All Forum Posts by: Brent Coombs

@Andrew Bond, when you say "I feel like I can do the proper job and make millions I have that mindset and I go by it every day", it looks like you expect to do so quite quickly?

I would like to remind you that buying Real Estate is not a "get rich quick" scheme.

ie. It takes time.  Time is your friend once you start on the Real Estate ladder.

"House hacking" just means that every property you buy (including residence/s you're going to live in) will have the opportunity to generate income, either to ameliorate your own living expenses, or (preferably) generating positive cash flow into your pocket (despite having mortgages against them).

ie.  As has been said, it's not rocket science.  ie.  You know enough to get started.  

ie.  Buy an income-able home as soon as you have minimum deposit.  Cheers...

You should have a procedure in place that will give you the necessary funds in case your expected Buyer doesn't materialize.  ie.  Any "proof of funds" letter needs to be genuine.  

ie.  You must be able to close on any Contract you sign.  How will you accomplish that?

[Please don't assume that cash buyers will line up for your deals, just because you think they're great deals.  ie.  You should still be pleased to buy the deal even if it's with Hard Money, otherwise - walk away before signing].  Cheers...

If you have "an all cash buyer" (ie. not a HML), then why the question?

On the other hand, if your "all cash buyer" is just a "maybe" buyer, then yes, you need to be able to close regardless, because, you're not a "wannabe", right?  Welcome to BP...

@Justin Krautkremer, $71/m may not seem much, but, when it comes off the back of zero of your own dollars left in the deal, it's $71/m free money!

ie.  That's "infinite returns" in action.  Good luck...

@Cathy Malmrose, my question is: Why sell?  You've done such a good job promoting its virtues and profit-making prowess, how will its $ value be better invested?  Cheers...

Did you read where others here only used their HELOC as deposits, borrowing the rest against their new investment?  And the next stage of that process is to (6-12 months later) refinance against that new investment.

But how can that be done, if you already borrowed the maximum 75% in the first place?

The answer is: You need to have bought a bargain, meaning your later revaluation & refinance will get you all your original outlay back.  Get it?  Got it.  Good.  Cheers...

You know you already answered your own question, right?

ie.  How else could have bought those "few properties"?

And yes, you've already also worked out that you need to focus on the cash flow aspect.  

Keep up the good work.  Congrats...  

@Phu Le, why not be a bird-dog first?  Get some experience under your belt (and get paid regardless of your Investor's subsequent profit/loss).  

Then, you might agree with @Evan Dobrowski and get a proper job in RE after you go for your Realtors License.  What say you?...

@Frano Buhovac, since you "currently don't have the required down payment", I take it that the only reason they want to sell is because they need (at least) that deposit amount up front?  ie.  Otherwise, why sell at all?

ie.  You'd better find a way of coming up with that deposit, else: goodbye deal?

ie.  Get it done.  Good luck...

@Ryan DiCanio, I get that you would like to use an FHA-Approved Lender every time you move (because of their "small" deposit requirement), but, unless each buy is a certified bargain at the time of purchase (ie. Bought circa 25% less than subsequent valuation by whoever you want to use to refinance it later), then how will you pay your first one off when you go to replace your Primary mortgage?

ie.  Is the property you're putting an offer on worth 33% more than your Offer?

[If you do the math, you'll see why 25% discount means: Needs to be 33% more valuable].

Also, the more debt you have, the more your DTI will be called into question.

eg.  Your Lender will not take 100% of anticipated/actual Rent into account. Cheers...