I got the offer at the $65/hour contract job place.. the full time job where I asked for $125k went w someone lower.. I am ok w that. I like the $65 hour place bettter.. friendlier .. vibrant... Here I have one work at home day.. flex time.. and already know some folks there..
Contract is long term.. looking at 2 years
I get info on benefits Monday and contract (probably start date the 14th). I want their 401k to start from day 1 so hopefully it does.. apparently they match in a year (or that is what the recruiter said).. fingers crossed.
Things are moving forward.
Submit final docs for loan Monday and then news (approval contingent on docs) by mid to late next week
Hopefully things are falling into place.
Looking to sell car.. pay off car debt and make betweeen 3-5k and maybe sell Tahoe and buy a more fuel efficient SUV type car..
I can calculate take home pay and new plan once I have my contract and know about the 401k. I want to max out the 401k
Now just need to smooooth out the 6 homes and 3 units and do something w not for profit and i am smooth sailing.. but just having this is awesome
thanks for the support!
Archive for June, 2014
No job news!!
I really want some job news.. tired of looking and want to move on.. I should have news today
Other stuff (task list for today)
1. calll on Genesis warranties.. cancel them.. ($ will go towards lien holder but will reduce loan so I get more $ from sale).. find out how refund works.. how long it takes. should I wait to cancel til car sold. looking to sell car pretty quick
2. clean out cage bank and list. price for it now if purchased new is $4500.. looking to offer it at 2k.. it is 3-4 years old but barely used.
3. submit all loan docs for loan .. they need docs BEFORE they can give me a written preapproval so not as firm as I had thought. bank statements, DL, and ss card and paystubs.. My address is currently at a friends (for llc loan). now need to switch it back for thsi loan. Hope this loan comes through
4. call on this website thing for my not for profit. potential $500 back to not for profit
5. call on website thing for me. potential $450 bacc k to me
Proud I have still retained the $1200 cushion..
I looked into car insurance if I just drop the genesis but keep the tahoe insurance will go down from $104 a month to $38 wow.. crazy. have looked a little bit at some cars online.. w possibility of selling both and getting a more gas efficent SUV .. or mid style sedan
Problem (or thing) is that I REALLY like my cars so if I can not get a nice car I basically just want a low cost car ($10k or less) to 'hold me' over for 4 years or so.. like I do not want to waste money on an average nice car that I will feel I have to hold onto for years.. we shall see..
I DID talk to loan guy about my potential new job ..he said no issue if in same field, same or higher pay and no m ore than 30 days downtime.. I will only take a week off
I WANT THIS WEEK OFF SOO BAD>. need a break
Onward.. Fingers crossed for job news today.
Hope this $65 job comes through.. 1 work at hoome day.. flex time for the rest of the days.. come early . leave early .. miss traffic.. friends and highest rate so far..
Interview went very well but I was not hired 'on the spot' and I am apparently now going to hear Thursday (vs today) which makes me nervous and a little disappointed (i was SO PSYCHED to hear today. .. but liked the job.. not a bad drive at all. flex time (start early leave early if I want)..one work at home day a week and FRIENDS and social contact at the office.. right now I have none.
6 homes.. good management but struggling w all this 'deferred maintenance' and fixing things not fixed right. upsetting.. ..but getting it done.. I will be happy once this is over and we have filld the home the s8 lady is moving out off.. LOTS to do.. but good properties long term.. just short term stressful
LOAN GUY CALLED. (did not talk to him. he left voice mail) that it looks like a GO.. and that he met w the bank president or senior guy.. showed him my file, my letter, my info and looks good. he is going through underwritign pre approval now to get a letter w specific things I need to produce..
Rate (and afraid to say this out loud it is so good) would be 2 points, 30 year am, 5 year term and 6.25!!
Praying right now (before my nextg work call) for this job.. $65/hr. .I REALLY WANT and need the money to reach my goals and settle down a bit and for this LOAN!!
It will be a BIG BOOST if I get the $65 job AND the loan.. wow and then fill that house and smooth things out.
Just hanging in there for now.. Thanks for the support.
I am on final interviews w 2 jobs.. all that I am waiting is for the job offer. to come this week (if it comes..).. I should hear on the full time job, the $60 job and the $65 job.
Main home refinance.. trying for a 6.25, 2 points, 30 year amortization, 5 year term loan.. NEWS TOMORROW.. (tentative approval, not firm)
6 homes.. lady on S8 we are trying to get rid of in order to raise the rent is CONFIRMED moving out 6/30.. we will look to rent it asap after.. may take a short while to clean it up. not sure.. current property manager out of town but left someone good in charge.. STIll happy I switched
Doing 2 roofs this month (next week).. LOTS of $ out the door but can not wait.. w the rain here (cloud bursts like everyday) need to get them done.. expecting to drop my account by $10k or more in the next few weeks..
CARS. I have 2 cars.. 2011 Hyundai genesis (owe $18k) and 2008 Tahoe. worth probably $22k still. paid off. I was seriously looking into selling the Genesis (should get $23kish) and keeping the Tahoe or selling BOTH and getting just a 'reasonable' car (camry or some lesser Hyundai) that will last these next 5 years and pocket (and invest) the difference.
Final interview tomorrow am at the Z$65/hr job... wish me well!!
Still looking at refinance offers for the main house.
the 8.99& program for 3 years got pulled
Now working on some 6-7% programs for 5 years
I anticipate a lot of back and forth to clarify and nail these guys down..like I had to do with the first loan... but at least trending in the right direction
Had an interview for a full time job today. should have news next week. I have a fairly good chance at this.. also waiting for a an interview at another $65 hour job and SUPER wanting that $60 remote job.. I should hear on interest on the remote job next week.
Exciting news. .feelign good today.
Section 8 tenant looks like she is leaving by 6/30.. hoping for a huge rent increase there and low turnover costs.. just hanging on for the ride now..
and looking like possible 2 offers next week and one remote opportunity (SUPER long term .. larger company) for $60hr working at home 100% (no clothes costs, car gas costs, can eat at home.. healthier..) 401k from day one.... this remote job will may take a short while to work out (if it does) but sounds exciting and larger company. I REALLY thikn I want the remote job!!!!! I anticipate I will be busier than I am here and meeting folks from time to time locally so will not be as bad as my current 40% work at home job wheree I have very little to do and no employee contact ..
We shall see.. onward..
I am trying to use my work at home opportunities as much as I can because likely returning to a 'work at work' and further than I like job.. so biking and walking at lunch etc right now. working on house. but we shall see. Remote job sounds super exciting and all I need to pass is a phone screen and need to submit 2 references.. got one lined up but the other jobs.. will have to refer them to the recruiter vs employer.. hope it works out.
Thought I would post a quick networth here... it is fun to look back and see the progress.. October 1 marks 1 year on SA.. wil recap progress then.. 6 homes and 3 units are not in my name yet. they are on a contract for deed but still listed here. Values are the price I paid. I did a lot of figuring yesterday and basically things look positive for the 5 year goal. ..I am not on target to reach it but on target I think for 'year 1'..where I am short is this: pay off the house goal (no plans yet but still stabilizing) and $300k cash (only projecting as of now $170k need to increase this) and 3 units and 6 homes will likely only give me $6000/month. and 3 units will likely not payoff til 5/2019... I have a little under 4 years m more to meet my stated goals so I think off to a good start. but SUPER IMPORTANT I stabilize and have lots of extra cash on hand for emergency. I will be 47 6/2018.. birthday is October.
Trying to stabilize here and get on a routine..
Settled 2 flat yesterday.. lots of drama.. tenants were upset and threatening to sue me... not sure for what. I advised them about the foreclosure months ago..and set them up w a lower rent.. lots of landlords just walk off. I maintained the place to the end and returned security deposit. Anyway hopefully that chapter is closed. They will rent from bank and then new owner now.
Hope to hear on refinance Monday.
JOb interview tomorrow and one next week. all for large companies. one contract at $65/hr. one is salary .. likedly $120-130k.. unsure.
I wish I had word on a job nearer . I am concerned I am going to get offers next week and still not have heard or gotten any leads on local jobs. so far I have been submitted for 4 local jobs.. have no word at all on 3 yet and did an interview on one and got beaten out.
The contract job at $65/hr (likely at least 2 years) appears NOT to offer 401k for the first year.. crazy. I will ask for that exception if I get it. I work at home today and will try to incorporate some job search. I used to just wait for a job to end before looking for another. I will be more vigilant now. it is VERY NICE to have the luxury of looking for a job while working one so i have minimal downtime and I need that.
Marching forward. settling a lot of stuff this next 3 months then things smooth out.. (wiping my brow)
I did open a taxable investment account at Vanguard I am really liking Vanguard. put $1300 in it. I will merge Sharebuilder into that. less fees.
Breathing a semi sigh of relief.. that renter called and is planning to drop off rent to new property manager Friday. that will complete the rent for the month and I feel things will run smooth after that... course we are still fixing issues etc.. but smoothing out over time. she is also meeting w the old property manager at 5 to do knowledge transfer.. get keys etc. We still have the outstanding issue of the tenant we want out and that is in the works (getting her out). S8 is thinking of 'violating' her and threatening to take away s8 ifd she is not out by month end..
Praying the PM transition goes well and was the right decision. 6 homes are a major retirement component
MAIN HOUSE REFi
Current best offer is 3 pts, 8.99 3 years ..starting Aug/Sept. I verified I have the credit for it. Total savings over 3 years $18000 INCLUDING the offset for the points.
I have called my current lender and am trying to get them to lower the rate and extend the loan (likely less points/fees). I talked to them today and will hear tommorrrow (her time estimate)
NEED SUPER PRAYERS FOR THAT>
Maybe they can do it for just costs.. or 1 point or even 2.. every point is $3k
I know some of you think I am crazy out there for this refinance loan but I do not think hard money loans are coming down.. I think they will be going up (certainly not less than 8.9) and this is an opportunity I need to grab. I need to exit my current loan in a year anyway..Escrowing taxes w the current loan payment will be super hard. I will find it very hard to get a longer loan and why would I want it at hard money rates..
No job yet but 2 interviews this week. I am thinking of taking FULL TIME vs contract (stability, vacation and I think I can get $125k).. I only make $55/hr now so $125k is a big increase.. also I need and WANT stability for these last few years. less stress!!
Thanks for the support.
3 goals reached
1. Saved $1200 to keep in my bank account at all times for emergencies. Contingency money
2. Finished the ROTH for this year.. added $2000 for a total of $5500
3. FINISHED RENTAL EMERGENCY FUND!! $30k
That motorcycle guy still owes me $6000.. hoping to see it this month... that will go towards the rental emergency fund so when I pay for the roofs it gets built back up.
Still struggling to settle up and get back on my feet.. settling up w 2 flat tenants this week and then have to settle up utilities for that then all costs go9ne (and income). BIG income hit these last few months. I shoudl be settled by mid next month and can start a routine again.
6 homes transition. still rocky.. biggest concern is the one lady who had rent last week and called old property manager with it.. he told her to hold it and NOT pay him.. now new property manager is calling and she is not returning calls. She is the one who just signed up for new garbage though.. so hoping that works out. new property manager is going over there shortly too. If you recall new property manager is going out of town this next week (Alaska) and is swamped and a little frazzled. I am hoping I made the right decisoin to switch. would feel much better if rent was in. not sure if she is being aggressive enough.. upsetting...She has said it would have been easier some other month to start .. I am wondering if she is doing all she can.. impressed on one hand but nervous w this rent situation. Hope to have news tomorrow.. I do not want to have a non paying tenant but this tenant has been paying ever since she omoved in.. crazy! If no progress tomorrow we will give a 5 day notice .
I will be doing two roofs next month (across the 6 homes).
I am attacking food/monthly household costs (toilet paper, soap and FOOD etc)
Any ideas.. and am I doing poorly now?
Per mint.com, I spend an average of $330-350 per month on food and household.. and have (this is bad) an average of a $100 of that eating out. primarily fast food (sodas and lunch)
Trying to cut back and be healthy
I never had a role model at home as to how to shop or cook or anything like that and I am not a big cooker but still thinking there has to be ways to reduce.. even if I just attack the fast food budget (primarily fountain sodas and lunch)
I had thought of doing the cash envelope route.. taking out $150 every 2 weeks .. does that seem low/average/high?
8.99/30 year amortization and 3 year term
3 points total
and normal closing cost of estimated less than $3000
2 year prepayment. I can not pay it off prior to 2 years.
This Rate is more than I was hoping. Hoping for 8.25, but points are less. I will pay off the costs of this loan with the savings in 12 months.. and after that save approx $700+ a month.
1. send a note to the current lender .. see if they can match or exceed the deal. If I go w the current lender my cost will likely be less. The Broker is getting 1 of those 3 points above. Also current lender should have less closing costs (**thsi is done, waiting to hear from them**.. be a dream if current lender coudl do it**)
2. research some other lenders.
HR call at 3pm for another job.
Refinance update. My 'failsafe' loan option officially fell through. No way to get the FHA Back to Work Loan in 1 year. that is out so I have to get a 'softer' loan than my current 12% loan but w longer term.
I need a bridge loan for 3 years to hold me until I can get an FHA loan under normal guidelines
Broker called.. he thinks he can get 8.25, 3-4 points, 3 year term, 30 year amortization. He will get more detail tomorrow.
4 points is $12000, loan costs unclear at this point but a few thousand.
My payment would go down $739 a month and I would be putting $200 (average) a month towards the principal.
Let's say total costs of loan are $15k. I would make that up in approx 16 months.
My current loan ends in 1 year 6 months so have to get out of it at some point.
1. clarify details, see what the barebones offer is and ALL costs
2. compare that to the costs of keeping the loan
3.evaluate if it is likely I can get anything better
4. talk to current lender.. and see if THEY will do a similar loan for 2-3 points (saving points and closing costs)
As you recall I bought my house back from the bank for a deep discount but had to get a hard money loan. Loan is 12% interest for 1 year 10 months. I had a fail safe loan in a year at normal rates and was going to try something sooner..
Status.. my fail safe may not work as it mmay not be deemed an arms length transaction. I was able to get around this arms length issue w the current loan on the house (had same issue w lenders) and will need to figure a way to get around it w new loan.I am actively talking to FHA guys to see what can be done.
The other loans are likely to come in at 8-9% w terms of 2-5 years. but are likely to have VERY high points again.. I can not keep paying all these points but may have too. Need to weigh pros and cons.
I CAN for sure get a normal FHA loan in 3 years.. so 2018 but did not want to wait that long .. wanted to start paying off house and hard to do so with such high rates and who knows what rates will be like in 2018
I expect to hear on more loans by next week and will look at costs etc and also should have ideas on how to work around FHA or if I can
I can only apply for hte FHA 6/2015.. so if hte FHA looks likely ( it carries normal mortgage rates).. I will wait a year, apply and see if that loan comes through before seeking out a higher rate loan.
A 3rd option is to find a big lump sum of money to pay it off or pay off a big chunk of it
I have lost essentially almost $3000 monthly in income as of late.. HUGE LOSS...(loss of rental house, reducing not for profit) in the past 2 months am am still adjusting (that is why my finances have been struggling lately as I 'settle up' w folks and smooth out) but w this $3000 loss I realistically without getting more income (new job, side job) can not afford the taxes on this house unless every year I use my tax return (which I can do)
So there we have the update.. onward.
Obviously I can always sell the house if at some point it does not make sense. but not too that point yet. I have quite a bit of equity in the house (and just bought it 5 months ago).
I have done the impossible before.. just got to do it again.
Update. not super awesome. Rough transition but expectedd. (this is on the 6 homes. 3 units are fine)
1. rents-approx 50% in (note I have 70% of the TOTAL rents but 50% of the tenant portion is not in). I was at first told they were all in by the old property manager-PM. Confusion about who is collecting. 2 tenants called and were told to send it to the other person and never sent it. New PM is collecting from 2 homes today. These people did call old PM and attempted to pay last week (so should have money) but were told to wait for new PM contact
2. finding some delayed maintenance items (leaks not fixed etc)..$$ but at least fixing right
3. tenant in that one house not out yet. expecting word from S8 this week on what they are doing.. I will feel SO MUCH more at ease once that is turned over.
Just hanging in there and making my payments.
Section 8 inspection on one home next week. (another test for new PM)
HOPING this turns out well in general.
I do feel we will get someone good in tehre once we move this lady out just upsetting... but no rent loss so far. I am concerned about cost to prepare house for new tenant but new PM is going over there next week to check things out and I feel I can trust her to get things done right for a fair price and to make sure tenant is aware of hte costs to her if she leaves the house in disarray. I did NOT have confidence in old PM w that.
Once tenant situation (move out) clarifies itself I will schedule the 2 roofs (I have money)
Hoping in the long term that things smooth out and costs are less and homes better run/maintained with none of these insane costly situations popping up.
Property manager transition update #2.
WOw.. So glad I switched. already feeling better and more powerful and tenants are listening. including the tenant we are getting rid of. I can feel my life smoothing out as we speak (stil got some work to do but feels I am going in the right direction)
Tenant 1 already switched over her garabge. Tenant 2 (who we are getting rid of) was told we are charging her for xtra costs for garbage (due to her extra people in the unit) and if County comes by next week and issues a complaint or fine we will charge her for it. Also told her Section 8 was being notified of extra people in unit and we expect her out by month end.
We will see how it goes but I LIKE the stronger stance and no nonsense attitude. Some tenant (another house) called the new pm today and already said she likes the new property manager vs the new one.
A letter goes out today to the offending tenant (we are getting rid of) and Section 8.
And all rents appear to be in!!
I feel excited for the future. thsi was such a weight on me.
Just did a quck look at my 6 homes/3 units costs and I guess MY PROGRESS (need to feel good)
I have owned the 6 homes since 4/2013 and the (2) 3 units since 11/2013
My plan was to switch 3 (of the 6) homes out of Section 8. I have one switched over and one on the way to switching. This shoudl result in higher rents and cost savings. I cut insurance costs by $2000 a year and increased my vacancy allowance.
Total repair vacancy allowance per month is $970 a month. This is budgetted but NOT saved to the rental emergency fund each month if not spent. If not spent . I simply save more in the NON real estate fund. I still have the $21k emergency fund for the rentals. After the 6 homes feels smoother...if I do not need that $970 in a month. I will throw it towards the rental emergency fund.
I have gone through one property manager (learned a lot) and am on the way to a new one and more learning
My net across all (if paid off) has gone up $220 so far a month (and I increased repair/vacancy allowances).. so if these were paid off (and they are not but the 6 homes will be in 3 years and 10 months and the (2) 3 units in 6 years 3 months unless I ramp it up after the 6 homes are paid off or refinance jsut to increase cash flow) ..I would have $5666 a month net income. I expect a $2-300 a month increase after we turn this next one over and OUT of section 8 and expect a DECREASE in misc repairs/costly errors with an increase in long term fixes/improvements (which may cost more up front but will minimize issues/costs long term and makes homes more attractive to buyers and renters)
I SURVIVED the first year and get one home pulled out free and clear in September (3 months away).
i have 5 more rents to raise this year at the 3 units (but likely only $10-15 each)
Thanks for listening. counting my blessings but lots of hard work left to do and the most important I thikn is just making the payments on these homes/3 units and getting my house refinanced ASAP and KEEPING employed with no breaks.