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Income Properties

Started by MadImmortalMan, August 07, 2012, 04:25:43 AM

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MadImmortalMan

Ok, so I've been trying to keep from starting threads because I don't wanna catch up with Tim while he's away. But this is actually affecting my life, and I wanna know some shizzle.


I have bought nothing yet. I am trying to find a place I can buy to rent to my mother--a 4th grade teacher with not a ton of income-that I can make sure nobody ever evicts her.

Do any of you have any experience with anything like this, and if so, what can you tell me?
"Stability is destabilizing." --Hyman Minsky

"Complacency can be a self-denying prophecy."
"We have nothing to fear but lack of fear itself." --Larry Summers

MadImmortalMan

Next will be buying places in Bremerton and San Diego to rent to sailors.  :)
"Stability is destabilizing." --Hyman Minsky

"Complacency can be a self-denying prophecy."
"We have nothing to fear but lack of fear itself." --Larry Summers

The Brain

Women want me. Men want to be with me.

Martinus

I have a friend who started doing this around 7 years ago, when real estate market was booming, zloty was strong and everbody took loans denominated in foreign currencies. Now he has PLN 2 million worth of properties and PLN 4 million worth of mortgage loans. :P

CountDeMoney

Quote from: MadImmortalMan on August 07, 2012, 04:25:43 AM
Do any of you have any experience with anything like this, and if so, what can you tell me?

The only people I've ever known to get into rental properties got right the fuck back out when the could, or wished they did.

Grey Fox

I don't own any personnally but my grand father has ~10 of them. My dad's GF has 1, my half-bro has 2.

The trick seems to find one that pays enought in rent to pay itself + a little more.
Getting ready to make IEDs against American Occupation Forces.

"But I didn't vote for him"; they cried.

The Brain

Quote from: Martinus on August 07, 2012, 05:17:39 AM
I have a friend who started doing this around 7 years ago, when real estate market was booming, zloty was strong and everbody took loans denominated in foreign currencies. Now he has PLN 2 million worth of properties and PLN 4 million worth of mortgage loans. :P

does that make him 1 %
Women want me. Men want to be with me.

Syt

General consensus among people here is that it's not worth the effort as investment (return on investment is VERY slow, obviously) unless you plan very long term (income for children) or plan to sell the property at a profit later on, or can get the property dirt cheap (usually there's a reason for that, e.g. a lessee living there with a lifetime contract that they can transfer to family and a rent that was fixed in the late 60s).

Many people who rent out apartments in the city have inherited property, or bought a new apartment and now rent out the old one(s).
We are born dying, but we are compelled to fancy our chances.
- hbomberguy

Proud owner of 42 Zoupa Points.

Admiral Yi

Biscuit owns several rentals.  IIRC he gets negative cash flow because he has short mortgages.

Caliga

Being a landlord is horrible... trust me.  Not worth it.  Buy REIT stocks if you want to invest in real estate, or if you must have something more tangible buy land.
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The Minsky Moment

This is probably the best time to do it if you have the ready cash - interest rates are rock bottom, housing prices are still depressed, tougher underwriting is going to keep more people in rentals, and there are signs the market has bottomed out.
We have, accordingly, always had plenty of excellent lawyers, though we often had to do without even tolerable administrators, and seen destined to endure the inconvenience of hereafter doing without any constructive statesmen at all.
--Woodrow Wilson

crazy canuck

Quote from: The Minsky Moment on August 07, 2012, 09:22:00 AM
This is probably the best time to do it if you have the ready cash - interest rates are rock bottom, housing prices are still depressed, tougher underwriting is going to keep more people in rentals, and there are signs the market has bottomed out.

Yeah agreed.  Make sure you have sufficient cash flow to cover unexpected maintenance/renovation costs.  If the housing market in the areas you buy recover you will be golden.  If you determine it cant get much worse then you have little to lose.   It is especially helpful if you are at all handy with household maintenance tasks so you dont have to spend as much on hiring contractors to do the inevitable work.

One of the main reasons I got out doing it myself.  But it is a decision I often regret given how much Vancouver property prices have increased since then.

CountDeMoney

Brush up on squatter and eviction laws.  That shit takes forever.

Ed Anger

Renting to military folk is slightly easier. If they step out of line, call the CO's office.

/rented out my 1st house for a while.
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