject and I'm just looking for resources. Thank you all in advance! [link] [comments] | ||
| Looking to start my property investment. What is your advice? Posted: 31 Aug 2020 01:51 PM PDT In the coming months, my grandpa will be passing away, and I'm going to have 6 acres split between me and my dad. 3 of it will be mine and 3 will be my dad's. The land is just outside of the city limits, close to a high school, middle school, and about 30 minutes from a university, and pretty soon new residential developments will be approaching the land. My plan is to live in the house that's already there and buy three or four 2 bed 1 bath mobile homes and rent them out. I know mobile homes have a bad reputation but I feel with me living on the premises I will be able to upkeep them and maintain them so it doesn't end up "trailer trash" I am a complete beginner to investing and renting out property. I know this is something I've always thought about but I don't know the first place to start. Do you have any advice? [link] [comments] | ||
| Biggest hurdles for purchasing property in the US as an overseas investor? Posted: 31 Aug 2020 12:55 PM PDT Hi All, I am thinking about purchasing my first investment property in the next year or so. Where I live, property prices are ridiculously inflated (average property price >£500k/$660k), so was thinking it would be better to look at property in the US where it is slightly cheaper in order to get on the ladder in a shorter time frame. What would be the biggest challenges and any hidden challenges an overseas investor would face when looking to purchase property in the US (bearing in mind I have no ties in the US at all)? Obviously there will be extra costs when it comes to property managers, are there any additional costs to face? What are the legal costs like? Is it even feasible at all? [link] [comments] | ||
| Buying a Condo to rent individual rooms out to college students Posted: 31 Aug 2020 12:49 PM PDT My real estate agency sent me a interesting offer today. The seller is selling a number of condos near a local college for $210k each. I can buy multiple unites or just one. For the sake of this post, we will use just one unit as an example. Each one has four bedrooms (each with its own on-suite), but the four room share common space (kitchen, living room, etc.). They are currently full and leased to college students until 7/1/21. Each room is rented for $475 for a total of $1,900 a unit. HOA is $130 a month and covers common area maintenance (lights, parking, landscaping), exterior maintenance, trash pickup, clubhouse, and insurance. I've contacted property management companies in the area to see if any are willing to assist as I'm personally not wanting to deal with the tenants directly; and I live an hour away. The current owner does not use a property management company. Current owner is selling because they want to fund more commercial-type investments. Thoughts on this deal? Anything I'm missing or should consider? [link] [comments] |
| You are subscribed to email updates from Real Estate Investing. To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google, 1600 Amphitheatre Parkway, Mountain View, CA 94043, United States | |
No comments:
Post a Comment