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DanielSun last won the day on January 30 2015

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About DanielSun

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  1. yeah, this decision has a lot to do with my personality as well. some people can better manage themselves, others like me need to create the environment
  2. Hey Guys, where do you run your business? I've been fooling around at home way too much. I am currently working in my "home office", while my wife and child is playing in the next room. It has not been as productive as I had hoped. After much consideration, I think it's time for me to take a big step forward ------ rent an office, hire some VA and sales people!! It will be a trail period of 2 months to start, and it will be an intense 2-months. Either I succeed, or I will weep shamefully with pride at my failed but courageous undertaking. (it's ironic i know) I intend to do this as a business not a job, so it's time to start running a business!
  3. Hi Mipopa, do you really look like your profile pic? if so, then you got a better start in this business than I did.
  4. lol I learned something that amazes me 1 month ago I contracted a townhouse in a good area, the townhouse needs about $5000 of cosmetic work, but I thought this is a $350k house selling at a good price, good term, nobody would mind the minor repairs. I brought probably 15 families to see it, nobody wanted it. I ended up cancel the agreement. This house near the lake has a beautiful surrounding, but the current tenant in there is no cooperating. He won't show the house to anyone else. Long story. But I had 2 families drive by the house, saw how beautiful the surrounding is, and they both want the house without seeing inside!! lol
  5. It's 24 months. I always do at least 24 months, won't even touch 12 months. Thanks michael
  6. I am selling it for less because...well at first I was just trying to get this done quickly so I priced good. This property is 1 hour away drive from where I am so I didn't want to do a lot of work. soon I realized I priced it low, but I have already advertised the price to the buyers. the average price on the same area is 30k higher!! So it all comes down to my laziness. The owner is not willing to extend the lease, he lives 3 hours away from this! and thats the only reason he wants to get rid of it. I will advise them to see some brokers.
  7. I currently contracted a beautiful house available for rent to own near a lake, i am selling it for 20k less than what it could be worth, and I am kicking myself for it Here comes a family, with 10k downpayment, and their income can support the rent, but somewhat shy of affording the house. (rent is $1700, but to own this need to afford a monthly mortgage of roughly $2100) I know this, but they want it bad. So what would you do?
  8. I am taking some interest in commercial real estate, anyone here do that? Recently I come across a seller who wants to sell his 900 sq feet Condo office in a building, He was using it for his own business. so I've done some research, Edit: initially i asked to do a lease option about this, but after checking the price and all a lease option doesn't really offer that much incentive. The property value hasn't changed in 8 years. The building is in good condition. the area vacancy for office is 6% to 9%. The maintenance cost is $151 x 12 = $1800 the market rent is $1200 + utilities x 12 = 14,400 it looks pretty simple from the surface, so assume 10% vacancy I should expect $13000 gross rent, subtract maintenance cost let's say I should get $11,000 net rent right? of course nothing is always as simple as it looks, so what am i missing? What other cost should I consider? If I offer $110,000 that would give me 10% return. hmm seem like a tempting starting project. It's not investment grade but I'd still consider it a good income property to hold. Since residential property in the area won't ever get this.
  9. After careful consideration, I've decided that it is way too much trouble to get this done and the lease back is just too confusing as you guys say. I am waiting to see if they would consider move out then ask to sign another agreement.
  10. I don't understand, why am I paying retail? The house is $430,000 at least after repair, and in total it would cost $355,000 to get it fixed up and done. I expect them not to pay, and I want them not to pay. That's why I made them understand if they do that they will lose the house right away. I will not wait for 2 years. If taking the tenant out of this situation, let's just say it's a house need repair, then I can absolutely assign this to some buyer in 1 or 2 days. In Ontario there is no such thing as short sale. The bank always sell house at market value, because there are so much demand. This house was listed at $389,000 on MLS, and there were tons of calls about it. House here doesn't need to be 30% below market to get a wholesale buyer. There are people asking me to find 10% below market homes. I want to find out exactly how much is their monthly payment right now, and exactly how much it will cost to repair the place, because I don't know, I feel something is there. I agree leasing it back to them is trouble. the way i see it, if it's really bad, nobody will fund it right? Then I would know it's a bad deal
  11. I came across a family who is losing their house, they make good income, but their mortgage is at default. Their story is they got scammed by the mortgage broker and is paying very high interest rate. So they want to sell their house to me, and let me do a rent to own back to them. I took a look at the house and the biggest problem with the house is the family living in there. It's so messy, and needs repair everywhere. The only way they will contract the house to me is if I do a lease to own back to them. so, the break down is approximately this: House ARV: $430,000 Repair needed: $30,000 Contract price: $325,000. And I agreed to lease it back to them for $365,000, term 2 years. I told them if they miss on payment or cannot repair credit by then, I won't sell it back to them. But in my mind I know most likely they will just screw up again, and they will not make the house better. I have no problem if they actually back out and move away peacefully, because then I can surely win on this. if they do buy it back then I wouldn't need to do any work on it. Overall I think it's a doable deal, or at least there are ways to make it work. I don't want to assign this deal, I don't mind actually find someone who can fund this, or can partner up with me on this. I just don't know if the risk is worth it. Any comments?http://s1075.photobucket.com/user/zerggross/slideshow/32%20Bristol%20Ave
  12. yeah, that's what it means. For a fixed-rate mortgage, you get penalty if you pay it off early. Now that I think about it, it's kinda crazy. Wait wait, it's not like that in the states?
  13. hmm I thought I had replied this but it wasn't posted. Anyways, the normal cost of breaking a mortgage term is about 3%. So on a $400,000 balance it would be around $12000. However some people seem to have higher penalty, like the owner I spoke to seem to have around 5% penalty. I don't know the details or the rules regarding these mortgage terms, but sometimes it can be very costly.
  14. I never dared to put the "I will cover your closing cost" sentense into my pitch or contract. Just breaking their mortgage alone could cost me 5k to 20k in my area. Yesterday I spoke to a seller who is considering lease option because her mortgage penalty would be 17k. You actually gonna pay that?
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