All Forum Posts by: Brian Ploszay

It probably is not worth much.  The reason is the lot size is most likely too small if it is just a house.  Commercial users such as fast food need larger sites for parking and egress issues.

If I am right, then the property would only be useful to the adjacent property.   As a residential property, it is odd, something that most people would not be attracted to.

Around 2012, institutional capital descended and bought a lot of foreclosures.  There are funds ready this time to do it again, but it most likely will be commercial real estate.  Residential real estate will not be as wounded. 

On the positive, your losses are light.  Stay on Bigger Pockets, listen and read and you'll get some education on the cheap.  I am skeptical about gurus, because real estate professionals who are truly successful are busy working their own deals.  This guy is an "educator" of sorts.  

Yep, missing your rehab costs is a major way of falling short on your investment.  Bail out?  It would seem that might be prudent.  One thing is that more experienced investors have is better control of the construction costs.  I still find it hard to estimate costs sometimes.

I think you should retain any commissions earned.  Or you can use that as "equity" investment.  Normally, I think of the cash like a separate person.  It should get a "pref"  or preferred rate of return.  Let's say 8%.   Then you can split the upside 50/50.  Or whatever you come up with.  

This is your father.  Your family is important and you can help him.   However, do not do any deal that would stress out your relationship.  Be on the exact same page. 

@Haseeb M.   Risky because you usually can't see the inside of the properties.  But it is a source of good deals.

One of the best is the foreclosure auction.  But that is closed down because of Covid.  The inventory is very low right now.  

Most likely you are going to be stuck with a non paying tenant for some time.  They are avoiding you, they either have no money or think they can get away with this.   Despite Covid, they will owe you this back money.  I forgive this sometimes, if the tenant is cooperative.  Else you have a judgement, which you can report to their credit.  They will have a difficult time in getting an apartment for years.  You can garnish their wages if you can figure out where they work.

I hear the debt-thing.  Within ten years, online education programs for college degrees will be available and at a fraction of the price.  For sure, always continue your professional education.  Even listening to podcasts from professionals helps further your career.