All Forum Posts by: Adam Sieg

@Ryan Santelises You should reach out to rent to retirement. I know some of their new build are sold well below market value that have a lot of equity. A friend of mine who did a new build with them in FL that was all in under $260k and the home is projected to sell above $400k. It would rent out for $2500 a month producing double digit ROI and over $600/month cash flow. Might be worth looking into as those returns are hard to beat from what I have seen so far. @Adam Sieg is another person doing new consruction with them that may be able to expand on the numbers more. 

Aside from Florida I know they also have inventory in some of the other areas you are talking about as well. Hope that helps!

Hey Thomas, 

Great question! Markets are difficult to predict because of the number of factors that come into place. I would not concentrate my efforts on predicting when the next recession would be but I will re-evaluate my strategy to mitigate the most amount of risk possible during times of uncertainty. 

If I were you I would keep looking for opportunities, I would analyze them with a higher safety margin and offer only when your numbers make sense. 

Best of luck!

David 

Welcome to our question of the week! This is based of a Facebook discussion about wanting to hear more average income earners accomplishing their real estate goals. If someone wants to get started in becoming a real estate investor, makes around $50k per year and has saved $10k, but doesn't want to househack, what would you recommend they do? 

Let's hear those great ideas and life experience!

As somebody who was a sub-prime mortgage loan officer in 2007-2008 and remained in the mortgage industry for following 14 years, I can say with confidence that this time it's different (from a quality of loan perspective)

The single biggest threat to the housing market in my opinion is if we enter a recession and these layoffs persist. We're already seeing layoffs in tech and fintech. If we continue to see layoffs across other industries and the unemployment rate starts to rise, then there are going to be a lot of people who are having a hard time affording their home (ESPECIALLY the people who got caught up in the frenzy and paid too much over the past 18 months).

I still don't foresee a crash in the market comparable to what we saw in 2008. But I do think there is risk of price decline in the short term. All that being said, I have no idea what I'm talking about. I'm not an economist, I don't have a crystal ball. I'm just a guy with an opinion.

I've been going through the process with the team and I think something that will make you confident in whatever you choose with them is running the numbers yourself. I'd also reach out to real estate agents in the areas you are looking at specific properties and show them the turn key deal you're looking at and they can do a great job at confirming or not confirming if that property would really rent for what they're saying. Real estate agents also have good insights on whether the property is in a good neighborhood, city, etc. 

I've found a property through rent to retirement that checks my boxes and checks out from what I've talked through with agents local to that area. The team at Rent to Retirement has been very helpful in the process as well!

Hi Martin, I have found rent to retirement to have alot of valuable information regarding out of state investing. They are very reputable here on bigger pockets and operate in some great markets. 

There are lots of forums talking about them along with other turnkey companies on here.

Make sure to document the hours into a log.

Also, speak with a professional to see what hours count and what hours don't count.

@Adam Sieg what company do you go to for your turn key properties?

@Adam Sieg

Are you just buying a rent ready house or is it a platform like Fundrise?