All Forum Posts by: Jay Hinrichs

@Aaron Mazzrillo 

Interesting !... What states do you own in ? 

My self I bought 350 homes in GA AL MS IN  TN...

I think the driver here is what did you pay for them and what did I pay for them....

Did you buy your homes form some Marketing agent in LA who was fronting for turn key guys in the market or did you find your own deals.. there by creating better price points at the buy.. which lead to much better outcome over time.

I just look at my own experince's being a HML and owner of these assets.. Lots of work

@Karen Margrave 

   of course each state Is different I think we all know Texas is sky high. And that directly affects values.... Memphis has two tax's if your in the city limit of Memphis.. So their tax's are high as well .. Out of the city not to bad.

Other states in work in AL GA FLA  MS all have different rates.. The main issue is unlike a home owner exemption on the West coast which really is not anything.. Owner occ in these areas can lower your tax's substantially. At least in MS I know that for a fact.

As you state CA is so huge  and there are areas that are not expensive, but Manhatton beach is not one of them.. SF peninsula is not one of them... But Fresno Bakersfield inland empire... right up the central valley... One can find deals that makes sense.

I think the larger issue is it really does not matter were the property is.. My opinion is that owning rentals is far more work than most realize, and their is risk of losing capital if you choose poorly and or have a bad experience... And one way to mitigate that is rental price points and of course PM.. But hey if your house get hit  and the condenser is stolen and the copper is ripped out No PM can protect you from that.  There is this underlying thought process that you cannot LOSE owing real estate and that is just not the case as many veterans have stated we have ALL lost money,,, Many of us Milliions when it the GFC hit.

So there are lots of other ways to make cash flow using RE as a vehicle other than owning rentals.. I think that's one point.

And if you go the rental route then you need to know going in that this is not just as easy as sitting on your couch and collecting coupons like you were making investments in CD's.

@Rick Baggenstoss 

@Amit M. 

depends on where it is... IN Amits case SF bay area its an asset and a stellar one at that.

Most cities in the mid west and rust belt its a liability like one person said.. just depends on where our market went after the Great GFC.. same could be said for those that bought at the top I vegas Phx.. Atlanta .. Fla.. etc etc. 

Mid west like Memphis indy, Detroit , etc etc etc. the values have not really changed no matter what in decades. or if they did it was so insignificant as to not be an asset.

What amit is talking about Is buying a SF bay area house for ( and I am just throwing this out I have no first hand knowledge)  500k and selling it for 1 mil or more using that tax free cash to roll into other deals...

Not going to happen in most parts of the country with a very few exceptions.

So as we all state it depends on where the Primary is.

@Jeff Barnes 

  what do your charge for this service.

in the day this was a 2k to 3k cost to set up.. as everyone and their brother jumped into the field the cost went down substantially.. so when I see 500 to 600 to facilitate that is a great deal.. how bout you? what are your fee's

@Asif M. 

  make loans.. hook up with a good hard money lender do your DD on deals they have make 10 to 12% and forget about owning and all the hassle that come along with that.

@Account Closed 

  They did not mention a name on the radio advert. when I hear it again this week I will write down number and call.. if I can find something out I will report back

It just caught me off guard.. obviously we all hear the RE gurus that come through town.

but this was specific to tax liens  and of course we have no tax liens on the west coast

@Wayne Brooks 

  that was totally a compliment.... was not thinking of buying worthless liens and then on selling them to even more naïve investors.  all with no money out of pocket in 10 to 15 hours a week so that I can live the life I deserve..

that was what I was thinking ;)

@Wayne Brooks 

  thanks Wayne  figure one of you East Coast guys would know the score.  the radio ad makes it sound like you can position yourself in a lein then flip it with no money out of pocket.. I suppose if you go into contract to buy a lien you can then sell it just like all those wholesalers that flip houses without ever really owning them.

@Account Closed 

Joe makes a good point. I would only deal with a local HML that you can walk into their office meet them and talk through what you want to do.

This was a new one to me.... I understand there would be class's on how to buy tax liens etc etc.. But I had never heard how to FLIP tax liens... I suppose once you buy one you could resell it... Out here on the west coast we are tax sale so not that versed at the tax certs.... And maybe they are talking about buying at tax sales and flipping..

Maybe if I am totally bored I will run by and listen to a few mintues of their pitch.. they don't have a known front man.. Like than Merrill.. Although the couple in Vegas that has a flipping show is now going out on the guru ciruit they are coming to pdx.. Makes the 5th guru in 3 months.