All Forum Posts by: Dan D.

@Bob Ewoldt I'm not an expert on the IL side of the fence - can you give an example with legit numbers of what you mean by a better deal? In reality, the particular tax rate of an area and other area related expenses are irrelevant in deciding where to invest. What I mean by that is the decision shouldn't be made on say tax rates but on ROI. Who cares if you pay 4% in property taxes if the ROI is still 15%? Is it better to invest in an area with 0.5% property taxes but get an ROI of 4%?

That makes sense however does the friendliness of a state toward a landlord come into play in your estimation?

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$50k for $1k/mo sounds great! $100k-$125k for $1800-$2k in an A area sounds even better! But, I suppose this doesn't exist?

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That was going to be my follow up question. How much influence do the landlord/tenant laws of a state have on an investment strategy?

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Do you guys/gals ever predetermine which state/area to invest in by state/county tax rate?

When I view some of the properties for sale in the marketplace; I review the figures and get to the taxes and see a big difference between say Indiana and Illinois.

Thoughts?

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Originally posted by @Vince Dyer:

Just closed my first cash flow deal as well. This was a classic cash flow deal. My first cash flow deal after 33 wholesale deals.

So here my first cash flow deal

Purchase Price: $ 86,000

Rehab: $ 6,000

All in the deal: $ 92,000

Appraisal after refi: $ 140,000

Refinance: $ 105,000

Rent: $ 1350

So all done Zero in the deal. Net cash flow $ 480/month.

Now 19 more to go can't wait to speed up the process.

Vince.

Where did you find this deal? Did you locate from one of your sources or buy from another wholesaler?

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Just wondering what the experts think of this deal in the marketplace?

Looks like the ROI would be great even being conservative with figures. Is it not a decent cash flow deal?

As a beginner I am trying to decipher between good deals and ones to pass on.

Thx

https://www.biggerpockets.com/forums/517/topics/252718-63-roi-in-terre-haute-in-looking-for-quick-close

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Originally posted by @Byron Bohlsen:

As for the whole one side will be rented so you still make money argument - To some this is a valid reasoning and will help some sleep better at night and if thats you that's great but I would argue that if your looking at your portfolio as a whole it doesn't really matter since the numbers are the same since a vacancy is a vacancy.

Yes; I don't understand the vacancy comment either? There are 2 units (in a duplex) vs. 2 units in SFH's we are talking about. Unit for unit the same.

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Duplex for 110k w/ both units rented for a total of $1500/mo. or 2 SFH's for 55k each rented at $750/mo. ?

Pro's / Con's ?

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Is there an advantage in buying a duplex vs 2 sfh's?

I.E. 2 unit for 110k w/ 1700/mo. in rent total vs. 2 60-70k sfh's w/ 800-900/mo in rent?

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I am in the crazy CA real estate market; and have been looking into buying out of state.

Either 30-50k cash deals or 110-150k deals financed that cash flow.

My question is: on the 110k-150k deals, why are there not more owner occupant buyers? The payment on those prices would be 800-900 per month; and FHA goes down 580 fico w/ only 3.5% down. So why are there renters at 1500/mo. on these properties and no owner occupant buyers?

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All Forum Posts by: Dan D.

Dan D. has started 14 posts and replied 58 times.

Post: Investing and Property Taxes: States

Post: Mid West Buy and Hold Investing with High CoC Returns?

Post: Investing and Property Taxes: States

Post: Investing and Property Taxes: States

Post: We bought our first rental!

Post: Not more interest in this type of marketplace deal?

Post: Duplex vs 2 SFR's

Post: Duplex vs 2 SFR's

Post: Beginner with $200k

Post: Why don't they buy?