All Forum Posts by: Brad Jacobson

I got my start by reading Brandon Turner's "Book on Managing Rental Properties" and it was awesome.  I read it once before I had a rental and then again right after I got my first rental rented out and seven years later, I still credit that book for the good experience I've had as a landlord.

Good luck!

In my experience, smaller jobs are always 50% up-front and 50% at completion.  

However, if you're hiring someone like a GC to remodel an entire house or do a big job, then I would definitely recommend as much negotiation as possible.  Smaller and more frequent payments help keep the work moving and timely.  Infrequent and large payments almost always ensure the job will move slower and with less oversight.

Good luck!

The best way to create protection is to transfer the property into an LLC and then a trust. The trust will create privacy and the LLC, if done correctly, should limit your liability.

Find a rockstar RE attorney in your state and have him or her guide you through their recommendations. Utah's best recommends what I've outlined with the LLC covered by a trust.

Good luck!

If it's on the MLS, you should use an agent because there's already a "buyer's agent commission" built into the price. If you've done all the work, you're welcome to negotiate some financial support from your agent but you might as well use a great agent to teach you the ropes and help you through the transaction.

If it's not on the MLS, still use an agent if you're really inexperienced. However, go above and beyond to find a GREAT agent who will make the process a good learning experience for you. Let the agent build in a few grand into the purchase price so they get a small commission out of it.

Use great professionals and pay them for their work.  It'll pay big dividends if you get the right agent.

Good luck!

At $15k/yr in income, you're probably not ready to own anything.  Home owner is definitely the path to wealth but unless you have about $10k in savings, you wouldn't want something like a bad sewer line taking you under.

The advantage you have is the ability to house-hack and only put 3.5-5% down with the owner-occupancy.  I'd talk to your parents or others in your life that might be willing to partner with you.  You give your partner your advtanges with the low cost to entry and they give you help on qualifying for a loan and ensuring you're ready for a large expense if one comes.

Good luck!

I love Andrew's take - the brand really is just an advanced level of networking.

Most of my best deals have come from my network, AKA, people knowing I'm in real estate and bringing opportunities to me.  Having a reputation and "brand" is the key to making those deals frequent.

Post every day on social media and focus on growing your friends list daily.  Only make 2/5 posts real estate related so you're not obnoxious.  Don't be afraid to overpost because it'll be hard to find something to post everyday.

Good luck!

You shouldn't have to make this decision yourself!  You should focus on finding the best local lenders and then having them explain to you which option would be better for you based on your down-payment, credit score, quoted rate, and intended use.

Good luck!

There are a lot of books and real estate advice out there talking about how to buy with no or low money down.  I don't think this is typically wise advice unless you're house-hacking to simply cut down on your living expenses.

It's important to invest from a position of strength.  Have $10k in reserves for each property you own at all times, buy with at least 25% equity, be and be conservative in your rent estimates.  If you do all these things and have the income to support your investing, you'll be fine.

Good luck!

I agree with both @Charles Carillo and @Darnell Lockett that you definitely need to consider a portfolio loan from a local credit union.  I don't believe the commercial loan or SBA would be options in this scenario and doing eight individual loans would be much more expensive and a lot more work.

The portfolio loan will still get you a solid rate, it will cost much less to procure, and it will be easier to manage.  

Good luck!

If you have the funds for the downpayment and at least five figures in savings left over to conquer any capital expenses that arise, DO IT!  House-hacking is ALWAYS better than not.

When you go under contract, hire a great home inspector and do a sewer line scope.  Negotiate a few concessions from the sellers and save that money.  4plexes are infamous for being higher maintenance but if your cost of living decreases by $1,000+/month, that money will serve you well to keep the property nice and increase your net worth.

Good luck!