All Forum Posts by: Brett Chaponot

Leverage all day long! Money will never be cheaper than it is now. But I always recommend speaking with your tax advisor for your individual situations. I don't see the benefit of selling and trying to repurchase other properties. A mortgage broker will help you figure out the best way to qualify. They'll lend you more money on a property with rental income history than cash in a bank. I also wouldn't recommend over leveraging out of pocket monthly. There will always be repairs and other costs out. Keep a reserve as markets do have a tendency to change. 

That unit cashflows but read the HOA documents. Your cashflow could get wiped out with a special assessment. Also, you're probably going to need some extra cash now for rehab, look into a 203k rehab loan. Lastly, someone died in one of the units recently, you may what to check into that. They have a pending offer but I think it's weak. It sold for $50k less last year.

Have you looked into diversifying your IRA? Non-recourse loans in your IRA are great ways to tax shelter your cashflow if you're looking long term with your investments.

Any more details? Property address? I'm curious to the location and age of the property?

I'm at Keller Williams and I love the training that helped me get started. It's an energetic company with great values.

Look at hiring a lawyer to write and form a project based LLC. Your equity contribution can be relationships and knowledge. The investors can be cash. The homes would be bought and sold or managed in the LLC and the names on title would benefit. It's harder for the investor to cut you out. But work on and practice your pitch and value proposition. Right now an investor wouldn't see value in your knowledge the way you initially sold the pitch at the start of the thread.

Are you going to be working in another industry or focusing only on the real estate portfolio? I have Denver real estate properties that do very well because of the high cashflow and low mortgages. But the market is catching up. Property values have gone up 30% in the past year and a half. As far as analysis, look up area job growth, cost of living, and main area industries for external influences. And property costs vs. rental potential. You may find more value today in Dallas with a depressed oil economy, but it's still a very diversified and thriving economy. But as a young professional you should look at what area makes you happy and live in your units for 2yrs to get primary residence status and sell them after another 3yrs of renting. Consult your CPA because the tax strategy is a key component.