All Forum Posts by: Casey Roman

@Steven Ko NAILED IT. All I hear the original post saying is excuses. Every response from the original poster is "great idea, BUT". I would recommend reading the book Extreme Ownership and deciding if you want to be a real estate investor, and what kind? Congratulations for saving up that much cash, but to say it is worthless, it just blows my mind. There are so many great options already listed in the responses in this forum. No more excuses, you need to jump in with both feet, or you can only blame yourself!

I haven't been at this too long and we've done flips, rentals, private lending (as lender and lendee), traditional loans, local bank borrowing, borrowing from family, sweat equity, owner carry (owner side), new construction, wholesale, and seller finance (on buyer side). GET AFTER IT! You CAN do it! But nobody else can do it for you!

@Casey Roman

House was renovated in 2019 with new roof, HVAC, appliances, etc. 
long term tenant in place. 
house was never on MLS

And it’s not in a high crime pocket.

Sometimes if you put in enough time and effort you find good deals. But other people will sit back and complain about how it can’t be done till the cows come home. 

@Casey Roman you need more Brandon Turner in your life. It seems like you have a lot of limiting beliefs.

I’ll bite. How many lenders have you talk too? Have you tried any smaller banks?

Hi Casey - I feel your pain! I have had success with using private money lenders. These are people who have a self-directed IRA, and they are normally not earning any interest on their IRA account. It takes some networking to build your network of private money lenders, but it is a great way to buy properties if you can't go traditional routes. And you are right, lenders are being super conservative right now. Since this is based on relationships, terms are negotiable. You can also become a passive investor using your $100K. One more suggestion, look to your community lenders. I just did a cash out re-fi on one of my rentals, yes during this time, and it was easy smooth process. The bank was local to my area, made all of their decisions in house, and I just stopped by and introduced myself. Hope this helps, and good luck!

LOL this guy thinks that Wilmington NC is a high cost coastal market, forgive me for laughing but, you have many properties under $150k in your city itself and Fayetteville is only a 2 hour drive where there is tons of stuff under $100k.

@Casey Roman

I would be afraid of investing in your market anyway. Sounds like the market is way over valued.

If I were you I'd look at investing in a desirable smaller town nearby or look into long distance investments in the midwest.

@Casey Roman I’m in Wilmington and just bought a house for 87k that rents for 950. Plenty of houses downtown that are under 100k

@Casey Roman just went back and realized this is almost the same as what @Joseph Cacciapaglia explained! Oops

You asked about if you can get started with just $100k...the short answer is absolutely. The long answer depends on your goals, what you want to invest in, where you want to invest, who you're investing with, etc. If you're partnering/lending on single family or small multifamily properties, it's absolutely enough. You may be able to work together with someone to provide most or all of the down payment, fund a rehab, or provide some other type of partnership and/or short term money

As far as resources go, I can't recommend books that directly speak to your side, but I can provide personal case studies from my own partnerships with private lenders/money partners and I can also highly recommend the book "Raising Private Capital" by Matt Faircloth. This is written for the investor looking for capital, but allows you to get a look at what the investor/potential partner is looking for and thinking about

Again, feel free to reach out with questions!

It is very common for some businesses to have substantial depreciation write-offs, and their federal income taxes look meager.   Landlords are one of them.  But don't think for one second that landlords are not contributing;  Their paid real estate taxes are substantial.

Back to the original topic, your challenges of getting a loan.  Most landlords don't get regular loans, but commercial loans.  I'd try establishing a relationship with a local bank.  You would have to put 20% or more down-payment.  Set up several meetings with different banks and tell them your situation.   Local banks, however, are going to lend on local properties.  

Now, you live in an expensive Coastal City.  Keep your eye on the local market.  There may be some opportunities because of this downturn.