All Forum Posts by: Frank Perkins

Getting just $120/month back on $28K seems extremely low to me.  Would take me 19 years to make it back (excluding equity). Am I missing something?   

@Sam Shueh see post I used the DealCheck calculator. Appreciate any feedback, thanks.

I used dealcheck.io

Just checking...

$120K purchase price (already renovated, no chance to add value).

Renters in place just beginning a 2 year lease for $1200/month.

20% down, 5.5% loan (~28K initial investment).  Math says $120/month cash flow

Obviously doesn't hit 2% rule

Are there people that would do this deal?

Forgive me in advance as I'd imagine this question has been asked and answered before, couldn't find it myself.

What is the best website for researching cities, neighborhoods, average income, crime stats, average rents, etc.  I know there are niche sites that cover some of these, but is there one master site that does the most?  I'm fine with signing up.  Thanks in advance.

Thanks Dennis, maybe I should have mentioned that I've been investing in the stock market with a relatively high risk profile and done very well over the past several years.  So *not* investing has never been an option.  The question is about liquidity and timing.  Thanks for your response.

@Joe Splitrock That’s certainly possible, but I’ve been very successful in the stock market the past several years, and none of the real estate investments I’ve seen produce enough income to cover $15k/month reliable income so I thought it was a valid question. I’ll keep looking though.

@Dan Barli would you mind sharing details as well? I have similar parameters. Thanks.

Thanks all for the responses.  I agree that topics like sending your children to private high school or funding your child's higher education are very personal decisions.  From a purely financial standpoint, if (just IF) I wanted to be in the position to fund both private high school and an expensive out of state school for all three, I'd be looking at $1.44M all-in, staggered across 15 years, beginning in 4 years (using 60K/year math for both).  

Curious if those who had $300-$400K right now to invest would still pursue buy-and-hold real estate strategy in that scenario.  That equals 15K per month passive income to cover it all... Doesn't seem crazy to build an investment portfolio starting with $300K that nets 15K/month passive income over the next 5-6 years.  Does it?

I have 3 kids entering college in 2025, 2028, and 2032.  I'd like to have the option to send them to private high school prior as well if we think it's the best option (2021, 2024, 2028).

I'm extremely attracted to the buy-and-hold investment strategy, but I'm concerned about lack of liquidity in the 2020s. 

If I tie up all my capital in real estate, and I find myself needing $120K in tuition in just one year (2028 will have 2 overlapping, potentially 3 if private high school), then I may be regretting pursuing real estate.

Am I thinking about this the right way?  Would appreciate any input.  Thanks.