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 Replies: 23 / Views: 3,076 |
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Bedrock of the Community
United States
20753 Posts |
Quote:
I can't believe that you can buy a house for $10K! Where I live you can't even buy a block of land for under $275,000, and then it would cost you the same to build a house.
Steve Similar all over the Chicago area but most people are really afraid to spend $0.10 on them. Many, many around this area are dirt cheap and no buyers. AND here is the worst part. NO RENTERS EITHER. And that is where you well may fall flat on your face. I suggest getting rid of one of them as fast as you can. If you don't and spend money fixing even one up and can't find a renter, then what? A friend of mine did that once, when he finally got a renter, they distroyed so much of the house, he had to start all over. Sue them? How? They just fled back to the country they came from. A person around here had a small store. Rented it out. One weekend the renters stripped the place, took off and were never hear from again. Again, I suggest getting rid of one of those houses fast. Work on just one, hopefully you can get a renter worth having. Be carefull in that buisness. PS: Keep your coins. |
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Rest in Peace
United States
9104 Posts |
That's when you sell the coins. They're your ace in the hole.
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Pillar of the Community
United States
666 Posts |
Buy both houses, don't sell any of your coins. Interest rates are at crazy levels. Take out a home equity loan on one of the two (I'd take it out on the lesser of the two). Use that for repairs. On a 10k loan at 5% for 10 years you're looking at a tad over $100 a month. You shouldn't have any problem with the loan since the house would be secured.
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Pillar of the Community
 United States
1348 Posts |
Good points from most of you, and yes I have already bought 1 house for 13k and I jsut got notified today my bid for 10k was accepted by Fannie Mae. I hate to get a loan for all of this but I understand everyones point. I think I will try to sell maybe 1 or 2 of my coins since I got them for such a good price initially.
-My parents are landlords, so I have an idea of what its like to be a landlord.
-Great idea about letting a CE guy move in. I think I might actually try that. Thanks
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Rest in Peace
United States
9104 Posts |
A friend of mine had a property trashed by the previous tenant. She asked if I knew anyone, and I pointed out a poster on another forum.
They agreed on rent, with work equity for deposit. A few months went by with rent on time, but no indication of repair.
"Oh, we figured we had to buy the materials!"
That was over five years ago. Everyone still happy.
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Valued Member
United States
89 Posts |
Too bad the property taxes are sky rocketing it doesn't matter how cheap you can grab the houses.
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Rest in Peace
United States
9104 Posts |
 , Mpc! Property taxes are usually voted for, and if you buy a house for considerably less than it's appraised value, you can normally get it re-appraised at the lower price. Kinda hard for the gubmint to claim it's a $60,000 house if you were high bidder at $10,000. |
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Valued Member
United States
318 Posts |
You and me bought coins to save for a rainy day. And it's raining cats and dogs on your head!
Seriously though, don't be emotional about it. Make an educated business decision. Do you think coin prices are going up faster than rental income will replenish your collection? Don't sell, find another way. If you think coin prices will be stable and housing will soar, sell and fix those houses.
I will offer one word of advice: Fix one at a time. Don't take on too much at once. Get one house generating income, divert that positive cashflow to fixing the next. There is always a chance you made a mistake and paid too much, even though it was super cheap. You will be able to tell after you get the first rented. Don't delude yourself, don't be afraid to cut your losses. There's no shame in making a mistake. It's just business.
But biggest of all darn it, good on ya for taking a gamble and going for the win!
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Replies: 23 / Views: 3,076 |
First Page
Posted 12/29/2011 11:30 am
