All Forum Posts by: Account Closed

@Alex Babayev Nice job Alex, I'd take one of these every day of the week!

@Andrew Votsis Depending on how involved you want to be down the line there are a couple of different ways to put the money to work, but if you want to play an active role I would just jump in with some more experienced guys and get to work! Go make the rounds at local meetups, keep posting on BP, and get in some local facebook groups. You can see who's doing deals and talk with them. 

If you want some ideas on how to make sure you're protected when structuring your partnership feel free to shoot me a message, I work with investors in a lot of my flips!

@Brian Kalb

Pull equity and keep the condo! 

This way you won't incur any taxes from the sale of the condo, loan proceeds are not taxable, proceeds from a sale are taxable. If you can buy another deal out of state with the equity you have in your condo its a total win-win, two properties are better than one!

@Matt Kelty  I would go with the one larger home, especially considering it's your first one.

The cheaper properties will me more management intensive and will attract a lower class tenant. As long as you do your numbers right and go through a pretty thorough screening process the ~$150k property should be all smooth sailing, which may very well not be the case with the cheap houses. 

In addition to that any repairs you end up having to do in the future cost the same on 150k house as they do on a 20k house. If you buy three cheap ones and a year in you need to do a couple of furnaces and a roof it'll eat up all that cashflow you just made! Definitely could be something to consider.

@Adrian Kar I started with out of state and that's why I encourage starting locally! Starting out of state is much tougher unless you're just looking to park cash for passive income with a local operator. 

@Adrian Chu @Chris Connery @Robert Kirkley

Thanks gentlemen!

@Isaias Boesi that’s awesome, glad I could help!

Hey Adrian, 

A lot of people from outside of the LA market will suggest for you to go out of state and how great it is etc. etc. etc. but there are plenty of great deals to be had in LA, as long as you can get a little creative. I do 95% of my business out of state and still suggest you should keep it in a market that you know, especially for your first deal.

Start searching for on market deals first. Do your research and nail down exactly what it is you're looking for. Get your POF or pre approval ready and start searching. Just pull up redfin and start calling brokers, communicate that you're a serious buyer, tell them what you want, and let them do the looking. Talk to 10-20 brokers per week, put in offers, and you'll have a deal in no time.

Best of luck!

Hey Adrian, 

A lot of people from outside of the LA market will suggest for you to go out of state and how great it is etc. etc. etc. but there are plenty of great deals to be had in LA, as long as you can get a little creative. I do 95% of my business out of state and still suggest you should keep it in a market that you know, especially for your first deal.

Start searching for on market deals first. Do your research and nail down exactly what it is you're looking for. Get your POF or pre approval ready and start searching. Just pull up redfin and start calling brokers, communicate that you're a serious buyer, tell them what you want, and let them do the looking. Talk to 10-20 brokers per week, put in offers, and you'll have a deal in no time.

Best of luck!

@Colin Youn Definitely consult with your attorney but the easiest way to go about this would be just creating an LLC in which you guys are 50/50 partners and managing members. Get a strong operating agreement drafted that outlines the purpose of the business and your individual roles in detail.

Take it one at a time and grow from there!