All Forum Posts by: Bogdan Cirlig

There's no hard cute definition, they largely mean same thing to same people, look at it this way:

A - white collar execs, well off business owners, median household income in the 100k+, schools at least 8 out of 10.  Virtually lowest crime. Generally properties here don't cashflow with 20 down. Education level mostly college (50%+ and 15%+ advanced degrees)

B - blue collars hard working middle class. Household income min 70k, decent schools. Great CF. State average crime level. 

C - already lower household income usually 40k/yr, higher crime, mixed bag of high school and college education. renter density in suburban areas generally higher in the 20%+

D - warzone, high crime, sect 8 mostly living on govt programs and supplementing income via not so legit ways (read meth houses, etc). Property values under $30k, average household income is max $35k/year. You gotta know what you're doing or be the "hefe" on the street to collect rents there.

Im sure other people can add various angles to the same definition.

Definitely it's time for (another) correction. The signs have appeared all over the place in both stock market and real estate. I'm piling up cash for next wave of distressed inventory :-)

@Brian Eastman speaking of which, what do you think of PENSCO & Millenium Trust?

@Jon Holdman, thanks for the heads up, forgot about local banks, but makes sense.

I'd pay extra attention to the following major gotchas:

- roof age and condition

- piping condition

- appliances/heating

These can destroy your cashflow and equity. 

Still, I wouldn't pay more than the bank's appraised value. "You make money when you buy" - Robert Kiyosaki, Rich Dad, Poor Dad

I think (getting licensed to) providing expert advice to people that have the problem of "too much money" will remain a very solid skill for as long as progressive taxes will be levied to the "rich". Just accounting is a small part but pair that up with alternate asset investing strategies a(aka real estate one example) and you become much more powerful than just a simple CPA.

I do my own accounting using as much technology as it's available, and I find it very easy. Most pain on real estate comes from keeping your expenses. Been doing my oqn taxes via turbotax for past 15 years, it's never complicated. But again, use tech, and be diligent to record the stuff as it happens not just throw into a pile and shove it to the CPA once a year.

Lately I really love "wave" app, that sucks it all from all the banks and credit cards and I set aside myself 1 hr a week to categorize all new transactions that are pulled in. Very easy. Then the CPA does the final stuff and efiles. I suspect the CPA role will become more and more replaced by tech (what isn't these days). Keeping a great advisory expertise is key imho.

Anyone can recommend non recourse lenders for residential investments? I just finished setting up and consolidating my Solo-k and I'm looking to put it to work. What's your experience with non-recourse lenders? What's max LTV they usually go for?

We're already collecting all rentals from Craigslist and other major rental providers, why spend 30 min to put them in an excel vs 30 sec to find out. Also it's SQFT based estimate that accounts for property type as well. Give it a shot!

Umm.. those condos can run upwards of $1MM, not sure how you can make that deal cashflow and as Wayne pointed out, no AirBNB thingie.

123Landlord.com I love the work order aspect in it.