All Forum Posts by: Raj I.

Hello - I am a complete noob looking at the RE business to diversify my portfolio.

About me - 30 some exec w/ a stable job and a primary home. I have kept my savings in 1% return savings ac and the stock market with losing stocks. I am unable to write off my investment losses beyond the yearly $3,000 hence looking at the RE market.

My credit is over 800 and I want to put $$ to good use.

1. What would you do if you started out brand new?

2. What kind of incorporation would you consider (in GA) - LLC w/ Partnership option or would you add Land Trust component?

3. What would be the minimum rental income you would consider after all expenses? Considering $120k purchase price, would positive cash flow of $600 be good?

Thank you so much in advance!

Hello Isi,

In HI, I intend to purchase a turnkey short term rental with a 20%Fee to the Property Mgmt company. 

In the Mainland, I am looking at long term renters.

Thank you!

Please bear with me as this is my very first BP post. I am sure I will commit some cardinal sin in terms of posting something which doesn't belong here., so please guide me the right way with kindness :)

Situation - My income is high enough where I pay 25k-35k a year after my itemized deductions (#blessed, #notdouchy) and I am turning to RE to reduce my tax burden. 

Option #1:

Buy a 279k home in Hawaii with $80k down for a turnkey rental. Expecting $500-700/month after paying property manager, taxes, hoa, etc. I know it's not efficient to put 30% down, but financing in HI is real tight and this seems to be the main option to go with a Mortgage lender.

Main reason for doing this is so that I can go to Hawaii every year and use that as a write off. 

Questions:

1. Please tell me your thoughts on why is this a good/bad idea
2. Do you know a way to get the loan creatively so that I can unlock the 30%? Will 'Loan Seasoning' work?

Idea was that in 20 years this will be a paid-off condo. 

Option #2:

Buy 5 homes in the mainland @100k each and turn them into long-term rentals.

1. Better to use my own $ or go for creative financing from day 1?
2. What would you do if you were a brand new investor and had $ losing ground on a 1% interest rate?

Thank you so much for your time. I am sure you will get wonderful RE Karma with glorious deals and max ROI's :)