All Forum Posts by: Justin Thorpe

Thanks for sharing your experience. I am curious on why you think everyone will like an ADU. I think there will definitely be investment minded folks but most folks would prefer privacy and a distance between themselves and their tenants. I agree with the rest of the points on remote/hybrid work, increasing cost of construction etc.

LOL! This is hilarious. Clickbait. 

@SURESH KANNAN

Hire a leasing agent, they will charge a one time fee but it’s well worth the investment. They will charge a percent of first month rent. Typically 50%. That is about 4% of annual rent collected.

Hi and welcome to the world of RE investing. At your life stage as such nothing should stop you from investing BUT I would caution on who and how you give money to. There are many out there who would love to jump at your hard earned money. Often the masquerade as "gurus". Be wary of them.  The last thing you want to be part of is any shady investment scam. As long as you can screen those types and keep yourself informed and agile, you will be ok. 

Yes I think the office conversions are coming and wall street is a great template for what is to come. Office space will shrink in the near term but cities wont. Cities will be raging. I think we will start to see a stampede of young people wanting to come back to big cities and them coming back to good jobs, better rents and living situations and a vibrant social life. 

NYC will indeed rise like a phoenix. The green shoots are already visible. Several companies have started to send office opening memos in the past 4 weeks. Almost all are urging a hybrid work environment. The question is how quickly will all that unfold. Unfortunately this also signals beginning of the end of the "urban flight" and all the big bets people were taking on hopes of  "'forever" quarantine trends. Basically quarantine behaviors staying/sticking for the rest of eternity. Stuff like urban flight, migration to the boondocks, migrating to sunshine states etc. Well, the only thing that can keep those trends alive is if the pandemic takes another ugly twist and comes back in rage. But we all know the history of pandemics and how they have been crushed and beaten to pulp by humans in the past. Cant see why this time it will be any different.

I would let the student loans sit, make monthly payments and put the cash in RE. Those loans IMHO are backed by your career and stable earnings. So lets say that is a good enough balance sheet. RE loan will be backed by an RE asset you will purchase, so that will be a good enough balance sheet. 

Best not to intermingle the two. Just make darn sure you also keep some reserves (3 - 6 month emergency funds), are investing towards a 401k and paying for health insurance. I have seen some very bad cases in the post COVID age where the gents and ladies did not have enough insurance coverage but were investors. It did not help their cause in moments of crisis. 

Oh last but the not the least, DO NOT give your money to anyone who tells you they will 'mentor' 'coach' you. There are too many elements like that in this day and age. So watch out for those types. 

Hmm. Lets flip the problem another way. IF NY cut tax rates would that cause a mass migration in to NYC? My guess is not. The rich will figure out many innovative ways to avoid paying extra taxes. Some firms are certainly moving non-core back office jobs out of the city, but it would be awesome to know why new age companies that really have massive market valuations (MFAANGS) and other innovative tech startups are investing heavily in NYC RE? 

@Jamiil Torres

Sounds good. Just a couple of things. Keep learning and reading but don’t give anyone any money. There will be plenty of people who will line up in the form of “gurus” and sell you a course or two or more claiming to turn you into a RE pro. You are a perfect market for them. Be careful.

Second, not sure school can be a distraction, it can be only if you want it to be. Again plenty of gurus will tell you college is a waste of time etc. For that spend some time with decently placed people in major corporations like Google, top law firms etc and ask their opinion. Especially talk to the immigrants that came to this country with nothing but their dream to pursue a STEM or Business or law degree. For sure they are not going to ask you for your money when they give you advice. Good luck.

@Cody Duval

If you are watching these “gurus” who are teaching you how to get rich by doing very little, just know they are sitting on top of the most profitable and high margin business in the world which is preaching for a massive fee and hooking in the young, foolish and naive. The guru business is massive and growing. My brother has lost millions of dollars in real business bf now pays his pays as a guru. The only business he could sustain given his business practices.

I’d advise not following them but if nature forces your hand just becoming them. That will get you richer faster the only thing you will lose is your soul. So figure out what your guru product is. If this guru is telling you it’s 1000. Can you undercut this guy and launch your own guru business with a 500 dollar preach product. In the end I don’t have a gripe against gurus. It’s a 50 - 50 split between the gurus who preach and the people who follow them. If people were smart enough to call BS, guru won’t exist.