All Forum Posts by: Jared Smith

@Raul Gonzalez it sounds like you have done a fair amount of research on where you want to get started, have you researched the companies that work in the those areas to help investors find, lease and manage their properties? You will want to find a team that is experienced and has a good track record. Best of luck getting started!

@Jardin Gwin, Welcome to the BP forums! To help give some guidance on where you may look to start out it would be helpful to know where you are at in life and if you are looking at being really involved (active investing) or just have money you want to put to work in real estate (passive). Which one of those better fits your description?

I choose leverage for a few reasons at this stage of my investing. 

1. Want to grow total assets. As you mentioned real estate is expensive, but being able to leverage, smartly, makes a huge difference in the amount of assets you can get for your investment. There is no other investment that you can get the full benefit of owning the entire unit but only pay for a piece, but actually have ownership...as long as you pay your mortgage of course.

2. Tax benefits. To maximize your tax benefits leverage allows you to both have a larger asset base, but also have more accessible depreciation at tax time. Let's say a property cash flows $12000 if you buy it with cash but you can only depreciate $6k of that based on its value, you still are exposed to $6k of taxable income exposed. If you bought two homes at the same price and did a 50% down payment and made $6000 cashflow per year, now your depreciation on each of the two properties covers the $6k from each property (or whatever the smaller number is), but you have 2x the assets.

These are two of my favorites!

@Oren Dadon, We should connect. We work with international investors for purchasing buy and hold long term rentals in the US, Dallas/Ft.Worth, and 10 other markets.

@Vanesca Charles welcome to the forums! If you find the right PM, you won't need to worry about those other items because they will handle all the details for you.

Are you looking for a turnkey experience in your first home or looking at something more hands on from the start? 

@Diego Martinez the ideal investment would be one that doesn't need an exit strategy but you have one if needed. Selling an investment property at a lease vacancy is a common strategy used by investors. Some find renters and then look to sell if it is performing well and you have a good vetting process for your tenants.

You should evaluate the various strategies before committing to a deal. If you are buying to flip, could you rent if you got stuck with it without losing your shirt? Play devil's advocate and see what comes up and you will likely pressure test your exit strategy.

@Nicholas A. thanks for the clarification, we should set up a call! Click on my signature line, it has a link to my calendar.

@Nicholas A. what do you consider a "Quality Deal"? This will help us point you in a direction.

@Joscelyn Johnson, welcome to BP! I am a retired Navy Submariner and have been in real estate investing for close to 2 decades. In the last month I have been able to help a 34 year old USMC reservist and a Navy LT get into their first out-of-state investments. 

Are you still in the AF or just working alongside? I'll send you over a recent podcast I did that would let you learn about our processes. 

Best of luck, reach out with any questions!

@Olivia G Gonzalez what is your expectation on time horizon to reach your current goal $2k/month? 

You will find that your passive income will grow the longer you have the properties due to rental growth over time so time in the market will beat timing the market every time!