All Forum Posts by: JoDell Walker

I'm also a newbie and I feel like I'm in your same position. In fact I got on here to post about how I just asked my agent to terminate my FIRST contract after inspection. For me, when I made this first offer I got cold feet but then looked at the numbers and realized that I could "make it work", so I proceeded. Then things kept on getting added to my expenses (taxes were going to go up, my loan product ended up having a higher interested rate than I anticipated, and the repairs needed would have definitely turned an only "okay" deal into a bad deal as far as numbers. I caught myself a few times trying to tweak numbers to make everything work, but then realized, for who's benefit was I doing this? Certainly not for me, because if I have to "tweak" numbers, then its NOT a good deal. I looked at the same property using many strategies, and then in the end decided nothing was working out. So I terminated. 

I guess my point is, in the end, if the numbers work (you have good estimate of these numbers), then it's probably cold feet. If they really don't work and you are looking for ways to convince yourself that they will work, then it's just not a good deal. 

Good Luck!

@Dave DeMarinis Thanks for that explanation, I've not come across that yet and it will prove useful information. 

Yep. That helped. Thank you!

Would anyone feel so kind as to walk me through the BRRRR calculator using a HELOC? I haven't yet figured out how to incorporate that monthly payment until refinance. I feel like I just have to enter the purchase as "cash" but then I don't see what I'd being paying on the HELOC.

Sample analysis: 

$40 K Purchase Price

$20 K Rehab

All paid for with HELOC at 4.5%

Is there a place to put these numbers that I'm not seeing? Or do I just have to do the math on my own. 

Thanks in advance.

Hi Keith! 

There is lots on info related to the strategies you've proposed (on this website and more). I recommend two things. 1) Education and 2) Networking. If you build a solid base through reading some of the BP books and listening to the podcast, and then make a genuine effort to reach out to agents, lenders, other investors etc, then in my mind you'll have the foundation for a successful real estate investing career. 

Stephen, Have you found any loans for the amount in your calculator yet? I think a nice place to start is to call some lenders and ask them what their minimum loan is. At least in my market  I've realized that both Residential loans and hard money lenders don't loan less that 60-70K. You'd be better off with these numbers raising private money or using cash. 

Don't afraid to ask lenders questions (like will a pre-qualification affect your credit score) in fact, sometimes asking these questions, even if you know the answer, reveals how kind, or helpful this person is going to be. 

Also, unless you're using a hard money lender, you'll likely have to get the loan in your personal name, not your LLC. Don't let that stop you! You can work with an attorney (or even title company as I recently learned) to move the property into the LLC after the transaction.

@Daniel Hyman Thanks for that tip! Now that you said it I do remember thinking this was something I'd look into at some point. 

@Ben Day Awesome point! Thanks!

I listen to a variety of RE podcasts and have been spending the last half year doing my research to get started and here's what I would say is still my #1 takeaway--NETWORK. In your situation, I'd see what you can do to instead of stretching yourself thin to free up money (since that won't get you anywhere fast) I'd focus on seeing where you can free up your TIME to: 1) research, learn, became smart about what a good deal looks like 2) find a local REIA meetup and start to meet people 3) develop a vision and start to advertise what you are doing to everyone you know (this not only hold you accountable but also will start to get potential partners interested) 4) see if you can work under someone--anyone in the industry, even if its for free for a short period of time.

All of this will allow you to find partners to get yourself started, because if you have the knowledge and the hustle, you can always find someone else with the money :) 

Good Luck!

Hi all, 

I wanted to throw out this question to see what advice I can get. I'm trying to work on my interview skills, but frankly I've never been that great with coming up with good questions. I found a local "bookkeeper" who works with CPAs in the office (for taxes etc) that I'd like to check out. 

Does anyone have experience with this type of service, and is there anything I should ask specifically related to the bookkeeping aspect? How has a bookkeeper helped you? What are your preferred book keeping methods if not a professional?

Here is my list of questions for the interview:
1) Fees - general

2) Tax Season (How soon do you start, what is the turn around, what are the fees)

3) Experience with real estate income, rental properties, notes, SD IRA investments.

4) Experience with 1031 exchanges, other tax advantaged income strategies

5) Availability (if I call or e-mail, what is the response time)

6) Security and accessibility (how are files stored-paper/electronic/cloud etc)

Thanks in advance!