All Forum Posts by: Logan Turner

not to say it's not possible but I haven't seen anything in San Diego that will cash flow without having to pay for the cash flow upfront with lots down. 

Even 2-4 units and employing an aggressive air bnb strategy, produces very tight numbers. If you had to convert to long term rentals, every property I've analyzed here in the last 12 months, which is hundreds, would lose money (20 percent down). All cash of course cash flows. Just at really low returns. 

So if you are buying, knowing you will lose money, its not really investing, is it. 

I've seen people show numbers where pro forma cash flow was 100-200 but this was requiring off market deal, high risk needing major work, all cash purchase and leaving 25 percent in the deal. All that for 100-200 a month. Risking 500k to make 100-200 is not worth it IMO

Thanks @Jeff Greenberg 

You're pretty much doing what I'm looking to do in the future. Multifamily deals in growth markets while syndicating them. 

Im attending the real estate guys syndication seminar this September. Also currently learning about the business with Rod Khleif mentorship program. 

I know it's open ended, but if you think I could add value and assist you accomplish your goals while getting glimpse of how you do things, i'd love the opportunity. Or if you're ever in San Diego, my treat for lunch and the fanciest place you can find!

We are all busy so I understand either way. 

Ok thanks everyone. I'm still analyzing MFH deals and came across this wording in a OM. Didn't want to ask and come across as ignorant or unsophisticated

Ok weird question everyone, but I made the mistake of purchasing the last house into my LLC. So now I'm only qualifying for commercial type lending when I still can get more Fannie Mae loans (lesson learned) Transferring the title from my LLC to my own name will take about 6 months to season before I can do a cash out refi. I have 85k tied up in the deal. So I want to get it out to re-invest. Can I purchase the house in my own name, from my LLC, using a lender 30 year fixed rate financing? 
Assume i sell it for fair market price, and with 20 percent down, pay title insurance, appraisal etc. will a bank allow this? If not, am I able to sell the house to my Dad, who is not affiliated with the LLC in any way?

Ok weird question everyone, but I made the mistake of purchasing the last house into my LLC. So now I'm only qualifying for commercial type lending when I still can get more Fannie Mae loans (lesson learned) Transferring the title from my LLC to my own name will take about 6 months to season before I can do a cash out refi. I have 85k tied up in the deal. So I want to get it out to re-invest. Can I purchase the house in my own name, from my LLC, using a lender 30 year fixed rate financing? Assume i sell it for fair market price, and with 20 percent down, pay title insurance, appraisal etc. will a bank allow this? If not, am I able to sell the house to my Dad, who is not affiliated with the LLC in any way?

I'm not fully understanding this term. Does this mean the property may only be sold to individuals who are principles of the LLC. As in general partners vs limited partners?

Thanks for the replies. I finally found an agent who could explain things more clearly to me, after 6 tries lol. 

I decided to get replacement cost at 85% of value since the price between that and below 80 percent was like 7 dollars a month. 

So the coverage includes 300/600 liability claims. And 1000 in medical coverages included for replacement cost coverages. 

Then I will get a premise liability umbrella to cover all of my rentals. 

for house insurance are you getting business liability coverage aggregate and each occcurence, premise medical payment, loss of rents, dwelling coverage? 

Or just hazard? 

Thanks guys. I'd prefer to get cash value coverage and then an umbrella protecting myself. 

Abraham Anderson congrats! Very impressive and motivating not only at your age but any age. A few questions. How did you overcome the lender wanting a net worth equal to the loan amount? Did you place 20 percent down or did owner finance a portion? What cap rate did you buy at? Is this a yield play or a reposition play? Again congrats!

Don't speculate interest rates. Lots of smart people disagree on the subject. What can or will you do with the extra $ 100/month? Can you put it to use? Run your worse case scenario. Rates rise and your loan increases year 8,9,10 and now your at 9.8 percent interest. Project rent growth at 2 percent. Look at your amortization schedule. Will you cash flow still? Could you 1031 exchange it before that happens? Now run best case scenario.... does the potential justify the risk? Can you find a way to be successful in either scenario? Which scenario is more likely.. not what you would prefer to happen. Try to remain non biased. I say go fixed. The benefit isn't great enough and you could lose your property if the market flattens or dips and rates go up. (Price goes down) rents don't grow enough to cover your costs. You sell at break even. Vs you do the fixed and who cares about pricing. You cash flow. You have more choices. If rates go up, great call getting locked in at 4 percent. If rate drop, go refinance later and take advantage of them. Win win