FB turned landlord

[Anonymous]

Ok, you just said you don’t want to mess up your credit. However, if the loan is non-recourse and you walk, you mess up your credit. So what are you asking then?

You just said you can afford the $1k a month loss by renting it out. So, what are you asking then?

We both agree it was a bad investment.

If your loan was non-recourse, you could dump the house, come out smelling like a rose and GET OVER. But it’s not, so that’s not gonna happen.

Cut the sh*t please.

[blue_sky]

I’d stick it out.

The key is to protect yourself. You do not want to be forced into a sale / bankruptcy here. This means some things:

1. Try to stay in town. Managing property remotely will increase your costs substantially.

2. Make sure you have a cash cushion.

3. Price your rental slightly low. This may not make sense at first, but here’s why: You CAN’T afford much vacancy or a bad tenant that damages your unit. By pricing slightly low and advertising right (and treating your tenant right) you will be able to select the best tenant you can, which minimizes the risk of: Bounced checks, disappearing tenants, damaged unit, etc. I’ve had all of them. And when you have > 20 units it’s part of life. YOU have all your eggs in one basket, so guard the basket! Good tenants are out there, but they have their choice of rentals and you must compete.

[blue_sky]

I’d stick it out.

The key is to protect yourself. You do not want to be forced into a sale / bankruptcy here. This means some things:

1. Try to stay in town. Managing property remotely will increase your costs substantially.

2. Make sure you have a cash cushion.

3. Price your rental slightly low. This may not make sense at first, but here’s why: You CAN’T afford much vacancy or a bad tenant that damages your unit. By pricing slightly low and advertising right (and treating your tenant right) you will be able to select the best tenant you can, which minimizes the risk of: Bounced checks, disappearing tenants, damaged unit, etc. I’ve had all of them. And when you have > 20 units it’s part of life. YOU have all your eggs in one basket, so guard the basket! Good tenants are out there, but they have their choice of rentals and you must compete.

[blue_sky]

I’d stick it out.

The key is to protect yourself. You do not want to be forced into a sale / bankruptcy here. This means some things:

1. Try to stay in town. Managing property remotely will increase your costs substantially.

2. Make sure you have a cash cushion.

3. Price your rental slightly low. This may not make sense at first, but here’s why: You CAN’T afford much vacancy or a bad tenant that damages your unit. By pricing slightly low and advertising right (and treating your tenant right) you will be able to select the best tenant you can, which minimizes the risk of: Bounced checks, disappearing tenants, damaged unit, etc. I’ve had all of them. And when you have > 20 units it’s part of life. YOU have all your eggs in one basket, so guard the basket! Good tenants are out there, but they have their choice of rentals and you must compete.

[blue_sky]

I’d stick it out.

The key is to protect yourself. You do not want to be forced into a sale / bankruptcy here. This means some things:

1. Try to stay in town. Managing property remotely will increase your costs substantially.

2. Make sure you have a cash cushion.

3. Price your rental slightly low. This may not make sense at first, but here’s why: You CAN’T afford much vacancy or a bad tenant that damages your unit. By pricing slightly low and advertising right (and treating your tenant right) you will be able to select the best tenant you can, which minimizes the risk of: Bounced checks, disappearing tenants, damaged unit, etc. I’ve had all of them. And when you have > 20 units it’s part of life. YOU have all your eggs in one basket, so guard the basket! Good tenants are out there, but they have their choice of rentals and you must compete.

[blue_sky]

I’d stick it out.

The key is to protect yourself. You do not want to be forced into a sale / bankruptcy here. This means some things:

1. Try to stay in town. Managing property remotely will increase your costs substantially.

2. Make sure you have a cash cushion.

3. Price your rental slightly low. This may not make sense at first, but here’s why: You CAN’T afford much vacancy or a bad tenant that damages your unit. By pricing slightly low and advertising right (and treating your tenant right) you will be able to select the best tenant you can, which minimizes the risk of: Bounced checks, disappearing tenants, damaged unit, etc. I’ve had all of them. And when you have > 20 units it’s part of life. YOU have all your eggs in one basket, so guard the basket! Good tenants are out there, but they have their choice of rentals and you must compete.

[sdnerd]

What are the purchase prices?

If you re-financed the condo, it’s almost surely recourse now. Have you re-financed the house and/or do you enjoy living in the house?

How far under-water you are makes a difference on the advice you are going to get most likely. You are probably going to get creamed on the Condo, but the house may not bee too horrible depending on what you actually paid in ’07.

More details.

[sdnerd]

What are the purchase prices?

If you re-financed the condo, it’s almost surely recourse now. Have you re-financed the house and/or do you enjoy living in the house?

How far under-water you are makes a difference on the advice you are going to get most likely. You are probably going to get creamed on the Condo, but the house may not bee too horrible depending on what you actually paid in ’07.

More details.

[sdnerd]

What are the purchase prices?

If you re-financed the condo, it’s almost surely recourse now. Have you re-financed the house and/or do you enjoy living in the house?

How far under-water you are makes a difference on the advice you are going to get most likely. You are probably going to get creamed on the Condo, but the house may not bee too horrible depending on what you actually paid in ’07.

More details.

[sdnerd]

What are the purchase prices?

If you re-financed the condo, it’s almost surely recourse now. Have you re-financed the house and/or do you enjoy living in the house?

How far under-water you are makes a difference on the advice you are going to get most likely. You are probably going to get creamed on the Condo, but the house may not bee too horrible depending on what you actually paid in ’07.

More details.

[sdnerd]

What are the purchase prices?

If you re-financed the condo, it’s almost surely recourse now. Have you re-financed the house and/or do you enjoy living in the house?

How far under-water you are makes a difference on the advice you are going to get most likely. You are probably going to get creamed on the Condo, but the house may not bee too horrible depending on what you actually paid in ’07.

More details.

[Tavo]

Credit get screwed if you default on a loan (recourse or not). Like I said, I can afford the payment and don’t want my credit to get screwed. So, no, I’m not considering that option at this point. Seriously, you are reading into my last statement way too much.

[Tavo]

Credit get screwed if you default on a loan (recourse or not). Like I said, I can afford the payment and don’t want my credit to get screwed. So, no, I’m not considering that option at this point. Seriously, you are reading into my last statement way too much.

[Tavo]

Credit get screwed if you default on a loan (recourse or not). Like I said, I can afford the payment and don’t want my credit to get screwed. So, no, I’m not considering that option at this point. Seriously, you are reading into my last statement way too much.

[Tavo]

Credit get screwed if you default on a loan (recourse or not). Like I said, I can afford the payment and don’t want my credit to get screwed. So, no, I’m not considering that option at this point. Seriously, you are reading into my last statement way too much.

[Author]

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