All Forum Posts by: Babu Ramadoss

I was planning on buying a rental property. I am an employee who has some savings. Given how the US economy is headed and the gloom around the global economy and markets, is it wise to invest 50-75K on a property at this time? Is it better to hold off for a couple of months? Any thoughts?

@Bryan Lyde Great plan. Do you find the properties yourself or work with a turnkey property management company? From what I saw so far (in a short time), the turnkey property management companies charge almost market rate for the properties. When that is the case, BRRR really wont work well right? What are your suggestions?

Hi Justin

     2.75 is a great rate for 30 years. Just to juxtapose all things concerned, you have to keep in mind one aspect of how mortgage loans work. The first five years of the loan will be interest heavy. So you almost crossed that period with your original loan. Now , when you enter the new refinance loan, that five year marker is reset and you will be paying more interest again for the next 5 years. I am not sure if its factored in when they reset the loan to keep it to the same 30 years. You may want to calculate the parity in the interest that you would pay with what you would save to ensure you win with the deal. You can do the math and make a decision. 

@Buyan Thyagarajan

I am looking for turnkey properties. When i get listings on my preferred locations, I am not sure how to chose the right one?

I have my price range, number of bedrooms/bath rooms, location decided. But within that range, i am not sure how to pick a property over others? 

How to find the liveability of the neighborhood? How do you get the crime rates, income range, type - A,B or C of the neighborhood?

Any pointers are appreciated.

Hi 

     Remote turnkey investments is a challenging one. You need to work with someone who is trustworthy. Can the individual investors share the companies they have dealt with and are happy? You can suggest who should not be considered too.