All Forum Posts by: Joe O

Thanks for the numbers, Ace. Very interesting.

This Forbes article from last week says that because we fell so far, the gains thus we've seen are sustainable, and in fact says we're still undervalued:
http://www.forbes.com/sites/morganbrennan/2013/06/13/the-most-overvalued-and-undervalued-housing-markets-in-the-u-s/

Take it with a grain of salt, of course.

It's certainly interesting to watch, and a very hot market. I just closed on a flip (sale) that was under a month, close to close.

Housing everywhere will be interesting for the next few years depending on what the Fed does with interest rates and how the economy does.

"as long as they have a good plan, and spend the time finding the deals that work for them."

Bingo!

And, I'd add, as long as they keep learning so that they can get creative (without lots of risk).

More of the investors I talk to here in Vegas are doing a lot more interesting investing deals than in the past few years out of necessity. A few years back any old property off the MLS would cash flow. Now, not so much.

But the ones who are educating themselves and then doing creative things are the ones profiting, from what I've seen.

There's a BiggerPocket meetup in Henderson (run by Phil, who posted above) a week from Tuesday, hope to see you there!

What exactly is your question?

What are you looking for a partnership for?

It seems to me you can either sell the contract or talk to one of the title companies in town that does simultaneous closings.

Phillip Dwyer: Mark's group meets the last Saturday of every month. http://www.meetup.com/outback/

It's an hour and 1/2 of "mindset" and then an hour and 1/2 of "technical" investing concepts/tips. Troy Fisher characterized the former as motivational, and it can be, but it's also just keeping in the mindsets you need to be successful.

Not everyone's cup of tea, but I enjoy it as I don't get a lot of intellectual stimulation elsewhere, teaching 11-year olds all day. ;)

Nice people, too.

I have been before, but not in well over a year. I found much more business gets done at the smaller more intimate ones with people actually doing things, and I just enjoy them better (getting to know people and connect with them, instead of randomly making small talk with strangers every meeting because they're so big). That's a personal preference thing though.

But since the LVREIC ones have turned into pitch fests (and attendance has WAY declined as a result since late 2011, which of course is still way below the 2007 highs, but still was decent for post-crash) and the same speakers over and over (Glen Plantone for the 3rd or 4th time in a year or so?), I may attend this meet up again this month. Thanks for the reminder about the group.

Phil's BiggerPocket meetups are definitely my favorite, though I enjoy Mark Collard's Outback ones as well. (The Connected Real Estate group is okay also, depending on what you're looking for, as you know.)

There's 4 or 5 Vegas REI clubs/networking groups.

Some better than others.

Meetup.com has most of them.

I use 6 mo PITI + 6 Months HOA + 6 mo of 20% gross rent per property (for repairs, maintenance, etc.).

It's a decent chunk of cash, but it's actually not as bad as it sounds for three reasons:
1) Banks just care about the 6 mo. PITI, they don't care about the extra HOA and maintenance reserve I outlined above, so I don't have to verify all that as seasoned funds.

2) Like @Mehran Kamari I use retirement funds (IRAs, 457bs, etc.) to show reserves.

The bank doesn't care about "going after" it, they just want to see that you have some funds in case disaster hits and you have to cash it out to pay your mortgage, that you have the ability to do so. They typically only count the cash out portion (i.e. what you'd have left after paying penalties, taxes, etc.), just like they only count 75% of rents towards income.

3) My properties are pretty cheap. Even with the above formula it's still a little less than 5k/property.

Why it meet up at one of the three local REIAs?

Either way, I'd be up for this.

Am I? Or did you forget to finish reading my post? ;)

I agree with you, and appreciation that keeps up with inflation can be plenty.

Exactly. Doubling every 20 years is a 3.53% annual appreciation level - about the same as long term inflation.

That is, houses have no appreciation in real value, but they do in nominal. Appreciation to keep up with inflation may be good enough, however, combined with other things like principal paydown and leverage.