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Archive for November, 2015

More property mgr updates and Loan Denial

November 10th, 2015 at 11:34 pm

HI all

More property manager updates.

The unit that lady is vacating at the end of the month. We already have it rented!! for $50 more at a bad time of year which means I can look to get that on the other units too as folks move out (not wishing anyone to move out)

On a another note.. 3 units and 1 house have said they had been trying to call the OLD property manager for months to get things fixed and gave the new manager lists of (mostly small) items in these past few days. I will get an estimate UPFRONT from the new property manager to get these things fixed but I do not understand how that old property manager keeps business. . I estimate around $1000 or less for all these old misc things. What was the old property manager doing for $2500+ a month in repairs?

We will never know

Moving ON!

Payments with the new property manager are fixed (system-sent) on the 14th and 28th but if the 14th comes on a weekend as it does this month, money gets deposited on the next Monday

My 3 unit payment is due the 15th so I may start to have to leave money in the account every month to cover that in case the 14th falls on a weekend.

Still seeing how this new company works but good so far!

Still want to buy 1-2 more properties and maybe adjust my mix of homes next year.. it is really feeling like my 5 year plan may just work out and it will be amazing if it does. I mean maybe in 6/2018 I can have $8k cash flow/month and $500k and then maybe work a lesser job or THIS one but without the stress of 'having' to make money or can go full time and get 3 weeks vacation..maybe I can ask for 4?? I can put all my money from my job towards savings and live a little. trips etc..have fun... volunteer.. exercise. hike.. see all the national parks.. road trips .. just wow.. sortof be a NEW LIFE. Right now though I am still working as hard as I can and my continuing focus is on achieving my 5 year goals on the left... still a tall order

OH. got turned down on the last conventional loan. so getting a refinance right now is OUT. I will pay $400 a month more on this loan and revaluate later. My loan adjusts 12/2019 so I have time and it is tied to the 1 year LIBOR (2.5 points over that) but after 5 years it adjusts every year. My goal is to get this paid off in full by sometime in 2020. Rate right now is 5.375 so actually if rates stay much the same or even go UP my mortgage rate will either stay the same or go DOWN

Question for folks-saving pre tax or after tax

November 9th, 2015 at 02:59 pm

Hi guys

I invest in a ROTH IRA right now (to the max I can) but there is a ROTH 401k option at work (have $ withdrawn AFTER tax). What do you guys think on that

General question is what are everyones thoughts of investing pre vs post tax.. I know it has to do with taxes in retirement . if we expect them to be high or low

If you invest POST tax can you withdraw at any time (like in a ROTH 401k) or still have to wait for the age limits



Thrilled with new property management company

November 6th, 2015 at 08:48 pm

I can not be MORE THRILLED with the new property management company. GREAT COMMMUNICATION.. All rents in (except one which they have already followed up on) and just intelligent plans to rent, great ads, just wonderful

Doing major ad cammpaigns, nice office, met all tenants already except one (sending out new leases next week).. .

I can finally GROW my holdings and have options.. or can just stabilize. Someone is moving from the 3 units Nov 31. they already have it listed and are getting calls.and they think those can support $650/month .. $50 more than what I get now

Hoping for smoother waters and more growth ahead!!!

I mean just maybe my plan is going to work..currently on target to get $6,400 monthly NET cash flow a month startting 6/2018 (assumes I prepay 3 units to pay off then too) and rents will likely go up by then.

I will work on stabilizing repairs costs


Bought a car (sortof)

November 5th, 2015 at 06:58 pm

Hi all

You know I sold my 2008 Tahoe this year because it was too expensive just to let sit all the time. I think I sold it for $22k. At that time I worked an hour away and could not justify drving it except in snowy times . I loved the car and it was sad selling it.

We also used it as the primary for my non for profit for events, donations etc and without it (and the death of a volunteer we used often for transport) we have been kinda stuck and I have been missing an SUV

Anyway a few weeks ago I posted for my not for profit that we were looking for an SUV.. 4x4 .. used over 100k miles... trying to get something for around $5k. Someone responded who owned a dealership down in Ohio and said he had a 2008 (that was his) Suburban white LTZ with all options (and more) and in awesomme shape that he was selling. 128k miles.. He would sell it to us at $13500.. value is over $20k and he could finance. I had someone check it out and it was in great shape, dealer maintained, new high end tires even

Anyway I took it and it arrived over the weekned. I LOVE it.. I will pay likely 8-9k and taxes and let the rescue pick up the rest.

Do not like going into debt but love the car and the deciding factor was the price. Even if I drive it through the winter or for several months I can still sell it for more than I paid.

I am not lowering my savings goals so just need to pick up the pace to get this paid off asap!!

JOB NEWS! I got renewed

November 3rd, 2015 at 10:52 pm

Hi all

FANTASTIC job news today. I got renewed for at least a year 'maybe two'.. 'as long as there is work (in this certain unit) you have a job" my boss said.

Wow. hard to beat that

and now I am attached to the largest client they have that we renewing for another 5 years.. this is a client I am trying to be the main liaison for and might have a good job at that especially since they are based in Naperville too.

Thsi means I keep my $57 hour... keep getting paid for every hour I work and keep the 3% INSTANT VEST on the 401k and can work overtime as needed. Currently we are waiting for this big client to sign the renewal but once that starts I should be seeing some extra hours again

I currently only work 42-45 hours and actually even if they sign this week. we are heading into the 'freeze period' (information technology freeze on changes and a lot of work) so likely will not see a bump in hours until next year but WOW!!

Refinance update and blues

November 3rd, 2015 at 01:49 pm

HI all

This is day 2 of the new property manager but will share on that later


1. went to 3 lenders so far and we seem to be stuck on the Fannie Mae rule that states if you filed for BK (which I did ) AND had homes that were later foreclosed on that were discharged in the BK then your waiting period starts from the BK not the foreclosure. BK was 8/11.. last foreclosure (the date the deed actually transferred) was believe it or not last year!

This rule was to aid people who filed for BK and moved on from homes and the bank took years to actually foreclose (or the courts were clogged)

I FIT that rule but it needs to be manually underwritten and I am having hard time finding an underwriter who understands the rule much less wants to apply it

So 3 strikes and it is with one FINAL lender. a friend of my CPA.. if he says 'no' i am out. I will not refinance this year and will wait.. my loan is a 5.375 arm right now and does not adjust until 1/2010.. Maybe I will have the house paid off by then!! I may look at FHA next year but may not as I do not want to pay the FHA premium

I am also going to contct the current bank and see if they can refinance me .

anyway that has been 'the refinance update'

I maxed my 401k for the year!!