All Forum Posts by: Jesse Stahl

It sounds like you might just buying a token? I'd be very wary at that point. Make sure it is deemed as a security token (backed by something tangible) and not a utility token (used only as currency in the system).

There's a lot of talk of moving stocks and bonds to the Blockchain as security tokens, I don't see why REI trusts/funds (especially if they are publically traded) would be any different. Although personally I see syndications working better as a series of smart contracts whereby you send your Ether to the contract wallet and you have a system of payments set in the code.

I could see this being very interesting on an Ethereum platform backed up with smart contracts. I'm wondering what are the underlying frameworks these funds are working with?

There's potential for less fraud, and for more seamless allocations of dividends if done correctly.

@Maurice E. Stokes Jr

Hey, I use simple contracts from a site called "the wholesaler's toolbox". They don't have to be fancy. I'd run it by a professional lawyer just to be sure.

As you get a few deals under your belt you'll probably realise certain clauses you want added for extra convenience / security.

Hey has anybody had any success using any specific list to locate and contact cash buyers in your area?

I was thinking something along the lines of high equity, lower price range, with a recent sale.

Thoughts?

I have a question piggy backing off this thread ...

Let's say you do a cash out refi and leverage that capital out at 1/5 as per usual. Now you are paying interest on your new loan and the additional interest on the refi amount.

My question is:

Is it smart to tack on that additional refi payments into our analysis of our new property, or should we treat it as separate for our calculations.

I figure a good looking deal at first could be easily losing money after factoring the added refi payments

@Justin Miles

If I understand your question, you are asking if it's smart to hedge some portion of your income into more traditional investments?

I do that myself. I am passively buying indexes through my 401k, but I am sort of worried about the state of the stock market, to be honest. However, I don't see a problem with continuing to average in, even during a downturn.

More importantly, I think real estate is the best hedge against the markets ;)

And I think the next best hedges are precious metals and bitcoin.

I think the dollar is going to see a real devaluation, and lose its standing as the world reserve currency, bitcoin as sovereign and decentralised money will take its place. It might take 50 or 100 years, but that is my vision.

Staying cash heavy, or heavily into stocks feels like the worst position, but I am by far an expert, take my thoughts with a grain of salt, or rice if you prefer.

Sell when you don't see any more posts like this one

@Zach Reichert, Yeah man, sounds good, talk to him about his wants and needs on the properties, learn his motivations behind selling. I'm sure he will tell you plenty of useful anecdotes and tips. Just be attentive and present. If you can solve his problems, and give him value there's no way you won't be compensated. If I had to guess, I would say he's ready to retire, or is sick of being a land-lord. Owners like this are prime candidates for seller-financing. Perhaps you could wholesale some of his deals to up and coming buy-and-holders, and maybe instead of an assignment fee he could give you a good deal on a property or two to hold yourself.

No, in general, when you wholesale a property, you assign the contract to a buyer who buys the property cash, as-is. All you need to do is get the property under contract, making sure the contract has an 'and/or assignee' clause on it, then find a cash buyer. Take the deal to a title company and they do all the closing.

To find out what you should ask for the property use this formula:
(.65 * ARV) - rehab costs - your assignment fee = Maximum Offer

Do some comps in the area to find the ARV, redfin is usually pretty good about finding them.

Are these deals on market?

You could try wholesaling them to local buyers in the area, that could be worth a potential pretty penny (PPP).

What is this gentleman's situation, how did you meet him? If he owns the properties outright or close to, you could talk to him about seller financing options, I would build a good rapport with him first, but he may be happy with the easy passive income, maybe just for 5-10 years while you gain equity/ save money for a refinance.