All Forum Posts by: Geo Tan

@Dave Foster

Always a pleasure hearing from you Dave!

I honestly have not put much thought into the 45 day identification period... I guess that is a good point in that this isn't much time. What steps am I looking at when I find that suitable property? Are there steps and processes that take place that I should put into consideration and leave a set time I should include in advance in the 45 day period? And if you can clarify what steps you mean by getting a property locked up would be great as well (Just finding a place, signing a contract, closing, etc)!

In terms of @Account Closed's tactic is definitely new to me and sounds very interesting. Seems like a very smart move and I will definitely put that into consideration with my future investments from now on! Thanks to both of you for the helpful knowledge!

So basically if I am understanding correctly:

1. Lease property for 1 year

2. Live in it for 2 years

3. Own it for 5 years (So 2 more years after the leasing and house hacking)

4. Reap in benefits of 250k to 500k tax free when I sell it? (Not too sure what this means either. If either of you can clarify exactly what I would obtain after the 5 year mark that would be greatly appreciated!)

Let me know if I have no idea what I'm talking about. To be honest I got completely lost after you got into primary residence gain and recapturing depreciation. Which I am looking into so I can understand your last paragraph a bit better.

Thanks as always Dave!

@Account Closed

You're killing me Bob!

I kid... But in all honesty I wanted to thank you for taking the time to critique all the mistakes I made or plan on making. As negative and overly-critical as you seem to me, you do give great advice and information on real estate investing, and for that I thank you. I know that reading my responses and ideas must be very frustrating for you as well! If I recall correctly Aloha means peace and compassion no? :)

I'd love to have some clarification on the hassle of a 1031? From what I understand it seems fairly clear cut to me so if you do have any information on avoiding 1031 I'd love to learn more.

In terms of your advice in the last paragraph on which path I should take: Is there a particular reason to rent the property for a year then make it my own residence? Is the 1031 investment to investment voided after 1 year? I'd love to hear more about this.

To give you further details, I am currently renting in Los Angeles and do not own any properties besides the Vegas property I will be selling.

So to put your plan simply, I should purchase a property in CA and rent for a year, then live in it for 2 years to get the 250k-500k tax free, then go from there?

Thanks in advance!

@Jo-Ann Lapin

Thanks Jo-Ann!

What passive investments did you have in mind? Like I mentioned, I am very new to investing in general so still very ill-knowledged on any passive investments you would have in mind. I would love to get more into that with you if you can!

Thanks in advance!

@David Faulkner

Hey David!

I would definitely love to be able to invest for value add but I feel like there are some restrictions or requirements I cannot meet. If I would go that route, wouldn't I need the capital to grind it out for those years and make the loan payments? I definitely do not have the income from my current job to be able to make loan payments on a 1M property. Second, if it is a single property for 1M that I'll live in for the two years to get out of taxes, I cannot do a 1031? I'm not 100% sure either so let me know if that is not the case!

I definitely will take to heart the last comment you made on dealing with 1031's though! You are definitely right in comparing how I would treat the deal if it was not a 1031 with a deadline!

Thanks again!

@Ethan Vegas

Hey Ethan!

I should definitely start looking into Pasadena too then. I haven't put too much research in that city and now I feel like I was missing out! Appreciate the tip as always and hope to keep in touch. If you want to get a little more in detail with the 3 properties you mentioned, I'd love to hear about it. Thanks again.

@Adam Bird

Hey Adam!

I have definitely heard that Detroit has been on many people's radars for obvious reasons! I'd love to learn more about that area. But as of right now, I'm focusing on getting my first property within a few hours drive from my location to make sure I can learn as much as I can. What sort of success did you have there?

@Manolo D.

Thanks for the great tips! I definitely am seeing the hardships of looking around neighboring areas to LA. I know some people thrive on college niches and I do hope to get into that someday but as of right now, I don't think I can spare the headaches for dealing with student tenants. I'm trying to make this work with my full time job which is picking up so trying to learn as much as I can whenever I can. I'll definitely check out USC though. I have been hearing that the student housing areas are getting better but I do know that the areas right outside of USC aren't the best of locations in terms of crime rate. I'll have to look into that so thanks again for the heads up!

@Account Closed

I'll keep that in mind. Thanks again.

@Melissa Gittens

Hi Melissa!

Thanks for the motivation!

I would love to hear more about having a sound exit strategy? I haven't really put much thought into an idea such as that and would love to hear more.

Thanks in advance!

@Account Closed

Hi Bob,

I do apologize if I used the estate "rules" or REI terms incorrectly. If you can tell me how to improve my use or how I used it incorrectly, I'll definitely make sure I use the terms more correctly from now on. I hope you do understand that I'm definitely still very new to the industry so any help or explanation in terms of what I am doing or saying incorrectly would be greatly appreciated but definitely not required. I'm a bit lost in terms of what you mentioned on real estate rules being used backwards. I'll research it a bit and see if I can get a better understanding of what you were trying to relay to me.

Until then,