All Forum Posts by: John O Stith

This is excellent. I've been curious on returns when pulling out of 401K vs. what the anount of 401K loan might generate if left. Imagine you could make it work harder for you if you're savvy.

Interesting. I'm responding because Ive been concerned about this as well and would like to know what the answer is. Though I will be moving mine to my LLC shortly.

Argh, I have to work. It's a typical M-F 7-3:30 but I happen to have to work that Saturday because production is running. Sorry. 

Hey everyone,

I'm still starting out and don't have a ton of experience. But looking to expand. Been looking at purchasing a multifamily and it seems a little out of reach with the cost of refurbing some of the more dilapidated buildings locally. There aren't really any that are great except for a new construction that is going up. So I think instead I'll try and pick up a SFH. I talked to my neighbor about 5 months ago about purchasing the empty lot next to my current home, mostly to give me a little more driveway room. It has a garage that needs a lot of work. He wasn't interested in selling that alone, said he would have to sell the rental as well (opposite side of the lot). This is appealing. I believe I can pretty easily refurb the garage back to good order. Needs siding and things of that nature but I really think me and a buddy can handle it ourselves. Roof is great.

Here are my questions. How challenging would it be to refurb the garage and turn it into an apartment to earn a little income from the lot? It has electricity so that is one thing I don't have to worry about as much. Just need to make sure it is sized properly, 100 amp service. I do not believe it has water but don't know yet, so I'll have to make sure that I add it. Then down the road in a year or two build a smaller apartment building or duplex? Not sure what all I will need to consider when doing something like this. I am really looking for information or where I can find more information on zoning, water, sewage, or any other points of concern. I am interested in this information related to the garage and to the apartments. What all do you guys consider when building? Any thoughts or opinions? I know this is not an easy one. It is in Southern Indiana. Renting isn't a problem around here by the way, made it sound like a building would fail but I've never had trouble and neither has my mom or aunt. So not too worried about a complex.

I'll be honest, that was my plan all along. But I have a dog that is rough around the edges, due to abuse before I rescued her. I put a nice privacy fence up at my current house so that I could not have to worry about it. Dumb reason, but that's it. Its a small but nice little house that I think wouldn't rent as well as I originally thought. Still needs a bit of wiring redone, only one room left. 

Was wondering how hard it'd be to just leave one unit empty and say it's my primary residence. Stay there occasionally and rehab it for a year. But the legality of that worries me a little. The apartments are not bad but could use some updating.

I am interested. Part of my 1 year goals are to get out of my comfort zone and talk to new people. I'll try to be there, need to read your post again for details. I'll send you a message or something. Will there be any professionals or just newbies?

 I know the conversion you're talking about. Could be a good one. But just seems like there could be a lot of work right off. It'd be a good one in a few years personally I think. I know that the large manufacturing facility should be doing more jobs if the articles in the paper are any indication with the new lone investments. That particular building is only a mile or so from there. Few different types of opportunities for employment for motivated individuals. 

I'd like a multifamily here to get some cash flowing and then expand into different locations nearby with smaller SFH that require a little work I can do myself. Going to look into owner financing I think.

Hey BP,

My name is John. I graduated from Purdue, Boiler Up!, 2 years ago and work in Southern Indiana just a little South of Bloomington. I am 25 years old and recently started working for a larger corporation which came with a raise. My mother has always had rental properties while I was growing up so have a little experience there from that. When I graduated she sold me a smaller house that I now rent. I also own another house that I am currently living in. Really looking to hit the market harder but having a hard time learning more of the ins and outs and finding a proper deal. While I am better about saving my money than friends it has not grown quick enough to allow me to put 20% down on a house every year like I'd prefer. There are a lot of resources on here so hoping to learn and network with other individuals. Would like to find a mentor that would be willing to help me out a little bit with the ropes. While my mom is a good resource I think there might be better resources when it comes to finding a good deal, which is my main concern.

1 Year Goals

My goal for the next year is to find another deal. It has been a year since I bought a house and I think that I can take on a new property. I'd prefer a multifamily home but not one to live in so the 20% is hard to come up with. Looking at a partnership deal with my mom on a 4 unit. I'd also like to do networking to meet like minded individuals. Another goal is find a mentor with 20 units or more that is willing to help show me the ropes. Obviously I am not looking here but locally for events to meet such an individual.

3 Year Goals

For the next 3 years I'd like to be in the range of owning 7 units. I'd really like to use the money from those units to pay for at least one of those properties and have it free and clear, preferably more.

10 Year Goals

At the 10 year mark, 12 years after graduating college, I'd like to own between 20-30 units. 

My primary areas of interest are investing in Bedford Indiana, primarily because of cost of initial investment, and Bloomington Indiana.