All Forum Posts by: Derek P.

How many bedrooms is it? Renting out a room or two could help temporarily until you build up some cash reserves for maintenance and/or another down payment. Once you have that cushion, you could try seeking out owner-financed deals too. If your goal is to invest for cash flow, don't forget to analyze the numbers (repairs, vacancy, etc) ahead of time. Not sure if this is an option for you, but I used 401k loans for down payments on 2 of my properties.

Numbers look great to me too as long as it's not in a war zone. My first property was a 4 plex and has done great, but these numbers look a lot better. I wouldn't post the address unless you have it under contract.

I will definitely need to learn to leverage outside capital to expand going forward. Maybe looking for some kind of seller financed deals too.

Billie Miller now that I have some extra cash flow, I am definitely going to start setting aside funds for capex, vacancy, etc. I had about 50k set aside, but used most of it for my my most recent purchase.

Thanks for the feedback everyone.  It seems like building my capex reserve fund back up is the wisest choice right now.

@Account Closed I think I will consider a wise and slow approach as most of you are suggesting. I plan on making 6-7k additional income from a side gig coming up next month.  I will plan on setting that aside to start building up reserves.

@Todd Dexheimer I probably should have been putting it aside from the get go. Up to 11 units now. All my properties in the central CT area are around 100 years old. 

@Marcus Johnson @Account Closed I feel torn between the Dave Ramsey and Grant Cardone philosophies. Thanks for the suggestions so far!

I just recently purchased my 4th multi-family property this summer and now I am debating what my next step should be. My current goal is to reach 8k/month in cash flow. Here are my options as I see them. 1) Build up a separate capex reserve fund I have about 13k in savings and 25k in Roth IRA funds which I can withdraw tax free as a backup, but maybe I should build up a separate capex account since I don't have a designated one. 2) Purchase another 2-4 family I could use my 25k Roth funds as down payment on a 5th property that cash flows around $500/month and look to do a BRRRR. I don't think I have quite enough equity to do a cash-out refi (Each of my current properties cash flows between $500-700/month) 3) Pay down debt I have about 15k left on a car loan ($300/month) and 25k left on a 401k loan ($650/month) which I used to fund property 3 and 4. I am curious to know what you guys would do and am open to any other ideas! Thanks in advance for the input.

My favorite tip has been switching all my tenants to deposit only ATM cards for paying rent. Each tenant gets their own ATM card with their name on it and I get cleared funds direct in my account almost immediately. No more trips to a PO box or waiting a week for online payments to clear. I use Bank of America.

Thanks for the ideas guys. Most of the duplexes in the area have porches. I guess I'm leaning towards rebuilding them. I'm waiting to get a quote back from a contractor to see if it's reasonable. Probably around 5-6k.

I just bought a duplex (up/down) and the porches could use some repair/rebuilding. As a buy/hold investor, would you rebuild them or tear them down? It could be one less item to maintain/repair in the future, but the home may be less visually appealing to tenants. Thoughts?