All Forum Posts by: Ali Kattan

@Tracy Tippett

Thank you so much for your reply! Is a Title search and transfer something that guarantees me the home is free of any holds or Leins on the seller’s end? Is this something I ask the seller or does my real estate attorney do that?

Again, thanks for your reply!

-Ali

Hello everyone,

I am hoping someone can give me an insight on seller financing. I have a couple of rental properties that I have owned for a few years (purchased through your typical mortgage with a bank).

My realtor presented me a property that was being sold by an investor who is offering seller financing, which is a first for me. The rate is 8% interest with a 6 year ballon (10K down on the property, which is being sold for $110K). The monthly payment includes taxes and insurance and will likely be off set by the monthly rental income. So I will be breaking even every month.

My question is, what are the risks in seller financing? Does this sound like a bad deal? My plan is to let the renter pay off the debt for a couple of years, then refinance or the home via bank loan at which time hopefully I will owe roughly 50-70 percent of what originally purchased at.

Can anyone please share their experiences with seller financing and tell me what you think? I appreciate any and all of your input.

Thanks,

Ali Kattan

@Steve Vaughan

Steve,

Thank you for taking the time to reply. I don’t mind going back to my parents’’ home. And yes, I definitely want to get out of the rat race. I love my career and it is very fulfilling but I do not see myself working for 18 more years then retiring. The opportunity that I have here is a very short window of opportunity(I believe).

Because if I take the profits and invest in something that gives me decent returns, I can potentially set myself up with passive income and never really have to work again (down the road).

I guess I am just afraid of the the possible risk of failing and /or not knowing what to put my money in once that time comes to make the big step and invest.

I am thinking about either getting into large multi units (10-12 door) and going from there. OR investing in a food chain-franchise such as a Qdoba.

Again, thanks for your input. I hope you can help!

Hello everyone,

I have a question that is more personal than business related but is tied to real estate investing.

I purchased my first personal home (primary residence) in 2018 at the age of 24. This home has had a tremendous amount of value increase due to the market in this area and due to the updates I did on the home (can sell for nearly double the price today).

To put it in simple words, I can walk away with nearly $200,000 in my pocket if I decided to sell.

I am single, do not have kids and also have a six figure income job along with two rental properties on the side. I can easily move back in with family (I am 27year old).

My ultimate goal and vision is to use the profits to invest (preferably invest in real estate) and ultimately no longer have to work for my employer.

Although it sounds like a great plan, I was wondering if anyone has any ideas or advice on this matter. Does this sound like a bad idea? Will I regret selling this home that I love so much?

Hello all,

I have a rental property that I purchased a few years ago for 85K. I’ve had wonderful long term tenants and I owe 60K on the mortgage. I’ve been doing some research and the property value is around 130K in today’s market.

I’ve met an investor in the area who has over 50 rental properties that he wants to sell. He’s willing to land contract the properties. I was thinking of cash out refinancing my rental property and putting that cash as a form of down payment on two or three land contracted properties. My thought process is if I let those properties pay the land contract off (through the tenants in them), I would have 2-3 properties paid off in 5 years.

Would this be considered a bad strategy? Is there another method that is better than this? Any of your insights or thoughts would help!

Thank you,

-Ali

Greetings all,

I have a rental property that I purchased a few years back for 85K. I currently owe 60K on the mortgage and comps are showing the property value at 130K.

I’ve been offered some decent rental generating properties via land contract through a big time investor that wants to sell some of his rental homes. If I refinanced my rental property and did a cash our refi in order to buy 2 or 3 land contract homes, would this be considered a bad investor move?

My thought process is if I can use my cash out refi money to put the down payment on the land contract rentals, let those pay off the contract and have 2-3 paid off homes in 4-5 years. Any of your input is greatly appreciated!

Thanks,

Ali

Hello BP family,

I was wondering if someone can help me out. I have a rental property that I purchased for around 84K almost 2 years ago. This property value (due to market in the area) is worth nearly 130k today. If I make the decision to sell this property and take those profits and buy several land contracts (homes for sale by the owner through land contract agreements) will I be able do a 1031 exchange?

Any of your input is appreciated!

Thanks,

Ali

Hello All,

I have been thinking about getting into STR's for a while now. I would like to focus on south east Florida (Miami Beach/Fort Lauderdale area) since I enjoy traveling there for vacations (i'm from Michigan). I'm aware that STR's in some cities are prohibited or have very strict rules. Does anyone have an area in mind, preferably near the water that can be a good STR? My plan is to find a decent deal on the property (once I can pin point a good area) and eventually let a PM company run the STR for me. Of course, I would do this after running the numbers and making sure there is a profit after all expenses.

Any of your suggestions or input is highly appreciated!!

Thanks,

-Ali

Hello All,

I currently own two properties (one of which is my home and have a mortgage on) and the other is my rental property where I get a couple hundred bucks of ROI after all expenses. I purchased this rental property approximately six months ago and everything has been going great. At this point, I would like to continue and hopefully find another good deal. My only issue now is that I do not have enough cash in my hands for another deal (down payment, closing costs etc). I have already refinanced my own home mortgage for other personal reasons. That being said, I did some research and have been thinking about doing a HELOC on my rental property to fund the next rental down payment and then maybe refinance that property down the road.

Does anyone have any other ideas of how I may find a way to fund new deals considering my above mentioned circumstances.

P.S. I currently have a full time 9am-5pm.

Thanks in advance,

-Ali Kattan

Thank you all, I appreciate your input!