All Forum Posts by: Francis Rusnak

Met with a property manager today who told me, 'I won't make any money until my mortage was paid off.' Said he was just being real with me. He'a had dozens of rentals of his own and manages over 100 homes, and claims only now that he is making money since some of his mortgages are getting paid off in full. 

He said he's a big believer in Dave Ramsey'a debt snowballing and wants to eliminate all of his debt.

It felt like after he realized he lost me with his pitch after saying all this he went on to say, it's not like they aren't making any money. Just 8-9% but that's nothing to some people, he said. 

Isn't leveraging real-estate 101 or am I missing something here?

Maybe try to call someone else who is renting theirs and see if you can solicit rent info from them. Just be upfront, most would probably be happy to help with that and other Qs once you get them on the phone. 

Welcome Torin! Sounds like your dad gave you some great advice starting out. And planted the seed for long-term success. 

GL

Adam, I'm accounting for all the side details like vacancy (10%), repairs (8), cap-x (8) and property management (8.5). Of course not everyone is going to use property management but the numbers aren't adding up on a lot of A-B neighborhoods. This is assuming I'm getting the properties for about 80% of the purchase price (negotiation from foreclosure/short sale). 

I believe you said you have all you're properties paid off and I've got one here in Vegas that is paid off too, but if I had a mortgage on it I'm certain I would be negative cash flowing if I don't ignore maintenance and cap-x since the house isn't new. 

Are you seeing differently? 

I've been running the numbers on A and B-class neighborhoods in Vegas on the bigger pocket's rental income calculator and the majority have negative cash flow. Def over priced. 

he's probably not adding in appreciation. 

Hi. I'm a new member from Las Vegas. I'm at the beginning stages of my investing (love the podcasts) and was wondering if any veterans out there had any 'Tax Hacks'.

I've considered getting a separate credit card just for my rental properties, but was wondering if it would need to be a different card for each individual property. I've thought the same for checking accounts at the bank. Can all rentals be used by one credit card and one separate checking account then have another of each for personal stuff?

Also, is there any phone apps anyone uses where you can log expenses so they don't have to keep a shoebox full of receipts. Anything to keep track of everything for rentals; looking specifically at single family homes now. Does anyone have any other tips for making tax time a little more bearable. Thanks.