All Forum Posts by: Andrew Fielder

Just wondering what most people are using to keep up with what's happening in their local/regional areas?

Just listened to the most recent podcast and the guest mentioned subscribing to your local business journal. I never thought of that. Went and visited my local business journal website and looks like they do have some good info and a dedicated real estate section.

@Patrick H. Would cautiously optimistic on this one. The investors I know who have NNN properties with good property management just collect a check in the mail every month.

Good luck!

@Nick Coonis wow 5 weeks. Absolutely can't beat that.

Looking forward to seeing the final product! Congrats.

@Nick Coonis Beautiful piece of land. Will look great when completed!

So it looks like your construction costs and site prep are $261K. Does that also includes professional fees? Seems like a pretty good way to go, at $261K for 1,782sqft you're looking at around $146/sqft for modular.

Did you look into traditional construction methods? Just trying to get an idea of the cost difference between modular and traditional. 

@Yaron Horsky financially it makes the most sense until you have a job that can support you moving out. ie enough money to cover your living expenses, entertainment and still have enough left over to save for investing in real estate.

If you know they are going to be negative about it, what's the point of bringing it up? If you want to do real estate and your passionate about it then you should do it. The negativity isn't going to help you achieve your goals.

Get a game plan together. Start thinking and writing down your goals and learning what you need to do to achieve them. 

For me I realized a degree was going to add value to my real estate investing goals. I also got my real estate license and ARGUS certification knowing that those too would add value. If you think a degree will add value to your goals then do it. If you don't then find something that will.

It's a process. You're not going to go from $0 to a millionaire real estate investor overnight. Just keep working at it every day, educate yourself, put yourself into situations that create more opportunity and it will pay off.

Good luck!

Max don't worry about the lawyer's conflict of interest. They know how to protect themselves and it will just cause more headaches for you.

You said have a buyer, but you really don't have anything yet as they are trying to buy it directly from the seller. So you need to keep advertising this as if you don't have any buyers yet.

Also have you tried negotiating with the other party? Ask them what it would take to make the deal happen. You might have to drop your price into order make a deal but 100% of something is better than 100% of nothing.

If you've tried that, be up front with them and tell them that the buyer is willing to renew the contract as long as it takes to get a buyer. If they aren't willing to play ball then you need to find someone who will.

Just don't rely on them as your only option because then they have all the leverage.

@Trace Carson as you know or will find out there's many different strategies in real estate. I know quite a few people who do them and live in them for 2 years to avoid paying capital gains taxes. So they only make money every 2 years. But usually they are also actively investing in real estate via other strategies.

For them it's about multiple sources of income and think you'll find the people that do well on here financially usually have more than one source of income eg. buy and hold resi or commercial

It's up to you, the sky really is the limit in real estate.

Good luck!

Yes, been in a similar situation. No one is dealt the same cards. You have to figure out how to make the most out of what you have. 2 years in to college I knew that long term I wanted to be a real estate investor. At the time I had moved out of my house and paid for everything on my own. Getting them to help me out with a real estate investment was the last thing they were going to do. I decided to do everything in my power to put myself in a position to pursue that goal. I dedicated my final two years in college to taking every elective I had in a real estate or investment course. I got an internship working for a real estate development company. When I graduated I joined a software company because it was with a good company and they paid well for someone straight out of college. Unfortunately Accounting and Corporate Finance was not what I wanted to do long term. About 1.5 years into my job I decided to go back to school to study more about real estate but I would have to relocate to pursue a masters in real estate. So I enrolled in a taxation masters of all things and took an elective course in Real Estate Investing. It was the best course I've ever done. The professor was great and I also completed an ARGUS DCF course which these days is pretty much a requirement to get into commercial real estate. At the same time I also go my real estate license. After that semester I knew I wanted to go down the commercial real estate track more than residential. So I decided to pursue a masters degree in property and development in Australia. I finished the masters course last year and am now working at CBRE the #1 commercial real estate company worldwide. 

What I'm trying to say here is that you need to pursue your dreams. If that's real estate investing then it needs to become your "magnificent obsession". You need to make it your lifestyle.

As you know from this website you don't have to have a job or money to invest in real estate but its a hell of a lot easier if you do. I understand that my job is a means to an end. So if I have to work my job to be financially independent and to help me invest in real estate then I might as well be working in that industry.

At the end of the day, my parents have seen that I am committed to real estate. It didn't happen overnight but it happened and now they look to me to help them invest their retirement savings in real estate. They even loaned my $15,000 to buy an apartment which I thought would never happen.

So believe in yourself, surround yourself with positive people, don't make excuses why you can't work on your passion every day and good things will come.

Hope that helps. Good luck my friend.

Josh you could also consider using a commercial agent. Ultimately they will get a fee for leasing but that would allow you to continue to go to college and educate yourself further on your exit strategy for the property. Any decent commercial agent would also have a network of potential tenants so that's the advantage of using an agent.

I don't recommend dropping the rental price unless you have to. As you would know, commercial real estate is valued based on NOI so reducing the rent reduces the capital value of the building. Offer the tenant other leasing incentives such as a rent abatement. One of the reasons behind this logic is rental growth. You may have a 4% annual increase in rents. You want that to grow at a the market price not at a reduced price. Most disciplined commercial investors do it this way.

It sounds like you're half way through things already but regardless you should read commercial real estate investing by Dolf De Roos. I always recommend this book to people starting off in commercial.

@Abhishake Chhibber well with the updated numbers you have negative cash flow and I don't think your appreciation will be strong so I would say no. Keep looking I think you will see that there are better deals out there. Also I think before you pull the trigger on it you should try to learn a lot more about commercial real estate investing. There's good books out there. Commercial Real Estate Investing by Dolf De Roos is a good one. BP podcasts, forums, blogs. You need to understand first how to evaluate the deal. Once you understand that then you can come on to BP and double check with the "experts". Invest in your education first and foremost before you do anything.