All Forum Posts by: Jon Nelson

Mo I am going to disagree with Andrew on Palmdale and Lancaster you can still get cash flow properties I know the renters are not the best and it is supported by 1 industry but if you do a little math on California and their minimum wag it will be $15 in 2022 so in 4 years you will a couple making minimum wage both working full time will make $60,000 a year compared to $40,000 that will let them qualify for a house worth $250k that is now priced at $160k and where do you think rents will go. On condos stay away from any that have less than a hundred units if there is a problem they will never recover.

you either need to start a new LLC or start a new LLC owned by the Michigan LLC or get permission from the Florida to use Michigan LLC. If your LLC in Michigan has no assets I would just get one in Florida.

I am currently in a similar situation except for the job thing and I already have 12 properties. my plan is to purchase 8 homes $30,000 down on each they make roughly $500 a month which is $48,000 a year if I apply all of that to the loans they will be paid off in 8 or 9 years. I picked Chicago but looked at Florida, Texas and Cleveland they all were close to the same return.    

I was a investor for 5 years then got my license I help a few friends and get a referral fee on my investments since they are out of state and that works great. The only problem I had was when I wanted to invest here then I could not work with my 2 investor friends since it was a conflick of interest.  

I buy from Mack in Chicago they are one of the big ones the benefit of the big ones they have property management in house for 8 % and they pay all repairs for the first year and guarantee rent for the first year the price is fair not good and return is around 20%. I do buy from some small ones the price is great but no guarantee. So when I started I only used big turn key outfits but now I do 50/50.

when you get back I can sit down with you for a couple hours the best deal is still for wholesaling to build up money and investors are always looking for some one to bring them good deals.

Sonny H. I am working with one now I will let you know how it goes we are in the middle of our first deal

Allie in Portland only rehabs work the math does not work on anything that is ready to go but we have also hit a cap in pricing if you look on Zillow you will see a lot of price reduced.

I am investing in Chicago and use wholesalers to find my properties and some of them do very well. Living in Portland I know it is very competitive here and not as easy to get properties or buyers and I hear that Denver is very competitive also. So if you have a choice of where to go and want to start wholesaling I would go to Chicago.

there are company's that do the legal part for you it was very popular from 2000 to 2008 a web search will find them. You can also do it the opposite way.

JD is correct and to tell you how I use the 1% rule if you can not make the 1% you will probably see the value of the properties go down in the future or rents will go up. When you look at areas that are under 1% you will notice there is a lot of building going on which eventually will bring rents and prices down as supply catches up with demand. There are always exemptions to the rule SF and NY and even there they can not stay exceptions for ever SF rents and prices are down huge year over year. what scares me is it sounds like you want to do the 1%rule but trying to talk your self out of it because you can not find anything that meets it that is almost always a bad idea. Good luck