All Forum Posts by: Chris Schuler

Great question, @Christopher Blanco. I've considered it for sure, but my fund manager has done really well with the Roth and has been a strong partner in connecting me with lenders. I'd prefer to not take my investments out of his hands if I can avoid it.

Small update: cash-out refinance is still an option, I'm underwritten but haven't closed yet... That would: 1. Leverage property 1 into break even or worse 2. Provide the 20% down on new property and further increase its cash flow Essentially I'd incur a small hole in my left pocket that would allow an increased flow into my right pocket.

I'm looking to pick up a multifamily property off-market, but have recently used a lot of my available capital improving another property prior to a refinance.  Although my debt to income is excellent, and the requisite loan value would be within my means (have plenty of W2 income to support a second personal mortgage,) I have put myself in a position where I don't have the purchasing power to put 20% down.

Property 1: cash flowing, fully improved condo in class A, 68% LTV

Prospective MFH: 4plex off-market with existing property management in place, good cash flow even with PM

Should I look at gift in kind from family? I have friends and family that will provide capital, but I'd rather not involve OPM if I can avoid it.

I can liquidate my Roth if necessary, but I'd prefer not to do that.  I can pull cash advances off credit cards for 12mo no interest, but obviously that option sucks.  I almost wish I had done a cash-out refi, but property 1 is in a great area with good shot term and long term financial outlook.

Maybe it's pride or just being stubborn, but the 4plex will still cash flow very well at the purchase price even with 100% financing (including capex, insurance, taxes, maintenance, PMI, margin of error, etc.)

If I know one thing, it's to always trust superlatives. If I know a second thing, it's to always trust Zillow.

Those are some reasons on why you don't want to invest in the fastest growing state in the country, @alex hostetler, but why Atlanta?

I can probably help you more if I understood the criteria that lead you to out-of-state investing in what I would consider a challenging local market. Generally speaking, 2% properties don't exist here. Your A neighborhood properties will give you returns in appreciation but likely won't cash flow, and your cash flowing B/C neighborhoods will be impossible to manage from out of state and difficult to find a property manager for (just being realistic, how much work would you expect for a 10% management fee on a $500 per month rental price?)

Engelo Rumora I'm just another accidental landlord wanker: bought in 2008 and watched my property value plummet over the next five years. Oddly enough, by holding my ground rather than going through a short sale, and by bringing in a roommate to subsidize my mortgage, I started learning the power of real estate assets. I've recently finished updating that unit and just started my refinance with the goal of moving out asap and renting it as a SFH (properties have finally exceeded their 2008 values.) I'm a full-time sales professional, so systemized rental assets are my long term goal. While I'm looking for those properties I'm planning on taking on some flips to grow my capital. Luckily I have a great contractor that I've worked with on my first properties renovations that's looking to get into REI; I'll find the properties and handle financing, he'll help estimate repair budgeting and coordinate the subs, and we'll split profits on the backend 50/50. So, long story short, I'm a buy and hold guy that's open to rehabs if the numbers work.

Engelo Rumora cheers, oddly enough I just listened to your BP podcast yesterday (episode 89) and logged on to find your profile. Fate would have it that an old post of yours popped today with my "Atlanta" keyword.

The official belt line thread imo.

Is this a serious question? This isn't a serious question.