All Forum Posts by: Chris Mackinlay

Hi BP. It's been a while since I've been active on this forum.

Started a new job in Financial Services, so getting that business built has been my major area of focus for 2020 until present. 

A lot of my prospects/clients have either a strong interest or are already involved in REI.

As investors, how have people in this industry provided value to your RE business?

Thanks!

Greetings!

I have spoken with a lender who says it is possible to use 401k money to fund a home purchase. 

Spoke to my 401k custodian and they weren't sure of the exact details of doing that. I'll need to look at all the fine print.

This would be for an out of state purchase. 

The question: Does anyone know off-hand if I would be penalized for liquidating my 401k for the purpose of a home purchase? I assume there would be tax implications for doing this. I could increase my withholding a bit to compensate and I THINK I can spread earnings out over 3 years.

-or-

Could I do the same thing but with my ROTH IRA and only pay taxes on the increase in the value of my securities?

Thank you for any/all help!

You've done more than most Real Estate Investors already.

Good job.

Make sure your development is ahead of where you are currently. Do you have some business acumen?

Make sure you are well versed in tenant laws, selection, and management before you rent the other side.

To say it one more time. Get a deposit before the lease is signed.

Story: I showed my house to a potential tenant and his family wanted to move in right after he moved out of his at the time current house. He didn't have deposit money on hand, as his plan was to move, get his deposit back, then give me the same deposit.

He stalled me selecting a tenant for 2 weeks because I had a signed lease, and I felt as if I couldn't sign another one with his in my hand.

Guess who sent me a text the day before the lease date saying he couldn't move in.

I was a noob. Never again.

@Eric James

I did not know that.

Thank you.

@Travis Lawrence

Keep the cash. Putting it into your rental won't make a difference unless you pay it off.

The monthly PITI doesn't drop as you pay down principle like a credit card does.

You'd just lose your chunk of money, having the equity probably won't do much for you.

Real Estate is weird like that.

I'll make it happen. Thank you.

Hi BP.

Would like some opinions on a plumbing situation.

In January, I had a reputable plumber come out and snake the main drain line because a toilet was overflowing shower water. He said he found some small blockages.

The situation happened again last night. Once again, the fix was snaking the main drain line.

Plumber said he didn't pull back any tree roots or other debris, but felt some small blockages and doesn't think the line is broken.

At this point, I plan to have the drain snaked 3x a year. Is there a better solution? Renters are all adults, I know there are no toys going down the toilets.

Thanks!

A small win is I collected another month of rent from an excellent tenant.

Caution is a good thing in this business.