Have a question you'd like asked on the BiggerPockets podcast?
Alicia MarksPro Member
Fort Worth, TX · Member since 2020 · 1k+ posts · 2k+ votesDo you have a question you'd like answered by David Greene or another expert on a BiggerPockets podcast? We'd love for you to contribute! You can submit your info here: https://airtable.com/shr2uOqeO...
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@Alicia Marks
Hi guys! David, your BRRRR book was my first intro into BiggerPockets and I listen to it once a year. Thanks!
My wife and I started 5 years ago and have 3 SFHs, one under contract, and a four plex. We're dealing with our second "got behind, trashed the place, and might have to be evicted" situation (in a SFH). Beyond the rent they owe, I want to sue them for the damage they've caused to the house. Broken window, kicked in glass exterior door, and busted up interior barn door.
Is it worth it to try and sue for damages? The emotional side of me is so angry that they damaged a house I put a lot of work and TLC into, and that between damage and lost rent, basically a year of profits from the house will be wiped out, but the logical side of me thinks I may be throwing good money at bad. Can you discuss the topic of late rents, evictions, and to sue or not to sue?
PS - ideas for the podcast: I loved the live question format you guys did a one-off of. It reminded me of a Dave Ramsey episode. I loved hearing other peoples situations and questions. I love everything you guys do. Thanks!!
Hi! I'm Lena from beautiful Whidbey Island, Washington State. My husband and I have (all over the South) 3 SFH,1 4plex and we house hack our primary home located in Washington state. We are on year 5 of this journey and finally "feeling" the benefit from monthly cashflow. My question is, on the 4plex, located in Mississippi. The building is literally split by two lots, why, I don't know but it is. I know no one that can help me figure out if combining the two lots will help reduce my property taxes. Is there a professional I can consult with on this? The answer I get after 3 phone calls to the city zoning and development office is that it might reduce my taxes and follow the directions on the paperwork, pay your fee and find out. Help!
@Alicia Marks
Hi guys! David, your BRRRR book was my first intro into BiggerPockets and I listen to it once a year. Thanks!
My wife and I started 5 years ago and have 3 SFHs, one under contract, and a four plex. We're dealing with our second "got behind, trashed the place, and might have to be evicted" situation (in a SFH). Beyond the rent they owe, I want to sue them for the damage they've caused to the house. Broken window, kicked in glass exterior door, and busted up interior barn door.
Is it worth it to try and sue for damages? The emotional side of me is so angry that they damaged a house I put a lot of work and TLC into, and that between damage and lost rent, basically a year of profits from the house will be wiped out, but the logical side of me thinks I may be throwing good money at bad. Can you discuss the topic of late rents, evictions, and to sue or not to sue?
PS - ideas for the podcast: I loved the live question format you guys did a one-off of. It reminded me of a Dave Ramsey episode. I loved hearing other peoples situations and questions. I love everything you guys do. Thanks!!
Hello David Greene,
Thanks for taking my question. I recently got my first fourplex and I’m looking to do brrrr with a partner, because of my lack of capital. I feel like I have some value to give to a potential partner in terms of hustle and seeing some properties in my market that would be good brrrrs or flips. I have been having the challenge with all of the information on BiggerPockets about low money down or bring a partner. It’s the classic does the chicken or the egg come first. Ive heard many times that if I have a deal the money will come, but I don’t know if going out and custom mailing these properties owners will result in anything if I can’t find a partner. What would be the one key thing to appeal to a potential partner? And how should I ensure that the property is a deal before making any commitments to the seller? My biggest fear is to say to a potential seller that I’ll close but then not be able to because it isn’t a deal. I think I already know the answer but want to be reaffirmed. Thanks
Hello my name is James Williams. I own a 2 bed 2 bath condo in Phoenix, AZ. It is paid off and we just purchased a new primary residence for ourselves. I am currently getting the condo ready to lease. The rent should completely cover my new mortgage. I have been planning on using the B.R.R.R.R method but was wondering if maybe I should leave that alone and find a different way to get my next property. I would love to hear some ideas on how different people might handle this situation. It will be my first time as a landlord when I get some people into the condo. Thank you.
@Alicia Marks My wife & I invest in a HCoL area in WA state. We have built decently sized portfolio (28 units, mix of mostly small multifamily with one commercial property) over the last 5 years using the BRRRR method.
Our plan has been to establish a strong financial foundation of properties that provide very strong cash flow while capturing the high market appreciation (maximize returns while minimizing our risk).
The challenge we now face is whether to keep targeting smaller multifamily properties due to the historically low interest rates and very favorable loan terms or look for smaller commercial (roughly 10+ unit multifamily) properties even though the financing is not as favorable (at maximum will need to refinancing by end of year 10) and cap rates are extremely low? In today's market current inflation is actually higher than the rate we are paying to borrow for 30 years.
Hello David,
We just bought our first home using the VA loan. Our goal is to start buying MF within the next year to two years. My question is, do you think that it is a good idea to take out a HELOC in order to use it as a down payment for our first property, and how long typically after purchasing the home is it ok to do so? Thank you for your time.
@Alicia Marks
David G. What would you do if u had 20k in dept,and you really want to get in to a triplex or 4plex & house hack it with no money down in silicon Valley near San jose towards the north
Thank you guys so much for a the free knowledge.......
This isn’t really a question for the podcast but more for bigger pockets. There are tabs to find real estate agents, lenders, contractors, and even insurance providers but not property managers. I feel like this would be a great additional service for the website seeing as a good property manager, especially one who also invests, can be extremely valuable to your team.
A property manager can make or break a good investment and is one of the most important pieces going forward in investing. I think there should be a search tab for them as well.
@Alicia Marks thanks for querying the community.
To David Greene and other podcast hosts:
For the folks in the middle-not newbies, and not full time RE, grinding away at 9-5 and investing in RE on the side, what are your go to strategies to maximize Cashflow?
Beyond the simple solutions like “do repairs yourself” or “Refinance to lower rates”, etc. What are some more experienced solutions to the cashflow equation? Are there any hidden gems out there?
Thanks for your time and sharing knowledge.
I have kind of a random question. Does anyone invest in creating cemeteries? I've heard about a lot of interesting real estate, but never heard a guest about this... just curious. I drove by a "pet cemetery" the other day and it really got me thinking.... lol, sorry. Totally random. Just curious.
I'm a NNN investor located in Fairfax Virginia. I have 11 properties that I own and manage. My question to you is what systems have you put in place that has helped with your growth. I would love a deep dive into the specifics of these systems and how they have benefited your business.
David good to meet you, I am also a David.
Have you heard of a creative Contractor( General ) that would be willing to take his labor on a multi unit fixer upper as rent. Have in the contract to have the property done by a certain date and partial rents to be paid to him instead of a full payment due to him at completion of job?
Wow, was that a loaded question, I have done just this to help the owner pull the trigger if the owner is a little bit low on funds for the labor end of the project. And I have a good cash flow to do this. As you know labor is the biggest expense and sometimes the owner can float out a lot of the expense on time for the products.
A good example of this is a 4 plex that needs complete rehab minus major electrical or plumbing and the bid from the contractor may be $44,000 in labor ( $11,000 per unit ) The contractor may suggest I will take half of the first two years of rent or the equal of same. If rent is $1500 per unit then $3000 a month for 18 months. ($54,000).
Then it is agreed that the contractor has a 10 % equity share on the property also. ( the contractor basically waited for almost 2 years to get paid, he should have at least that equity share).
Of course all of this written up by a real estate attorney, etc.
I’ve been to 1 of @Omni Casey meetups in Ashburn. Strongly recommend checking him out on IG or FB where he posts meeting dates etc. Here’s his interview on bigger pockets podcast >>
Hi David! I'm enjoying the 2022 podcast format! My husband and I started our real estate investing somewhat late in life. We are both 50. (Ok, he's 52 and I turn 50 this year!) We bought our first beach condo on Seabrook Island, SC in 2020, simply to have a get-away in the midst of COVID. We are both physicians in Charlotte, NC and work long hours. We are keeping the condo as a vacation home and do not rent it out, but are enjoying the tax benefits and have seen great appreciation just in the year and a half that we have owned it. We purchased it with a conventional loan with 20% down and we estimate that we already have about $200K in equity. In 2021 we purchased another condo. This one in the NC mountains, and we are renting it out as a STR. We purchased it the same way, with a conventional loan with 20% down, and it is doing well, the calendar is full, and we have an Air BnB superhost who also turns it over for us in between guests, and handles all guest correspondence and concerns, so it is truly passive. We pay her 10% and are happy to do so, as even after taking out expenses, we are fully covering the mortgage, plus a little bit. It has made the idea of buying another STR quite attractive, provided we could find a similar situation that would be truly passive. We are trying to decide on the next best purchase in 2022. Our financial planner has forecasted that based on what we have/are putting away in our IRA's, I will be able to retire by age 60, and my husband by age 65. We would love to be able to retire a bit earlier, and are looking at creative ways that real estate investing could get us there. At our ages, the idea of buying enough cash-flowing rental properties to reach our goal on our time frame, feels a little daunting. Any advice if you were in our position? Thanks in advance! By the way, I make house calls through my medical practice and I often listen to your podcast in the car in between patients! :)
I'm making a scary-but-exciting career change after 25 years in education. I live in Seattle, and I'm looking for mentorship and a way in which to partner with someone, earning my keep by doing odd jobs and helping however he/she may need. Of course it would be nice to be paid along the way, but mentorship is my first priority. I just got my RE broker's license, so that's an added detail. I have decided to take a year to see if I can make this work, relying upon my savings in the meantime. This is why this venture is a bit scary.... However, if I can find someone to take me under their wing and make myself an asset to them, then I think it will work out. Oh, I've owned and sold a few rentals, so I'm not completely ignorant of the industry. I just never made it a priority until now. Can y'all do an episode geared towards people in my situation? Basically the late-in-the-game career-changer who's taking what feels like a big, scary risk? I haven't listened to every podcast (I'm new to it and have listened to about 30, and already I've heard some that dabble in this area, but not anything quite this specific), so forgive me if there's already a podcast focused on such a topic.
Would love to hear about raising debt, possibly ... credit line investing / credit cards for downpayments...?
I bought a condo yesterday and the HOA did not disclose that the (beyond the studs) insurance was a separate cost from the HOA. This is not typical and is costly additional expense on the Texas Gulf Coast. The title company, lender and realtor where also unaware until closing. The resale said that it was included.
1. Do I have legal recourse? I continued with the purchase because I still felt like it was a good deal (see below).
2. Should I flip? My Cap Rate went from 9% to 6%, my cash on cash went from 10-11% to 6-7%. I purchased for 77K, per comps I can get ~95k with no rehab. Should I flip it? I put 24K down so mortgage is ~56K.
About my portfolio: I own a home with approx 250K in equity, recently flipped a property and netted 30K. I own an Airbnb condo which is cash flowing really well. I am not able to do HELOCs in Texas.
Hi David! I'd like to hear more details about how you started the mortgage company. What processes did you put in place to manage your investments, the mortgage firm, and the real estate team?
Thank you for all your advice and inspiration!
Hello David,
We just bought our first home using the VA loan. Our goal is to start buying MF within the next year to two years. My question is, do you think that it is a good idea to take out a HELOC in order to use it as a down payment for our first property, and how long typically after purchasing the home is it ok to do so? Thank you for your time.
This might be a moot point. Banks tightened down pretty hard on HELOCs. If you find a bank willing to play ball I would imagine a few people on here would like to know which one.
How about having an economic specialist covering some trends that we are likely to see continue, and ones we will not with the evolving lending & interest rates we are seeing?
What business do you think is missing in this industry? Is there something you wish was available that would make business easier or more successful. We are looking to start another business but want to be intentional in starting something that would benefit those in this amazing community.
I bought a condo yesterday and the HOA did not disclose that the (beyond the studs) insurance was a separate cost from the HOA. This is not typical and is costly additional expense on the Texas Gulf Coast. The title company, lender and realtor where also unaware until closing. The resale said that it was included.
1. Do I have legal recourse? I continued with the purchase because I still felt like it was a good deal (see below).
2. Should I flip? My Cap Rate went from 9% to 6%, my cash on cash went from 10-11% to 6-7%. I purchased for 77K, per comps I can get ~95k with no rehab. Should I flip it? I put 24K down so mortgage is ~56K.
About my portfolio: I own a home with approx 250K in equity, recently flipped a property and netted 30K. I own an Airbnb condo which is cash flowing really well. I am not able to do HELOCs in Texas.
Why can you not do HELOCs in Texas? What are the stipulations?
I enjoy listening to you talk about all the reasons to purchase real estate currently even though prices have more then doubled in many areas.
I would like you to have someone on who disagrees with you on this and can articulate some good reasons to not buy right now. Lets here them out you guys could even debate point by point.
I am proudly in the David Greene camp. But I do seem some concerning things in the economy particular how much asset values are dependent on interest rates, inflation, etc. What if the politicians are forced to bring down inflation?
Hello, I'm from Santa cruz, Ca. and am always brainstorming for creative ways to get more real estate(or whatever else I want). I have 2 single family properties, one in town, one in the central valley of CA, a mobile home, a multi-family in baja Mexico on the ocean, and am building another in the same town. Currently on the prowl for my next multi-family.
I am a registered Nurse, and the founder and CFO/COO of a rapidly growing multi-million dollar start up, My question is " How can I leverage all the money my company is making to purchase real estate?" I realize the business would own it, not me, but still me(smiley face emoji). I don't hear you talk about this. Could this be a thing? I really want it to be, so tell me how please.
THANK YOU!
@Alicia Marks I own three long distance condos in Charlotte NC and a single family rental in PA. I am 50 years old and want to learn about syndication. Please please please do a thorough review if syndication