All Forum Posts by: George A. Douty II

At an absolute minimum I would say to close your next investment property before quitting the W2 job. Doing that alone will help you advance your portfolio, increase your income, and save you time and money. Personally, if I were in your shoes, I would map out a plan to buy all the investment properties you can as fast as you reasonably can while still at the W2 job. Since you have the cash on hand for down payments, its really just a matter of time and scheduling before you either have enough rental income where this is not an issue, or you run out of cash to acquire more. 

Thanks @Lynn Wise. More pics on the listing. Westview Retreat at Canyon Lake. 

https://abnb.me/yiMbMvMvmeb

@Edwin Sequeira Not at all, feel free to contact me anytime.

@Dmitriy Fomichenko Thank you!

Investment Info:

Single-family residence buy & hold investment in Canyon Lake.

Purchase price: $188,900
Cash invested: $32,000

Contributors:
Angie Douty

Short-Term/Vacation Rental Property

What made you interested in investing in this type of deal?

We love the area, wanted to start transitioning from LTR's to STR's.

How did you find this deal and how did you negotiate it?

Many trips to the area, searching online, my wife researching and running comps. We offered full ask because we thought the price was fair.

How did you finance this deal?

Traditional mortgage.

What was the outcome?

Currently be rented on AirBNB, going well.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes. Real Estate Agent - Angie Douty at Keller Williams. 

Brian, I went through the same struggles. "Private Money" is harder to come by than people make it sound like. Not to say it is not out there, but it takes the right combination of person and circumstances to actually get that money from their bank account and into the deal. Despite significant efforts, I never found a true private money partner. I partnered on a deal with a family member, where we both put up about 30K and used that 60K to get a hard money loan to do a flip. I guess you can call that private money, maybe...lol. 

I found a lot of people with money, that were not comfortable putting it in a real estate deal, or they wanted interest and a part of the deal, or they were private money lenders until the point that they realized they could draw up a contract and basically turn themselves in to a hard money lender at 3 points and 12%...

So we resorted to just using Hard Money on our flips, maximizing our income outside of real estate, reducing our expenses and spending, etc. Doing all those things we were able to accumulate some cash, which we are using now to do flips that we can pay cash for. We also got really serious about our credit, not just the score, but the amount of available credit on any card or line we had. We request increases every 4-6 months on every card or line, it made our scores go up, but it also got us to about 150K available credit, which we can't use to buy a house, but it does help with financing credibility and some piece of mind that I can finish some repairs with that if I do get in a tight spot. Some people will criticize this approach, but thus far I have never had it hurt us, about half of our credit cards allow zero interest for 12 or 18 months, so its better than sitting around wishing you were flipping houses.  

If you are finding deals and coming up a few thousand short to get them done, maybe you should consider partnering with someone that can match what you bring to the table. For instance, if you brought me a deal that made sense financially, it requires 50K cash to secure hard money and finish the deal, but you only have 25K cash, I would easily agree to put up the additional 25K cash and split all costs, expenses, profits 50/50. 50% of a good deal is better than 0% of any deal. 

Hope that helps, send me a private message if you have questions or want to discuss working together on a deal. 

Thanks for connecting! Will PM you so we can continue discussions. 

I’m looking to connect with investors in my area (Houston), my wife and I live in NE Houston, have focused on Kingwood/Humble areas, but we are looking to expand. 

We have 100k cash to invest, my wife is a realtor. 

Interested in discussing strategies, what has worked/not worked, potential partnerships on deals, etc. 

Long term we want to have enough passive income from real estate to live on. Using BRRRR to build a sf portfolio seems like the most reasonable path to get there. However, given our experiences thus far, we are of the opinion that having more cash to operate with is a priority.

I would consider owning multi family as an interchangeable long term goal with a single family portfolio,  but with no experience in Multi Family, I would be hesitant to call that a long term goal. 

I am not interested in being a lender, I like owning real estate, improving properties, etc. I would be more likely to partner with other investors than to strictly lend. 

Any ideas or thoughts you have are greatly appreciated. 

@Faraad Mohamed Thanks for connecting, let me know, I will do the same.

@Gene Bonham Probably not interested in the vacant lots unless it was a particularly valuable location, but as far as buying a lot to build a house, I am not interested in new construction. 

Rented house in Heights is something I would look at, I do like that area, so I would need to see the details of the property to give you a solid answer. 

My wife and I have successfully completed one Fix & Flip, and one BRRRR. We also purchased and rehabbed our current primary residence. I am a self-employed technology consultant/project manager, my wife is a realtor with Keller Williams North East. We both have some time outside of our primary careers, which we devote to real estate investing. We have 100K cash that we have saved/set aside for real estate investing purposes. We also have excellent credit, good relationships with Hard Money lenders, and access to approximately 100K credit for rehabbing.

For the immediate future, we are focusing on building up cash, so we are mostly interested in flips or other opportunities that support that objective. Although long-term, we do like the BRRRR/Hold strategies, and possibly Multi-family.

We are doing our best to find deals, although they seem few and far between now days, but we do not have any right now that we would consider serious, or likely to close soon. 

So the purpose of this post is to reach out to the BP community to see who/what is out there. Maybe someone that has a deal and needs a partner, maybe some wholesalers (with reasonable ARV's, lol), maybe someone in a similar position as us that we could join together with in a mutually beneficial deal...

So at the risk of getting spammed by wholesalers, lenders, agents, etc, I post and ask for your feedback, advice, referrals, or whatever else you may have to offer. Thanks in advance!