All Forum Posts by: Daniel Shadle

In the book "Investing in Duplexes, Triplexes, and Quads" Larry Loftis talks about how he negotiates a 50/50 split of the buyers agent's commission to bring extra funds to the closing table. Is this not a common practice? I'm not buying quite yet but was planning on using this strategy on the deal.

Sorry if this is the wrong forum section. I was just pre-approved for an FHA loan for my first house hack. I have been in school for the last four years and thought that my high student debt (100k+) and low income would prevent any form of conventional financing.

     My question is what kind of reserve is needed before the first buy? I'm looking to have 10k for closing and an extra 5k in a reserve account. I want to use a buyers agent to split the commission to have a little extra brought to the closing table. I'm trying to stay fairly conservative because when my student loans come out of deferment I wont have much extra beyond the rent for the unit I owner occupy. I'll probably end up getting a roommate for my unit to free up extra capital also.

I have been reading through "How I Turned $1,000 into a Million in Real Estate in My Spare Time" by William Nickerson and have been curious about his strategy. He trades up houses in a straight swap, equity for equity. I have been around the forums for about a year and have read about 15 books on investing and have never heard of this done. The closest equivalent that I know of is a 1031 exchange. I know the book is fairly dated, so are these trades still done and how common are they?

I'm have been looking around for my first deal and I'm thinking about making an offer. The property details are as follows:

Listed Price: $109,000 / Grossing 1300 Monthly

Type: Duplex (3 beds, 2 baths)

Fully Occupied and recently renovated.

I ran my number using 5% for Vacancy, 10% for management, 10% for CapEx, and 9% repairs. I assumed 3.5% down (Owner Occupied with FHA) and 3.8% for interest rate. The counties accessors office listed taxes as $282, I wasn't sure if with a duplex the $282 was for the whole building or per unit. For insurance I estimated $1090 annually. From the pictures it looks like there is no deferred maintenance but I haven't been on site yet. I'm calculating a monthly cash flow of about $250 and if self-managed an extra $130. Its not 2% but its over $100 per door. So now can you tear the deal apart so I can fill in an holes i'm not accounting for?

I'm up for moving anywhere, but I would prefer to stay close to the east coast. I'm single and will be finishing my MBA soon. My goal is to get a job for the sole purpose of funneling my paychecks into real estate. I would love to get myself an owner occupied quadplex and build equity in it while saving for my second property. I like the idea of "house hacking" and think I will try it with FHA loans until I cant qualify for any more. I love the strategies outlined in "How I Turned $1,000 into Five Million in Real Estate in My Spare Time" and that's probably the route I will take. So I have no problem moving, I just don't know where I should be looking. Since real estate markets can change from block to block it's hard to know where a good location to settle down would be.

I'm just finishing up college and am looking to go into buy and hold investing full time. I currently live in Lynchburg, Va, which seems to have a very small market for real estate. I have no problem moving to a new location but I don't know what a good location looks like currently. What are some key things to look for when deciding where to live? Does it really matter or do you pick a city and find the real estate opportunities that the city offers? Currently I’m within 3 hours of Virginia Beach, Fredericksburg, Va., Richmond, and Raleigh, Nc. Is 3 hours too far to be doing my own management?

Welcome to the site. It's great to meet people from my neck of the woods. I'm also in lynchburg.

Hello,

My names is Daniel Shadle. I'm currently finishing up school at Liberty University in Lynchburg Va. As I was finishing my degree in aeronautics I realized that while I love flying that is not where I want to be for a career. So I'm planning on finding some work and pouring all my time into real estate investing!! I wanted to get on this site and start networking and getting advice from those of you who have already accomplished my goals. 

Hey,

I know i'm a little late to this post but does anyone have any more information about this? I looked for Ryan Heinkle on BiggerPockets and couldn't find anyone by that name. How would I get hooked up with this club?

Thanks!