All Forum Posts by: James Loisou

After reading a number of articles and forum pots, it is quite evident that the new FEMA flood zone insurance requirements are adversely affecting a lot of home owners. It is amazing to think that property owners in flood zones can now be required to pay additional thousands of dollars each year. I would assume that from here on out, it will be a lot more difficult to sell these properties. As a result, certain coastal properties could become a lot cheaper to purchase over the next few years.

First, is anyone planning on taking advantage of this possibility in the future?

and ,

Second, Has anyone put together any analysis or innovative strategies based on buying a number of these lower priced flood zone properties with cash and self-financing, and any potential for using a large amount of money to go to these particular properties that will owe tens of thousands of dollars in mandated premiums and loan to them at a rate that is higher than the bank's rate, but lower than the bank's rate plus mandated insurance?

I hope this post makes sense and is in the correct forum category. I am here in Massachusetts and I see a number of properties that are required to carry the insurance because they have bank mortgages. The thought just crossed my mind if their is some way to use the FEMA flood mandates to your advantage and I am curious if anybody has thought the same or even figured it out.

Hello @Lucky Oldham and Welcome! I am relatively new to the site myself and I have nothing but good things to say about it and the overall knowledge base that you can tap into here. Your goals are sound and I think you are in the right place for learning about the next steps you will take. Good luck and feel free to ask any questions.

Welcome @Nick Noon ! Congratulations on getting into real estate investment and congrats for your future little one. Your construction resume is strong. The multifamily is a great idea for you. As the biggerpockets podcast calls it "house hacking".  Good luck and feel free to ask any questions.

Good luck@Irfan Saeed . Everybody is nervous with the first one. A little bit of risk can yield a good gain. It sounds like you are doing your homework. As many BP members state, the key is in the buy. Don't give up. Inevitably you will stumble with different things, but you will learn from all of your experiences. My advice is to try to make sure you have a bit of cash set aside for unknowns. Keep soaking up as much information as you can from Biggerpockets. Best of luck!

@Angela Jackson I am nowhere near the area, but I really appreciate when members tell about deals like this because the hotel room liquidations are great for nicely and inexpensively staging a home. Thank you for posting.

Welcome @Nate Gagne !   I like how you have already adopted the Biggerpockets lingo. I am in Massachusetts as well. Feel free to contact me if you need someone to bounce ideas off of. Best of luck and welcome!

Welcome @Lisa Jones ! It is definitely exciting. One of the keys is keeping that excitement throughout. Welcome!

Yes, @Account Closed , you do have to be a licensed broker to collect the commission, but many states allow the buyer's agent to then rebate to buyer a chunk of that commission they earned. Certain rules have to be followed and it is not able to be done in all states. I know it is allowed in Massachusetts.

What you can do in many states is find a realtor that will rebate to you a large percentage of the commission that they receive from the seller. Not all realtors offer a big rebate because their overhead and operating costs are so high. But,  you would get the best of both worlds because it really is beneficial if you find a great realtor and a you would still be able to get big chunk of cash after closing.

Welcome @Kendrick Walker ! I recently joined myself and so far I am very pleased and very impressed with so many BP members. I think you will enjoy it and get a lot out of it.