All Forum Posts by: James L.

@Bryan Hancock

Hey Brian,

Thanks for the reply. I have talked to one of their partners. He’s trying to raise money for an opex fund. They claim they’re trying to acquire more. I don’t typically like to invest with people I can’t verify. They’re offering 15% fir 18 months.

On a separate note, I’m in Pflugerville and have properties in Georgetown. Do you know of any area that are cash flowing in the area?

@Matthew M. That was before the current COVID. You can always find an online bank with better rates. Now it’s only like .8%

@Nina Granberry I’m sorry I meant keep 6 months in high yield, I sweep the rest

@Nina Granberry I personally keep 6 months of reserves in the account and sweep the rest into a high yield savings account. Rates aren’t great now but you can at least earn 2-3% and it’s still liquid. I know others that put it into an ETF fund and grow it that was but I’m a little conservative.

@Andrew Allen do you any info on the lonestar development guys?

@Cam Jimmy have you found anything on these guys?

Alright so here is an update. So it my understanding that in Texas sales prices are not public records. So appraisers base their comps off of comps but they don't like to use cash sales. After doing some prying I found out the appraisal company finally admitted that they are very conservative on their numbers because during the recession they got dinged and lost their license for 5 years ( for appraising to liberally). So they said they're very gun shy. I worked it with the bank to pay for another appraisal, the company said they would try and be more fair ( and said he thought it would be closer to 330-335k), I submitted some other comps I found. Then the seller didn't want to let the appraiser in for an additional week. So we got the appraiser to agree to doing a rushed turn around. The lender agreed that they could have it ready to close by next Friday. Then I had to get the seller to extend contract by one week. She refused to extend the contract so the whole deal just fell apart last night. She said she didn't need to sell and want in a real hurry. Also this had been too much. I guess now the game is managing the tax lose.

Bill Goodland I'm trying to dig up sales comps and working with the lender to see what we can do but the only comps the can find are from January 2016. I contacted the selling agent on 2 other 4 plexes that went under contract in 1 day at 370k and he's scrambling too. I guess their appraisal came back the same as mine so they're trying to not loose the sale.

@ Darius Gill I sent them the appraisal and the won't lower the price any more. I feel stupid, I got cocky because I've done a couple of deals now and found this off market and thought I was to clever. I guess my options are to dump my reserves and try and do this and at least I have some cash flow and an education or I walk, take my lumps. The other deal is an off market SFR, which isn't great either. I back burnered it because the ARV is 185k, it needs 30k in repairs with an asking price of 110k. Rents are $1400. If I do this one I'm not cash poor, I put my tax money aside and have cash to do the next deal. Which strangely I had a land development deal fall in my lap. No cashflow from it but big upside.

Hey everyone, I need advice!! So I identified a four plex for my 1031 exchange and then put it under contract. This will be my fourth property but the appraisal came back very low. I have seen several sell in that neighborhood in the 365k-375k range in the past 9 months. I got it locked up for 350k, well appraisal came back at 320k. I guess the others ones were all cash purchased and the appraiser won't use them. So at this point it's either come out of pocket 30k to make it happen or move on but the other properties I identified have sold but one and it's not enough to cover my tax basis. And will be out 20k to the tax man.