All Forum Posts by: Chad Avila

@Odie Ayaga

Thank you very much. I appreciate it. Making me think on a sunday lol. I believe I understand what you're saying. And for overages, yes for sure! From what I see at work and on my own home projects over the years, 20% above project costs for overages is a good starting point for a buffer. But my experience is limited to only what I've done to my home over the years.

@Odie Ayaga

I would use 75k from hml then heloc for the 125k. ... and still have remaining heloc for reserves. Once I have done enough flips I can reuse my profits earned with heloc on deals and not need HML.

My debate is then do I rinse and repeat until I can cut heloc out of the mix as well to not pay interest, and then use profits on flips to buy rentals out of state.

I know its endless answers and questions on all this and creativity is the limit. I just want to have a solid plan when I start to set myself up for success.

@Joe Villeneuve

Thank you

@Joe Villeneuve

Shoot sorry for long reply, just reread your comment. Thank you

@Joe Villeneuve

I'll use my heloc and use HML to cover what my heloc doesnt for flipping, is my idea. So once property sells both are paid off plus profit. And I planned on taking profit after taxes to put down on rentals out of state.

But I like your input on just continuing flips until I'm essentially my own bank.

Do you think it's an ok idea to split profits up so half goes towards purchasing rentals and other half is building up to fund flips? Or just focus on one thing at a time and once I'm funding my own flips, then roll profits to purchase/put down on rentals?

I appreciate everyone's input. Trying to use this down time while off work and stay home order to narrow down my strategy and get what I can figured out and in order.

Also happy Easter

@Odie Ayaga, if I can do it all with my heloc I will, actually as much as I can then use other lending for the difference. Lower interest on majority of loan. Fixer uppers that I've seen here in wa aren't cheap and trying to stay within 30min of my home to start since I'll be doing the work to start off.

@Perri Weber, thank you. And agree with you. I just wanted to position myself so I cant say damn wish I would of. But instead can jump on an amazing deal if i come across it. And right now I'm reading long distance realestate investing by david greene. But I will check that book out once finished. Thank you for your input.

Hello all, what a great place this is to learn.

I have been reading and thinking past 2 yrs about realestate.

Then made up my mind 6 months ago ok I'm doing this. Then this winter worked side by side with a guy retiring and he turned me to bigger pockets and podcasts... wow .... mind blowing what I've learned since then.

Today, my strategy is to work my current career field, buy houses here in wa to flip and use profit to put down plus reserves for investing in rentals out of state.

To fund this adventure I'm signing on my first heloc on our primary home for 189k @6% went for interest only for first period. Since itll be paid off once flip sells. And use hard money lender to purchase houses to be flipped.

My goal is financial freedom from my daily career, through cash flow . I'm in construction now so I'll do te first few flips with wife and kids but want to get process down before hiring it out and managing flips.

Anyhow so far this is the plan and sign heloc this tuesday, then I'm not practicing running numbers I'll be doing it to actually put offers in. Pretty stoked!

I would appreciate any input or criticism to learn more.

Could be a loose neutral (white). From my experience at work, will cause lights to act up.

Troubleshooting electrical seems difficult but it you break it down, what where power comes from, where it goes, where stuff works and where it stops working, and take it one step at a time you'll figure it out. Just takes time. I would start with first light not working properly closest to electrical panel.

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