All Forum Posts by: Babek Sandhar

@Brian Garlington that's a really good point. I'm afraid of that as well. Perhaps doing a JV isn't a bad idea?

@Saj S. Thanks for the advice, kudos to the moves you’ve made last few years. Very smart moves my friend

@Saj S. I would rather do a Jv down the line and learn foreclosure markets and try to get something all cash in that case. I have plenty of time to learn over next 1-4 years. As many of the older folks who have years of experience in RE have told me: RE is about cash flow not appreciation.

I agree, while I may not be able to get 10 properties I am hoping to get one and that’s a great starting place for me personally. I elect to go out of state to somewhere like Arizona or Memphis.

Just curious if we were to see something like 2008 again, would it be better to get at the top when credit is easy or wait until 2010-2011?!

Hey BP,

I’m hoping someone can help me answer this question.

My goal is to get approval for a loan to get a house in the Bay Area. I would be a first time home buyer & I understand I can get one now, but my belief is that a recession will come and see some type of drop in prices.

I just got a job that’s providing passive income (finally). All of my wealth & savings in the past has derived from investments I made over the last ten years (mostly tech stocks I purchased in 2009-2010 and sold in late 2018).

My credit score is somewhere around ~800. I use my credit card and pay it off in a timely manner. However, I’ve never made any huge purchases (like a car). I may have paid some of my school tuition on credit a few times, but paid it off quick, I can’t recall if I used my credit card or my dads (who helped pay for my school, didn’t want to take a student loan).

A couple questions I want help answering is:

How hard was it to get a loan after the 2008 crisis?

What can I do to continue to build credit?

What’s the additional requirements I’m not considering when trying to get a loan? Assuming I have enough money to put on a down payment (20%)?

Maybe if someone could walk me through what I need to do to be ready to buy if a recession was to occur and credit tightens (which is a cause and effect of recessionary pressures).

My goal is buy during this type of period and I understand that could be difficult as lending practices change during hard times. Thanks!

Ahhhh what a coincidence! Perhaps the corona virus is a catalyst for a recession. This will be quite interesting. I am keeping my eye on key levels for the SP500. Right now the parabolic move up looks to be over. I’ll be looking at the 2500 level over the coming weeks to see if we break that. A break there would confirm this is going A LOT lower and would be confirmation this is a bear market.

 Agreed Nick, I think when we get there, it will be best to play it by ear. I would like to see how Fed's react with their policies, any new regulations that could affect liquidity flow, interest rates, etc. I acknowledge this correction could be minor and I'm ready to play both sides. Managing risk as many of these investors say is key to longevity. If you're looking for a good book to read to learn how to time bottoms in recessionary periods 

2 Books I would recommend "The Anatomy of the Bear" by Russell Napier and "Principles for Navigating Big Debt Crises" by Ray Dalio (This is a free PDF, I will send it to you if you request through a PM. Their work is phenomenal and decades of research condensed into each respective book. 

Good luck on your endeavours.

Hey everyone,

Haven’t seen any forums on this, but how would one go about buying land with water rights or water reserves. Considering I would want raw land that could one day used for agricultural purposes (given it’s the cheapest way to attain farmland).

What are some factors I need to take into consideration before buying land. How about analyzing the water reserves? I’m sure I’m missing a lot but what else should I be thinking about.

@Jai Reddy

This is very insightful, thanks for sharing this with everyone.

 Thanks Jai,

Mind sharing what you wish you did in hindsight for some of us that weren't investing during that time period? Would be cool for you to share your story with everyone if you don't mind.

 I couldn't agree more. I would love to own a multi-unit, just not sure what/where I should be looking at or where to start if I was too. I've just taught myself how to make institutional grade proformas for multi units on excel, but now it's really trying to understand all the metrics and how to apply them properly. I will PM you.