All Forum Posts by: Jaime Penix

700k to me seems like a lot for orthodontic training in my opinion. I am not saying that it is not possible but that is about 90k a year for 8 years. I am not familiar with the dental pathway but I am familiar with the medical pathway. I usually hear about people owing around 100-200k after training. I personally do not know of anyone owing 700k. I guess if they went to a private school and completely loaned everything every year, maybe it is possible. Did this person buy a residence or car with this money? I find it odd and not the norm.

I have been looking for a dependable one for a while now myself

@Matthew B. I know the exact properties, I had my eye on them as well. The timing was not right for me but I am glad it was for you. I am interested in following the rehab, and I am definitely interested the rental environment there. 

@Account Closed What works for someone may not work for the next person. Everybody's situation is different. Goals desired are many ways different. Most everyone's market is different. I  will agree with all that is mentioned above. Know yourself first, know what it is that you want to do. I guess I kind of don't practice what I preach because I really don't know what I want. I really just analyze the deal and if I like it, then I do it. My modus operandi is if it makes money in any form that I am happy with then I do it. However this my not be your goal, you maybe more directed then that. But you must know your market that is paramount as well. You must know your finances and how you are going to finance your deals. You should have the finance plan locked down, stay in front of the deal and not behind it. One pearl that I have learn since doing this is to wait for the deal, don't first pitch swing. Meaning even if you have the funds to finance a property, don't jump one the first nice looking property. Wait for the killer, slam dunk deal property.  That was my rookie mistake when I started, was that I had a pocket full of money and I just bought the first decent deal that I saw. I mean don't get me wrong they are decent deals, but I would not do the same ones now. I wait for the killer deals then I pounce on them. You have to learn how to recognize a deal. Also helpful with myself, I had to learn how to estimate repairs, which really was not that difficult to do. I agree with avoiding those paid seminars, you can learn it yourself. It may take longer but you will learn it. Also research the deal then research it again.  Do the numbers then do the numbers again. I also run my numbers for 20% rent collapse just in case a market sour.

@Rony Jacques what part of jacksonville are you? I see a lot of nice deals posted up there.

I work full time...more than full time actually and I use that money to invest in real estate, amongst other things.

By just glancing probably the rent could be from 950 - 1050. Were there any major findings on the inspection? Is that hardwood or laminate?

@Luis Lopez There is some truth in what you are saying and I will admit that I don't follow up with them. I just look at there for sale sheets that they usually forward to you at the meetings or emailed. The majority of the time I don't like the structure itself. Then the numbers don't look great. I usually can find better deals offer Zillow, hudstore, home steps, homepath, realtor.com. I am not an expert project estimator but I have done fairly well thus far at estimating repair costs. I am realistic and conservative with all my estimates so I don't think I am overestimating repair costs. But you are right, I don't follow up with them because the deals didnt seem worth the effort in my opinion. Maybe I should just reach out to them every once in a while. Thank you.

Unless that property is owned outright, they may have grossed 28000 but that didnt net that. 650/month (just to be conservative) x 4 x 12 months= $31200 gross for the year. 31200- 7500 for insurance and water= 23700. 23700- 4440 property tax= 19260. If there was a loan on the property say 25% down , 4.5% APR 30 years for a purchase price of 280000; then the mortgage would be 1064/month or 12768 for the year. That would leave 6492 for the year net. Of course you would have some tax breaks for your total income gained will be a little more.

If you purchased the home with 5% down for a purchase price of 28000/30 years/4.5 the total mortgage would be 1347.78 (16173.36 /year). If you rented the other apartments for 650 x 3 x 12=23400 year. So 23400-16173.36-4440-7500= -4713/year equaling =393/month out of your pocket for expenses. of course your tax benefits are not included, also not factored in is the 50% rule (which would leave you with $975 out of pocket). 90% vacancy not factored.  

To me it is not a great deal but I guess it depends on your market and goals.

Not to offend anyone but I have yet to come across a whole seller that have actually offered wholesales. Maybe I am not a big enough fish to break into these circles, but I see a lot of inflated ARVs and very conservative renovation estimates assigned to dated properties. Maybe wholesaling is not that great right now in Florida, I don't know.