Hello all,
Let me first introduce myself. I’m from across the ocean (The Netherlands), so pls forgive any typos :biggrin
I think real estate can work for you in any country so I’m trying to pick up as much info as possible…
So far my “main” lessons would be:
1 Get off the couch now
2 You make your profit when you buy
3 Cash(flow) is King
So far so good but now I came across this appartment (all in EUR):
After repairs value: 115.000 (minimal, checked with recent sold houses / tax appraisal)
Asking price: 69.000 (think 60-65 will sell the house)
Repairs: 5.000 (outside painting etc.)
The bad thing: renter paying 300,= / month (protected, can not kick him out. Inflation adjusted)
Loan will be around 6%. Buying cost will be 10%
I don’t mind holding on for a longer time period
So is cash king or will it be the equity (I think I already know to choose for cash and let it go but I like the equity…)
Thanks for your thoughts! Greetz Raymond
You’re going to probably have to figure out how to get rid of this renter or you’ll be negative for the duration…
I’ve been to the Netherlands (den Haag, Hoeck van, Rotterdam, etc. while I was in the military – great country and superb people!
Keith
Thanks for your reply! What a coincidence (spelled?), I live in Den Haag / The Hague and try to become active here. Thanks for the compliments, same for your country & people!
I was thinking about offering something like an equity split (although not to the owner I wouldn’t know how to call it): let’s sell the house spit some profit and you move.
Or I’'ll give you amount x tomorrow but then the rent will rise to amount y
This could work, BUT there is still a risk he will not take it…
Btw the rental market is all locked up over here due to all this government regulation 
You could offer him some money to go find somewhere else to live. I’ve pulled that one before. Good luck.
I was thinking about that too but I can only offer something after I bought the place. I think I’ve got to guestimate how the renter will react…
thanks!
I wanted to let you know we agreed on 60k. I will keep you updated on the renter …
Thanks for sharing your ideas and happy investing
Raymond