All Forum Posts by: Bryan Beal

@Seung Oh no, no one can be 100% positive an area will appreciate. Anyone that tells you that is a liar.

You should pick an area in which you BELIEVE there is upside. Do your research and find the areas that work best for you and your goals.

That $200,000, in my opinion, is better spent in markets where you can acquire multiple homes and leverage your cash among multiple assets to spread your liability. When the next downturn hits, it’s my strong belief that it will sharply affect the most expensive markets - the small/medium size markets will hold relatively strong.

Not to mention California a time bomb - I live out here as well and I would not and have not bought bought an investment property here. I feel my money is best spent (candidly) anywhere else.

Thanks @Rob Pecha - appreciate the quick response!

In essence, we'll be identifying individual properties for this investor - physical addresses so they can report on those.  Let me also say that this individual is very close to me (family, in fact) so take that for what it's worth.  

Seeking some advice on how to proceed with a potential investor.

I have someone who is ready to throw in a significant amount of money to invest into our real estate offerings and the situation has become a little...  Tricky.  They are in the the process of selling a large commercial portfolio and they want to use the proceeds from that sale to invest into our platform.  They (obviously) want to limit their tax liability so in order for this to work we'll need to find a way for them to utilize the 1031 Exchange. 

Does anyone have any suggestions here?  Could we potentially form an entity where they are the majority shareholder and use that to invest?  Could we place them as first deed holder and do it that way?  Any thoughts/suggestions would be greatly appreciated!

-Bryan

@Ryan Rush just out of curiosity - why not file an insurance claim on the property, let your insurance company handle it and just pay the deductible? Your insurance rates will go up but in this case it seems well worth it.

Does anyone have any experience with mezzanine debt? Would love to hear some stories/experiences from those who have dealt with this. Thanks as always!

@Timothy Joseph where are you finding this lender that’s giving you the option to buy your investment properties with 0% down?

@Luis Vaca listen man, first of all congrats on the first property - that’s a huge accomplishment, don’t lose sight of that! Secondly, $150/month is nothing to sneeze at, especially since it’s your first one. I rented out my first property I bought 18 months ago at break even for the first 15 months - now I have 11 cash flowing SRF properties and am now moving into the multi-family game. Your experience with this first house will only help serve you as you grow your portfolio - don’t be disappointed, be excited!!

I'm looking for a national insurance broker that I can use for both future and existing home investments.  Anyone have any resources for this?

Before I go on a little rant here, let me tell you a little about myself -

I started investing in real estate December 2017.  We bought out first home in Pittsburgh, PA and since then, we've purchased 10 more properties (really between March 2018 and October 2018, but who's counting?) in multiple markets with more, larger multi-family deals in the pipeline right now.  I wanted to be aggressive so I went for it.  Let me tell you right now - it's been an unbelievable experience and I wish I had started this sooner (a message to all those younger investors on the fence about jumping in - the water is warm, grab your deep sea diving gear).  

Anyways, whether you're a newbie looking to get started or a veteran who has a ton of experience, one thing (among about 1,458,927 others) I've learned is to not shy away from confrontation.  Now listen, before you take this too far, I'm not saying go out and be combative or angry or rude or flat out mean or any other negative adjective you can come up with.  What I am saying is don't be afraid to fight for what you want and what's in your best interest.  In the world of real estate if you're scared, timid or afraid to go get what you want you'll be gobbled up, chewed up and spit out before you even know what hit you.  If you allow them to, people will take advantage of you.  Not all the time but it will happen eventually and it might be subtle... or sometimes not so subtle.

Again, don't be some @$$ hole demanding you get everything you want at the expense of everyone else - that's no way to do business.  But don't shy away from standing up for yourself when you know what you want and believe in what you're doing.  And let me be clear about one other thing - this isn't just while you're making deals with buyers, sellers or other investors - this also applies to tenants.  For those buy and hold investors out there, you know all too well that if you give (some) tenants an inch, they'll take a mile.  Don't let them leverage you because you're scared they'll move out or leave you a bad review - you set the tone because it's your asset and they should be grateful you gave them the opportunity to live there.  

Just some food for thought on a Thursday morning.  I'd love to hear some other experiences out there and see how this relates to your real estate investments.  

All, I'm looking at some opportunities in the Detroit area and would love to connect with a local lender, agent & contractor.  If you work in the Detroit area and want to help, great!  Or if anyone has any referrals that would also be great.