All Forum Posts by: Chris Armstrong

@David Dachtera 

Where would I learn more about these other methods you speak of? I didnt know that the HELOC thing was classified as debt acceleration, and I would like to understand that concept more. Its good to be exposed to those things at more depth because its like another tool in the tool box that could be used if need be.

@Jess Hossfeld

You dont need degrees to be successful. You need to have a plan, then stick to it. The only reason you would need a degree would be to advance in the corporate world, and if that is your plan as a means to an end then go for it. However, if you are planning on doing your own business you would be better served devoting all that time and energy you would spend in class to learning about real estate anyway you can. I have multiple degrees in Chemistry and I only use them as means to an end (aka benefits for family and cash for deals). A masters in real estate sounds pretty worthless considering you can learn everything from internet, reading or getting a real estate license, and I know guys that dont even have a college degree that are just making silly money. 

Clayton Morris preaches this method on his website and when he was on the bigger pockets blog. Personally I would not do that method because it stands to reason that any additional money you have can easily be applied to the mortgage without having a heloc. It would be interesting to see the math worked out and how much you actually save in interest payments when comparing a $10K heloc payment vs paying $500 extra per month. If I were in this situation the only time I would use a HELOC would be to purchase another cash-flow generating asset, not to pay down principle faster and avoid interest payments through the life of the loan. It seems to me that if you take a loan out on equity, which is not real, and the market takes a crap then suddenly you are now borrowing against equity that is not there and you have another liability....Double negative. Equity is only "real" if and when you sell your house and realize the gains.. in my opinion.

@Joe Au 

Investor for a few years now but 

Biggest fear was buying into a saturated market and then having rents fall leaving me in a position where  I had negative cash flow each month.  I got over it by looking at the overall economy of my area and what businesses were coming, tourists etc. Then I changed my plan from long term to short term rentals and have not looked back. 

FLEXIBILITY and MULTIPLE EXITS are KEY! 

  This pretty much sums up Alexa. You will never see that crap in my house. 

@Brady Boyer I would avoid airbnb if you have a no sublease clause in your lease agreement. New York, from my understanding, is one of the least friendly areas towards airbnb. You are better off renting long term and saving all the headache of hosting people, cleaning after them and booking stays. 

I dont know if this is your area but this case might make you think a bit more about what decision you will make 

http://nypost.com/2017/05/14/city-smacks-landlord-...

There is plenty of opportunity to make money in real estate other than airbnb. Also, you have to remember that investing in real estate is a marathon, not a sprint. So the "quick cash" from airbnb might seem attractive but success comes in the long term. 

@Angel Flores

Find a mentor, read books, add value to someones business by doing stuff for them for free, get on craigslist and look for opportunities in any of the real estate sections, post in these forums, go to a meet up and network, and hustle hard on the side to save money for that first deal you find in a few years. 

Lets take this one step further. Are you more likely to remember someone or look them up if the spend the extra money to make their cards stand out over the generic $20/1000 cards, or do you think that all cards are created equally? 

By stand out I mean thick card stock, alternate materials (i.e polymers, leather, metal in some cases...), multiple pictures....etc

I ask because I am about to become an agent and I am figuring out the business card thing now. I know they are 100% necessary. 

@Jay Hinrichs @Dave Foster @Mike Cumbie @Jason Hirko @Anthony Barbato

@Aaron T. 

Where in the tampa area are you working out of? We were thinking about coming down there (because my inlaws live there) and looking into the old Ybor area and Old Seminole Heights Areas to do a long distance airbnb. Anything in terms of legal issues that are being brought up? Also, what kind of unit are you renting (i.e single family, condo, duplex, tent lol)

You really need to consider the legality part as well. You should only buy the property if it works from a long term rental stand point also because some places ban airbnb and cite owners up to $1000/day that they are running a short term rental. 

It is always good to have multiple "outs" exit strategies instead of banking on one. 

I have 3 airbnb in my area and its been pretty good so far. I have been operating for about a year now. Tourist season certainly makes it easier and more profitable, but during the slower times you need to get creative with filling the units. Professional relocation housing, renting to transient workers, travel nurses...etc. 

@Melissa Kirchhoff