All Forum Posts by: Jonathon Martineau

yes, I would be interested! Theres actually 3 of us on my team. How can I RSVP?

hello everyone! I am new real estate investor and really wanting to meet up and network with other investors in San Diego, CA. If anyone is wanting to reach out and talk investing, or know of any meet ups in the San Diego area, let me know!

Hypothetical scenario:

You have a young person interested in real estate investing, has experience with rehabbing properties, and always saw themself investing in real estate "when they had a lot of money". They always saw it as something that you did once you were already well off. Eventually they learned that it doesn't actually take a ton of money to start after all, and there's so many ways to approach it. This is something that genuinely interests them. They're urged by family and friends to take the "smart route". Get a degree, get a good job, then invest later...but those degrees and desk jobs don't interest them. Starting a business, having some risk and excitement in life is what drives them. I guess you could say that entrepreneur point of view. 

For the investors that really went after it and accomplished big goals in real estate, what do you think? What would you tell this person? More importantly, if you could go back in time, would you have started sooner. 

I'm an investor from California and want to make sure I have the correct answer for Texas property taxes and insurance.

This is is just an example.

Say I was getting a loan for $100,000 that covers purchase and rehab. I want a partner to bring the 20% down payment to the table while I do everything else. What would you offer said partner in order to make it worth it for them to put down that $20,000, but also make it worth you doing all the work? 

I would also love to hear how you actually make deals in order to use OPM. How much is someone covering the down payment worth in the grand scheme? How does everyone win equally?  

What's the best strategy to obtaining the best possible financing strategy? I am getting to the point where I'm comfortable to start aggressively going after my first deal but want to make sure I do it right. I would love to hear from people that have used multiple strategies.

Obviously the BRRRR Strategy seems to be fairly popular. This strategy is very appealing to me, but I would have to use hard money since I don't have a large amount of cash laying around. The thing that scares me about hard money is the short time I have to turn around the property. I believe I could achieve rehabbing a property in under 6 months, but if something happens to where I can't, I would hate to be stuck in a hard money loan.

Another way I would like to finance a property would be a conventional loan that covers rehab as well. I would gladly put 20% down if rehab was covered. Unfortunately, from what I've read, getting a bank to cover purchase price and rehab seems tough to achieve.

I know there's a lot of ways to get a deal done. What are your thoughts on the best financing strategy for someone who doesn't want to expend all their cash just on a project?

As someone who is planning on getting started with fix and flips, why would you or why would you not go with contractors to do a majority of repairs? Obviously there’s usually some type of mixture most of the time.

My argument for doing most of the rehab is mainly because I have the knowledge/tools to accomplish a lot of the repairs, and also the money I could save by doing a lot of repairs at cost.

The main reason I would assume people would prefer contractors is probably the speed and efficiency?

I would love to hear what people think on this topic, especially ones who have experienced both!

@Rick Pozos I definitely want to wait it out a little and see what impact this virus has on the economy. I would hate to rush and buy a property just to have it depreciate. I will admit though living in California makes it very hard to look at other states and see a home for $100k and not want to buy it 😂

I’m planning on purchasing my first investment home here soon ( once this coronavirus stops and the economy starts to look brighter) and have been focused on Texas. Dallas is currently the city I’ve been looking into the most. Personally my reason for choosing Texas in general is because of the strong economy and boom in younger families. Also large corporations are starting campuses in major cities which I see as a positive.

So mainly overall I like the real estate price points and economy of Texas.

Do you think Dallas is a great spot to start? Why?

If you think Dallas isn’t a great spot, why is that? And what places do you think are superior?

Thanks!