All Forum Posts by: Brian Lacey

@Jeff Greenberg I think we're beating the same drum. 

Active investing => Time commitment

Passive Investing => Reaping the rewards of the active investment.

I guess, using my logic, to some degree every deal involves active investing to create itself, then if successful it becomes passive investing. You could even say that depending how successful a deal is judged by its ability to become and remain a passive investment.

Even Cuban, who is only looking at deals that require his attention, has people underneath him, branches if you will of the Cuban tree, that he had to hire, or hired a subordinate, who then hired other subordinates. Cuban still initially put in that time at the beginning to get the ball rolling, which is echoing all of what you said.

@Jeff Greenberg I agree 100% with everything you said. In my mind, as one increases their means, and improves their systems (all of which you're saying), the term active investing now reinvents itself. 

Lets take Cuban for example, doing the DD, and spending the time even thinking of an investment is now considered active investing to him.

You said it yourself, that it's a continuous spectrum. No reason to say that these definitions cannot reinvent themselves, as one progresses in their career. 

At that level of investing, your time is what really matters because of its finite amount, time spent doing DD on one deal, is time not spent doing DD on another deal. I think its always active to some degree, just the definition shifts.

@Derik S. it all comes down to resources. You have the most valuable resource at your disposal. YOUR TIME! Not a lot of people have a lot of that. They have experience, and they have money, but they may not have a ton of time. You need to offer these individuals your time, so that it frees up more of theirs.

Welcome, nice to see a fellow San Diegan and Aztec.

You're on the right track already. To supplement your current business, and the BP podcast and network/forum, I'd suggest other additional podcasts like Mark Ferguson's invest four more, and Joe Fairless' podcast Best Real Estate Investing Advice Ever Show, and I enjoy listening to Engelo Rumora on the various podcasts.

Looking into other niches would be a good use of time. If you're solid on the wholesaling front, then either flipping or buy and hold would be logical extensions for you, and plenty of forums about both. 

Sounds like you have plenty of time on your hands. And that is one resource many investors don't have a ton of. I would suggest you contact investors in the Ft. Collins area, and offer to help in any way possible. Don't worry about getting paid. Right now, it's about getting someone to give you the time of day. 

If that backfires, get a 9-5, and save. Or follow Jay's first comment, or try my advice again.

https://www.biggerpockets.com/search?utf8=✓&term=h...

House Hacking, ^ here is a search for it.

https://www.biggerpockets.com/search?utf8=✓&term=f...

A FHA loan is your new friend.

@Jason V. @Bogdan Kirilchuk thanks for the info. I'm a San Diego, CA guy, and currently in South Korea, so Rochester was totally off my radar, until I heard that statement from this investor in Rochester. Makes it very appealing in my eyes. 

My big questions would be: Why are they selling (hoping for a motivated seller), and why is this property a fraction of the other properties in the area, and what are the comparable duplexes selling for?

Get those 3 answered, and you'll get a better idea of how to approach the deal, and ought to give you an idea of your exit strategies.

Secure your downside (risk), know how to build your upside (equity).

For NY state people, how does Rochester react to a recession, or how was it in '08? I heard it on a podcast that the speaker referred to Rochester as the "cash flow capital of the US because that's all you're going to get there, that place never appreciates." Does the same apply for a downturn in Rochester?

@Heidi B. I agree that this is a truly global crisis. Not like in '07 where everyone was sucking up US MBS. It's a credit crisis, the first of its kind. China and the Yuan are in for a world of hurt. Russia is being economically sabotaged by Saudi Arabia through their creation of a glut in the oil supply.

My theory is that you won't see too much change on the US front because of the election cycle. This is damn near identical to how Obama was able to come in and win the election, when everyone knew that ANY democrat with a pulse was going to win because they weren't Bush, or guilty by association a Republican. On the US front it will all be about the Fed, and that they're the last to know about an active recession. So they'll hike rates "for the good of the economy" (should have been done 5 years ago at least), and the global stock markets will react poorly. They'll repeat, then smack, realize that we're in a full fledged recession by Fall. 

Real Estate is a slow moving industry. So there isn't going to be some flash in the pan, here are the deals for a week and now they're gone. But I imagine more and more people in the bubbly urban markets (tech heavy especially) of San Fran, Seattle, and LA will begin talking about more and more deals (comparatively speaking) in their markets. Which will then move to the secondary and tertiary markets. 

+ Texas and the oil cities are something to keep an eye on. Houston, and some of the other gulf cities like New Orleans and southern Louisiana are worth watching as well.