All Forum Posts by: Account Closed

 Financing is no problem. I know of stated income lenders that will lend me 60-70% if I can show them I can afford the loan. Then, it is just the matter of saving up for the down payment.

If you know where I can find some cash partners, tell me where they are!!!

It doesn't matter who currently owns it, all that matters is that it is for sale. And, yes, the one I recently looked at was owned by an Indian family.

list price = $4.5 million

most recent annual revenue $1.7 million

most recent annual profit = $1.1 million

But... it had 140 rooms and only 70 were in use. They didn't have the money (or didn't care) to fix up the other 70, so I could make it even more profitable.

I AM NOT ASKING FOR ADVICE ON HOW TO DO ANYTHING ILLEGAL! Lol.

I used to know someone whose dad owned a real estate investment firm that had 5.5 billion of assets.

They told me that there is a lot of money laundering that goes on.

How exactly does this work? Who launders it and how? If I had a business like that, I would think I would keep track of everything so that nothing is stolen.

I hope this isn't against the forum rules. I'm not asking for advice on how to do this, I'm just wondering how it works and how it happens.

This is fast forwarding abut 5 years until I can have the down payment and qualify for a loan for a hotel. I would be looking at hotels in the $4 million dollar range. Currently, there are hotels at this price that profit about $1 million per year.

I will do this once. Then, I will use the income to save for more down payments and qualify for more loans to buy hotels that are slightly larger. I will continuously work my way up until, 30 years from now, I am buying $300 million dollar hotels.

What do you think?

I know lenders that work on stated income, so I do not need two years of tax returns to show a bank.

The building department inspects everything to make sure it's up to code. That is the surety that the buyer has.

You are one of the classic "if it's so easy, why doesn't everyone do it," people that every entrepreneur is warned not to listen to.

I doubt it takes years to get a building permit unless that state is run by illiterate idiots. There is no reason for that. 

I haven't bought the land in Florida yet, but the TRUTH OF THE MATTER is that a house just sold on a neighboring property for $125,000 in April. On a $3,500, 0.33 acre parcel, just like mine will be. That is the TRUTH OF THE MATTER.

Can't do it in a few days? Okay, a week.

 And didn't I already say that even if I was off by $300k, that is still $240,000 of profit?

Who said anything about a half acre?

And even if the San Jose area doesn't work, there are plenty of other areas. Colorado, other areas in Florida, other areas in California, Connecticut, Washington... I could go on.....

Why does it take so long to get a building permit in California? Is the state run by idiots?

During a recession, like that of 2007, what happens to apartment complexes and their rental rates?

Obviously, the housing market collapses because people lose their jobs and can't buy houses. But people still need a place to stay.

I once heard that rental rates actually increase during a recession because the demand for rental housing increases (because no one is buying houses). Is this true?

No matter how bad the recession/depression, people still need a place to live.

 Revenue is $1.7 million. Profit is $1.1 million.

Yes, but I think despite the hit that hotels take during a recession, a hotel might be preferable to an apartment complex. The way I see it, it is basically the same building (how many apartment complexes have been converted to hotels and vice versa), but when the hotel is doing good, the REVPAR of a hotel is so much greater than that of an apartment complex.

Do you know what happens to apartment complexes during a downturn? I don't. Since people are losing their job and thus their houses, what happens to apartment rental rates? Apartment housing is not a discretionary item like hotel rooms are. People NEED a place to live even when the economy is in recession.

 In your opinion, how can apartment complexes be more savvy? How can they be more innovative. I do know that hotels have to pay an extra tax (something like 0.5%) because their tenants are "transient," (under 6 months), in the State of Florida and most likely other states as well.

 and cost of construction would be well over the $73,000 it cost in Florida. From what I've been looking into since I got into this post... I would up that to between $95k-$110k. And it would sell for a heck of a lot more than that.