All Forum Posts by: Jordan Atkin

@Kyler Cook

Yes, you should approach your neighbor about owner financing.

@Nour Hatab

Unless your W2 was working for a real estate developer or GC that specialized in MF then I’d say your better off building existing.

You can always look at building once you get comfortable with managing the existing asset.

@Trevor McGrath

I choose to move to SLC. It’s a great place to live and the economic prospects over the coming decades are very strong. Regardless of where you live the plan is the same.

Work your *** off. 40 hours per week isn’t enough. Find something you love to do so your willing to spend 60-70 hours a week doing. Invest in your self first and increased your skills. Live like a broke college kid for as long as possible. Learn learn learn and be ready to pull the trigger when the right opportunity arises.

@Joe Splitrock

I was able to reach financial independence by age 28.

The key was living on dramatically less than I earned over a multi year period. Good luck on your journey!

@Dustin Sanders

All things being equal, I’d opt for the 2 homes for 150k. Seems like Double the benefits and unlikely to double the issues.

I’ve done Airbnb and it’s not a fit for my temperament as I didn’t like the constant turnover. I’d prefer the lease option where I can convince myself that since they put down an option payment, the tenant will care for the property more than an average tenant.

Best of luck!

@Wade Kulesa

Not all debt is bad and real estate based debt at reasonable LTV's isn't the bad kind. Over the years as I've created more wealth (that I don't want to loose) I've worked to lower my portfolios LTV's.

My perspective is that it’s about balance. You need to have enough staying power to weather the coming storm but you want to be in the game earning cash flow and forcing appreciation.

Leverage is a beautiful thing when your growing your nest egg. The key is learning to use it wisely.

If you’re super conservative put 40% down on your first deal but i wouldn’t wait until you had it all to get started.

Last thought here, get a good banker. Find someone who really understands real estate finance and have them help you underwrite the deal. You will be able to leverage their experience in your local market to make sure everything is lining up.

Good luck

@Thor Sveinbjoernsson 
I can't predict the future. But I would think that lenders will be under pressure to work through default issues and they are ahead of the game relative to 2008. There is plenty of real liquidity in the market to buy opportunities as they arise so I'm not seeing a tidal wave of defaults that lead to a huge correction. Prices might dip or hold steady for a few years. 

@Phil Wells 
I think its possible that people will have new options post COVID. Some of the cities being hit the hardest will likely have similar damage done to their local economies. Local taxes don't get paid and politicians can't balance a budget when the good times are rolling so my estimate is that taxes in these places will go up. 
Similar to @Daniel Boruch I think this will accelerate trends that are already in motion. 
I dont think people will flea to rural towns but the secondary and tertiary markets will be the winners. 

@Jim Glover Thanks for clarifying your intent. 2-4 units act more like SF than bigger stuff, 50 units+. 
Talk to your local lenders but we have found that you need a loan amount OVER 1M to start getting better pricing on the perm loans with lenders like Fannie/Freddie.
Another route I see from people in this situation is to become a passive investor in a larger syndication deal. That might be a conversation for a different forum but feel free to DM me to discuss.  

@Russ Wahl thanks for the follow up question.
What I should have said was, if I was in your position I'd sell the property once the renovation was complete.