All Forum Posts by: Justin Hannah

@Bryan Swift have you ever thought about putting money into any syndications? maybe take some of your equity out and put into a good passive deal.  there is deals to find in boise especially if your going to have to pay for a place for your daughter to live anyways.  syndication is just an idea.  i recently just put into one with ashcroft capital and its pretty good returns for being totally passive. i just did a podcast with a couple people who are full time passive investors and making good cash flow. 

@Hugo Hernandez what types of properties are you buying in Boise?  I have bought single family in the valley and i currently have 3 4 units properties out in Mountain Home.

Well at least your on the forums! So im not sure you will be finding any Denver deals on BP but what you should do is start learning how to analyze properties, find the properties, and what the process will be to buy one.  Id say first off contact some agents in the area and tell them what you are looking for.  This way you can at least see the price range that you are working with.  i know denver is pretty expensive and people are having a hard time making it work.  Not saying you cant, i just had a couple on my podcast from the Springs and they are making good cash flow there.  once you learn more id say the best way would be to find off market deals by calling and mailing owners.  that might be the only way you can cash flow in that market but im sure someone else from denver will chime in.  Hope that helps a little.

i sort of had this situation, my tenant did ask me before hand and i ended up saying it was fine.  i believe i collected a pet deposit at that point.  BUT the only reason i did it with this particular tenant was because he had been there for over a year, paid early, never complained, kept the place very nice and was practically a perfect tenant.  I have been asked by others and said no.  so for you i would ask, how are the tenants? if they are great i would not make too big of a deal of it but do point out to them what the lease states, then i would collect a pet deposit and maybe even have them sign off on the old lease, sign a new one with the pet deposit and a small increase in rent... or something like that.  If they have been a pain i would try to stick to the lease and get them to comply, but that can be a royal pain... 

@Kayla Morgan so i think there is a couple things you can do.  first you could call a local title company and ask them for property info on that specific address. you could also use a tool like the reonomy website and sign up for the free trial which should give yo a certain number of free owner info searches.  the best bet would be to have the address, search it on the county tax assessors website.  you should then be able to find the tax information and the mailing address for the tax records.  once you have that address then you can use a reverse look up like white pages to find their phone number.  try these and let me know how they work! 

hmmm, well 4.5% seems low.  if you brrrr then seems like the cash flow will be slim especially for a single family. one long vacancy or even small repair will wipe out your profits. On the other hand 15k profit flip is like 27% return on that 55k.  im usually a buy and hold guy but id say get the 15k if you can...

@Jay Hinrichs @Wayne Brooks thank you for that, i was not aware.  i guess they are still getting a higher price from me though because im not paying the interest.  thanks!

So recently i have been contacting owners directly in one of my markets, Boise area (whole treasure valley), i have been targeting small multi family 5-24 units.  the thing about this market, like many others now is the fact the the prices are super high and it is difficult to find good deals.  so what i started doing is running numbers three different ways... 

1. the price i can pay with conventional financing, like 25% down 4-5% interest 25yr am ect.  this price is always the lowest. 

2. i run the numbers with owner financing with 10% down 30yr am 10 yr term with 3-4% interest.  this price is a little higher

and 

3. owner financing with 10% down 30yr am 10yr pay BUT with 0% interest.  this price is always way higher so it catches the owners attention way more.  

i think i heard this on one episode and am wondering what you all think about this strategy??

the benefit for the owner is they get the interest up front in the form of higher price and there is also tax advantages with interest income taxed at ordinary income rate as opposed to principal pay down taxed at capital gains rates.

so what am i missing??? i don't really see the down side of offering above market value for a property if i am paying no interest and my cash on cash is high. as long as i plan to keep for a long period.

ENLIGHTEN ME ;) THANKS

@Jeff Quinlan this might not be of any help but i am in the Boise market and one thing i have found is that it is harder in some state to find owner information than others.  Idaho being one of the  hardest because of state laws and such.  so i did have a phone call with Reonomy about finding owner data, Idaho information was few and far between, although there was some. On the other hand Arizona was one of the best states for public information and reonomy had contact and property info on everything there.  There are others sites as well like listsource and such, this was just my experience.  hope it helps

hey @Damone Hardy welcome to BP. well i guess you have came to the right place and those are great goals i think everyone should have. thanks for you service too!! i would say as the first basic advice to just start listening to all the podcasts related to REI. listen to not just BP but others as well. then the next is to start taking steps to really learn. first figure out where you want to invest, id say close to wherever you are for your first deal, then identify the type of property you want to buy, single family, duplex, 4 plex ect... then before contacting agents id just look online at properties for sale and use rentometer and apartments.com to get an idea of the rents. do some research for what expected expenses would be and start running numbers on the BP calculators. Run numbers a lot. see what a good price would be and what you need to do to get your desired return. then contact some agents and pic their brain and have them start sending you properties. there is really great info especially in the BP books like long distance real estate investing (this is great even for local investing for finding team and identifying properties) or any others like the ultimate beginners guide. hope this helps. main thing is just take action. it gets easier and easier.