All Forum Posts by: Joe Homs

Yes

@Martin Navarro join us tonight...

https://www.biggerpockets.com/forums/521/topics/1245132-oran...

Good Investing...

@Adam Moore Let do some calculations.

PP $390K

SP $500K

CC $30K Closing costs, commissions, etc.

Profit $80K Tax free since you can use the 121 Exclusion.

Rental Income

Income $3200

Expenses $2200

Cash flow $1000 or $12K a year (Very good and with the new Big Beautiful Bill, lots of tax write offs)

You would break even in 6.6 years if nothing else happens to the unit.  Do you want $80K in your pocket now or wait 6.6 years?  How much appreciation are you expecting where you live?  If this was in California I would keep it, but maybe not in Chicago?  Are you able to double your money in 10 years which is the rule.  If not then maybe keep it and let your tenants pay off the low rate mortgage for you.

Good Investing...

@Harkeerat Sandhu what type of guidance are you looking for?

Good Investing...

@Ali Nichols I started working with Roam about 3 months ago and have been able to close 3 transactions and working on 3 more.  I am the agent representing the buyers and the most difficult part is educating the Listing agents and seller's that this can be done.  It definitely works.

Good Investing...

@Tricia O'Brien I list it on the MLS and it feeds it to Zillow, where all my leads come from. If not, listing it on Zillow directly works as well. Zillow has their own background check, but I have a "Free" account with the other two and the renters pay for everything. Once it's all filled out I go more in depth to check all the information provided.

California is really tricky with Fair Housing Laws and Section 8 tenants, so be careful with this.  You cannot refuse a Section 8 request and they are NOT subject to background/credit/ or monthly payment rules since the government is paying the majority of the rent.

Good Investing...

@Quentin Norris I use First American, but we use Escrow companies in California to do wholesaling.

Good Investing...

@Michael Gibbons what area?

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@Pete Towsen the quick answer is yes, no problem.  Your bigger issue is that the property taxes will be increased unless you move on.

Good Investing...

@Bhushan Shinkre you have to love California. I started using Anderson Business Advisors about 10 years ago. My structure is a land trust (privacy reasons) that is owned by a Wyoming LLC (privacy and liability protection) that is owned by my one California LLC where I file my taxes for all my entities that is owned by my living trust.

I only pay $800 a year for my one California LLC, thereby saving thousands if they were ALL California LLC's. I hear they have some new strategies for California investors now, but my structure helps me sleep better at night.

Good Investing...