All Forum Posts by: Jonathan Oh

@Account Closed

1 and 2 - since you have $20k max, you probably have to look at financing. Also, I would recommend saving up more than $20k. While that can get you a downpayment, you need cash reserves.

3. I think in your situation, turn-key makes the most sense. You have a business you're running and seems like you are very good at it. I think your time is better spent improving/expanding the business than trying to learn and successfully run another business that involves fixing up and renting properties. That btw is very risky to pull off remotely. 

4. This is very location specific. AZ might have less damage from snow/rain, but have higher prices than midwest.

5. I have always been told and believe that if you don't have a ton of assets, no LLC. But verify everything with your cpa

6. With 10-20k, investing apartments are out of question unless you invest in syndications or some other crowdfunding deal. I prefer single-families due to exit strategy. Easier to sell SF vs MF. But this answer depends on your goals and preference.

7. Set investment goals. It's easy to get shiny object syndrome and also analysis paralysis.

@Luke Roberts

Given your lack of free time, definitely not BRRRR especially if you're planning to do it long distance.

@Nathan Asher Robson

Given the current market and assuming its a turnkey, I'd say stay away from it. Like Ali said, you can just use that to put 20-25% down on a much higher quality property. I have seen many colleagues go into properties in lower price range and all of them had trouble with tenants. Some find a way to make it work, but if you wan't to avoid headaches look for something closer to the median price range.

@Dennis Crawford Where do you live and do you want to invest passively or actively? If you want to be active and live in a decent market, learn to BRRRR in your backyard.

If you want to be passive, do turnkey. Keep in mind of the pros and cons to this.

If you want to be active, but live in a cashflowless market (SF, LA, NY, etc.) you can look into BRRRR from distance (very risky) or look for turnkeys first to get your feet wet and then move up to BRRRRing.

@Omar Gonzalez

Pros and cons to both. With syndications the sponsor will take care of everything. Most syndications aim to sell after a certain period. TK you can sell whenever you want, but keep in mind they are meant to be buy and hold plays. So with syndication you will get some cashflow and proceeds at the sale. But if you want to reinvest, you're going to have to find another deal that may yield lower returns if prices continues to rise. If you buy TK in a good area, you'll prob want to keep holding it and reap increase cashflow. You might also have some equity you can tap into later on. Essentially, it comes down to control. I prefer to directly own my investments rather than rely on someone to make decisions for me.

@Rosario Salamone I think you get the gist by reading the comments above. Depends on the area. For example, where I invest in KC, basements are very common. Whether it is a pro or con is again going to depend on the area.

@Cody F.

Assuming you don't live near this property, I recommend a good PM as well. They know the laws and have seen all scenarios.

@Taylor White

Ok. You must be getting decent cashflow on #1 then. Just make sure you have cashflow that you're be comfortable with when the mortgage payment rises from the refi.

@Taylor White

What do both properties currently rent for?

@Ivan Loza

Given your age - #1. You have time on your side so take advantage of today's low interest rates. If you're looking to pay down mortgages eventually, might as well max out the 10 conventional financing and then pay down.