All Forum Posts by: Andrew Michael

@Matt Tobin

There are many different uses for hard money loans.  Typically, they are short term loans at higher interest rates rates mostly utilized by investors.  The advantage to using a good hard money lender is they can fund your deal very quickly (within 24 hours) and do not require a lengthy process or piles of paper work like a bank would.  In addition, they are willing to loan on "high risk" situations for shorter term periods such as the completion of a rehab project.  

Feel free to PM me for more information.  

How confident are you in your ability to find more profitable wholesales such as this one?  I ask because this seems to be a significant source of income at the moment so I would think you would want to keep that going at all costs.    

How much do you know about 1031 exchanges?  I am not a 1031 expert but I have introduced that option to potential sellers in the past.  It has been my experience that these are fairly sophisticated transactions that can be very costly and time consuming.  Without knowing the numbers in the examples above, would the costs of the exchange justify that strategy just so you can limit tax exposure?  Also I would love for a 1031 expert to chime in because I am not convinced a wholesale deal qualifies you for a 1031 exchange anyway.  Did you actually close and "own" the property or was it just assigned to the buyer?  

Personally I would keep using the wholesaling money to pay down high interest debts.  If you can continue to wholesale at these margins then don't stop.     

@Sydney Cash

Kind of depends what your looking to do in real estate but I think Millionaire Real Estate Investor by Gary Keller is one of the best intro books into real estate investing there is.  Rich Dad Poor Dad is great for adopting the investors type mind set but is not strictly a real estate investing book.  While Robert Kiyosaki has many great books I think Rich Dad is the best but many of his books don't pertain to real estate at all.  

The Millionaire Next Door recommended above is by Thomas J. Stanley.

I think BP book, Low and No Money down is another great start to get your investing juices flowing and to begin looking into strategies you may want to utilize.  

I would start with those three.  

Hi @Louis Feldsott and Welcome.

A few things.  First and foremost we are investors so do not count yourself out of your local market because the prices seem out of your range.  No money down deals, partnerships, owner financing, creative strategies; these are all tools we the investor have in our arsenal and need to use especially when getting started.  

In addition, there are really hot flipping markets in your back yard (PG and parts of DC) where flips are being done for relatively low purchase and rehab prices.  I agree the DMV price points can seem quite high but there are deals available at a wide range of price points. 

I would second what @Joshua Velte said.  Make sure to do your homework when entering the Baltimore market.  It can be very tricky down there and thorough due diligence is needed.  Lower price points do not necessarily equal cheaper projects especially when entering a market you do not have a solid grasp of.  

Good luck happy investing.

@Malik Cole

I think some more information would help fetch a partner here. What specific relationship do you have in place for the great access? Everyone has access to foreclosures and HUD properties.

Perhaps some specific numbers on a property you have in mind would help.  If the numbers work I am sure there will be tons of people willing to partner.    

@Nicole Cicero 

Figure out a way you to add value or provide a service for someone at your local meetups or REIA. What are your strengths? Don't make it your sole goal to find a mentor, instead figure out what you can contribute and then offer your services.

For me I chose an investor friendly agent.  She didn't even realize she was my mentor at first :)  But in exchange for all of her time I tried to send her referrals, pay for lunch or gas when I could, and most importantly listened to her advice.  

It didn't take long before we were partnering on our first deal.  Still knowing very little I did anything and everything I could.  All manual labor, small admin tasks, meeting contractors at our flip property, etc

Eventually over time a strong relationship was formed and a mentor-ship of sorts was born.  I think a cultivated partnership will bare much more fruit in the long run then the quick hunt for a "mentor" but everyone's learning style and goals are different.  

ohh sorry, yeah topic does come up quite a bit for sure.  That would be nice.  

@Brandon L.  Copy and paste a word doc to your marketing folder on your local desktop.  Anytime I think I am doing everything I can to find deals, I read this and realize there is always immediate action I can take to do more.  

1)  Maryland SDAT site can get you the property and mailing address

2)  Creative googling can often get you the number or at the least someone who can get in touch with the party in question

3)  Skip-trace services can you get you anything from phone numbers and emails to full blown history/ background checks.  

@Chris Vaught

Welcome to BP and back to investing.  Anytime you can make mistakes and still come out with a 12k profit, things aren't all that bad.  The Hampton Roads area seems to be pretty hot lately.  I know there is a lot of action down that way.  

Best of luck and happy investing.