All Forum Posts by: Eric M.

A) most newbies call themselves that.
B) no one else knows you are a newbie unless you post/act like a newbie. They know if you are new to BP, not new to Real estate.
C)Forget 50 deals, most people here have not done 1 or 2 deals. Just one goes a long way toward not being a newbie.

So if anyone doesn't want to be labelled a newbie.
1)Don't call yourself a newbie
2) Don't act like a newbie
3)Learn forum etiquette
4) Educate yourself. Learn to use "search" to find answers before just asking unintelligent questions.
5)Do a deal.

Have you researched the meaning of R2 zoning? I am not aware of a suburb where R2 indicates a 2 unit dwelling (which is what you seem to be implying). And I am pretty certain Chicago no longer has R2 designation.
If it is a non-conforming 3 flat, it can be an issue when you get a building permit or during the triennial tax assessment or any number of situations.

I agree with Jon. Looks like one to pass on. The likelihood of a budget busting rehab surprise on a 90K rehab that has been vacant 4 years is very high.

No, the opposite. If it is an investor who is paying cash you can do a back to back close much easier than if it is a retail buyer.

You ALWAYS need a contract

Emilio,
I just may go back. But it is not the same experience as doing it when you are "college age". That is part of the whole benefit of college. The experience, as well as knowledge, etc. Doesn't matter what I end up doing with my life. The question is what should this person do right now. I am trying to give him the benefit of my hindsight.

You can have your opinions about the benefits of secondary education and whether it should cost so much, but none of the research shows your statements to be true. Of course he CAN BE successful without college; but, on balance, for a male especially, the financial benefits of attending and graduating college are FAR GREATER than for not attending college.
The whole point is that this kid doesn't really have to make a choice here, he can do both-go to college and pursue RE. That is what I recommend. It gives him options down the road.
Your plan gives fewer options.

BTW, you might complain about graduating from college with alot of debt, but the school of hard knocks is not always cheaper to attend and it certainly isn't free.
My first business venture (when I should have been in college) was ill-conceived and poorly executed and I walked away from it with 75K in debt. I learned a tremendous amount from it and that experience led to some of my later successes. But that was my "college tuition" I guess.

My point is that skipping college has its costs too, though sometimes they are less obvious.

I love how he refers to the town of 150,000 as "the metro area".

Good luck Bubba, fewer people, less competition for deals. You'll do fine.

The reason you can't compare is that some people are better investors than others. For example, you have done better in stocks than I have, so you might say stocks are better, but I might say RE is better. It is all completely subjective.
What might be true for me might not be true for you.
Do what you are best at and what you enjoy. If you have talent in a particular area of investing, there is much money to be made. There is no "best".

I have not used them. Have read posts from 1 person who has and everything went fine apparently.
Be sure to look closely at their contracts.
Realize that this is not a loan, but an equity investment.
There is no foreclosure process or "borrower protections" if you default. In fact, the contracts say they can simply take the property from you for any reason at any time. That might be ok with you and they might not abuse it...but buyer beware.