All Forum Posts by: Donna Brown

In 2016, I purchased three properties and then I purchased a 4th property in 2017 which I am selling to a family member.  I have not done anything since then except work hard and now I am ready to start seriously investing.  I am thinking about a 1031 Exchange to move from a single family to a duplex or triplex and I am planning on looking throughout the U.S for investment opportunities.  Wishing everyone the best!!!

Investment Info:

Townhouse other investment.

Purchase price: $1,800,000
Cash invested: $18,000

Purchased this in 2016, spent about $11K on remodel and it has been rented since.

What made you interested in investing in this type of deal?

Just starting off my real estate investments after a divorce and the price was too good to pass up.

How did you find this deal and how did you negotiate it?

Found on the internet when looking for investment opportunities.... one of the real estate sites.

How did you finance this deal?

Paid cash.

How did you add value to the deal?

Kitchen remodeled, painted, cleaned up the one bathroom nicely as well as the yard.

What was the outcome?

Sill rented to the same tenant. I accepted a Section 8 voucher and Section 8 pays on time directly to my account each month. They do annual inspections which can be a bit annoying but it is beneficial to myself and the renter to see any issues that may have arisen.

Lessons learned? Challenges?

It is important to keep up with the rental market. I have failed in this area thus the home is currently renting below market value especially after COVID when rents increased.

@Bud Gaffney Why? This is a business.

@Nathan G. I am totally on board with this advice! This is a business!!!

@Harish Verma Why would he negotiate? She has been pay low rent for close to 30 years. I think your advice does not reflect that this is a business and he is loosing money.

Hello: Thank you for the information. Can you please inform me, as I have three rental properties, how I can proceed to make changes in order to protect my primary residence and assets. I am assuming that I should set up an LLC and do a Land Trust for each rental property but would like to know how best to proceed and how. Thank you very much!

@Joseph Weisenbloom Don't do it, it is a scam!!!

@Justin Owens

That is a good idea.  I will have to think about that one some more and do a little digging to see what it out there. 

@Mark Nolan - No, I have not looked into someone lending me the money through an IRA. This is the first I have heard of that type of a loan. What is the incentive for someone to do this? Is it that the interest they earn is better than what is being received from their investment but also, isn't there a penalty for pulling money out of an IRA?

Hello,

I want to buy my first rental in the next three months but I have a question about the financing of it.  I recently sold my home so I am without a residence.  I have cash to purchase the first rental but of course I do not want to use my cash because I know as a newbie that it is best to use other people's money.  Should I seek a mortgage for my first rental which will be between ($15,000 to $25,000) then access the equity to purchase the second rental?  If I do this, will it hinder me from buying a personal residence in the next 7 months?