All Forum Posts by: Jake Isaac

@Arthur Floyd

Welcome to bigger pockets! This is exciting and real estate investing has so much to offer you in wealth and freedom! There is a lot to learn, so don't become discouraged. Your fellow investors on this site are your best resource for help with strategies and support to get you into your first deal.

I noticed that you are from Ogden. From what I have seen in my searching, Ogden above almost everything else in Utah has some very good potential for deals to be found at discounts prices! 

Thank you for the advice guys. Minus the roof repair, I'm actually about 2k positive cash flow after six months ownership. Nothing to go to Hawaii about...but enough to give me hope. I also predict that with depreciation deductions I can show a passive loss and get a refund on my 2015 taxes, which will boost the ROI. Do any of you have any success stories with showing a passive loss from rental properties?

I'm sure a lot of you have been in my situation at one point in your investing careers. I own one rental property - a four plex - and I'm beginning to discover that I paid too much for it. It's not a dire situation yet, and I'm not ready to accept defeat because I know there is a way to turn this around and make it work. Do any of you fellow investors have suggestions for a strategy to help drastically reduce expenses?

Here are my facts: 

Gross rents: $2500 (625x4) The first one year lease expires in March '16 and I plan on raising rent by $70 on each unit within six months of that. New gross rents in one year: $2780

Fixed expenses: mortgage $1598, management $200, utilities $200

Things went well for the first two months of ownership. On advice from a "mentor" I calculated after mortgage expenses at 35%. Big mistake. After a roof repair and flood restoration within two months of each other I ended up with nearly $8,000 out of pocket because the rents hadn't been enough to cover those huge incidences. What was originally supposed to be $6000/year cash flow now look a like negative numbers. 

So, besides upping the rent next year and dropping the property manager when his contract expires next summer, what creative ways can I find of upping my income on the property and reducing expenses? 

I look forward to hearing about some experiences! Thank you BP community. 

 David,

We are not owner occupying. This will most likely not be a part of our plan because so far, convincing my wife to move in to the investment properties has been difficult. Most of my financing will most likely be achieved through savings, re-fi on my current properties, and cash due from seller on purchase deals. 

My name is Jake Isaac. Along with my wife, Chantel, we've purchased our first buy and hold investment property - a four plex. Our goal is to invest in a new buy and hold property each year. I'd like to use the Bigger Pockets networking platform to gain useful tips from other investors on ways to find, finance, and cash flow great deals. 

Any local investors - amateur or experienced - who would like to get together for dinner and discuss strategies, please feel free to contact me. My treat!