All Forum Posts by: Justin R.

Many licenses real estate careers now mandate degrees. It really depends on the field you plan to enter, and the drive you have. Could you be much more successful at an early age by dropping out, yes. Could dropping out be a lifelong mistake, yes. This is a question only you can answer. 

Robert is a very smart man and has affected millions of investors for the better. He is intelligent enough to know he doesn't have a crystal ball, but his concepts will sell books and maintain his relevancy. His intelligence is only challenged by his ego. 

Talk with an attorney that knows YOUR specific situation. Like everyone else mentioned, you will most likely want a shell company to be the face of your business, and do all the quick work (Flips, wholesaling, business cards, leads, etc.) Keep those long term rentals separate and safe. Most likely a series LLC, but its really worth a visit with an attorney as no two investors are in the safe exact situation.

I would highly recommend Stessa. It is a software program designed just for Rental property accounting and can be found at Stessa.com (free.)

By the time I found out about Stessa I was already overgrown and had to resort to QBO. Stessa is much cleaner, easier, and more well designed for real estate than Quickbooks.

If you outgrow Stessa one day you may have to move to Quickbooks simply because that is what so many others (bookkeepers, accountants, etc) are embedded with.

I highly feel there would be a great potential market for better real estate owners software. The other systems out there are catering to property management.

Thank you for the recomendation! I will reach out to them as well

Thanks @Charles Seamon! I have a inquiry in to Arbor. My only other experience with apartment agency debt was Wells Fargo and it was rough! My Credit Union has been great for 10 yr terms but I would love to lock in something longer term with a new acquisition!

Who is your favorite Fannie Mae/Freddie Mac apartment lender?

Im looking for long term debt on a property that meets Fannie/Freddie apartment guidelines. My "go-to" lender is not an option on this property due to membership issues with my partner. Thanks for any input and references!

You need to create a demand for that sole property. What do the tenants in that micro area want? 

Is it a family area that tenants would want a family room/play room? Is it a college area, if so you would benefit from adding bedrooms to sublease. Are you paying the utilities, if so install energy efficient appliances/LED/low flow water spiciest. Is it in a high end area where the tenants demand granite/quartz and high end flooring, or is a working class area that is happy with a new coat of paint?

A couple of things I ALWAYS do is...

-Ensure it is safe (electrical updated/grounded)

-Install new LVT flooring. Even if its a blue collar area that doesn't demand this, it will still give a premium on rent price and lower your capital expenditures over time due to its durability.

-Paint (or a minimum heavy touch up). Everyone wants to feel like they are the first ones to live in a space, and this creates that feel/smell.

As far as cashing out, that appraisal will be based upon like kind homes. They will figure a average cost per sq ft around your local area, and then compare your house to those. If your house has been newly updated it will be on the high side, if its run down it will be on the lower side of the comp average. The bed/bath count can also contribute to an increased appraisal if you are able to create such out of the existing space, or do a add on.

Hope this helps!

@Trevor Lowe Run the numbers and ensure you include your HELOC payments into your debt service. With that being said, your goal should be to get that HELOC back out through refinancing (like you mentioned.)

Also, since you are planning on refinancing, go with an initial loan that has low closing costs, and zero early payoff penalty.

Your on it! Best of luck!