All Forum Posts by: KB Bergeron

Kel S,

I had the same question about the LLC....because I thought the whole reason to set it up was for protection against lawsuits and the like.

Nationwide, how does having a large equity position put me at risk??

We have very similar situations and thought processes as far as debt, buy/hold, and retirement. I was probably wrong in thinking this, but I was thinking if I paid the mortgages off, I would have a larger percentage of income per house....to supplement my retirement. (when that time comes) The alternate views help me to see things another way and I think in the end will help me to make a more informed decsion on which technique I will use......if not both!

Thanks for the info Rich,
That's what I was thinking form the start.... "Do Both"..., but i guess it depends on the variables you listed...basically your investment style and goals. I can definitely see the benifits of doing both! Thanks for the alternate view.

Thanks Nationwide and Mike,

OK, so to put this in my own word so I can understand: Applying the 50% rule to a property allows me to look at the sellers asking price and say "this asking price will allow me to cashflow $100 or more"....or " I need to make a lower offer than the asking price b/c a lower accepted offer will allow me to cashflow $100 or more"...... (being that operating expenses are 45%-50% in the US).......correct right??

This information is priceless! You guys are Awesome!

(nice bike Mike)

Thanks for clearing that up for me Christian,
So once I find a prospect, I use the 50% rule.....once the property passes this analysis, (walkthru) how/where do I get more detailed numbers in order to get a more accurate analysis? Are the tax docs located at the courthouse? Are they used to get a more accurate estimate of total cost?

(Is this all in a thread i haven't read yet?)

: ) ..... Gotcha!!

Thanks Josh,
My assignment for tonight is to get spun-up on the 50% rule and peruse the landlording forums..

Correct me if I'm wrong, but the most demanding part of REI is finding the deal??

Thanks for all your help guys!!!!!!!

Mike,
Is it really that easy to calculate if a deal is good or not??

Thanks for the details Mike,
It really paints a clearer picture. As much as I "don't" want to sell them, I feel that you are right on the mark (+) if i get my money back....I haven't really lost anything except Time. Big pill to swallow! Thank you!

Thanks for chiming-in Josh,
I guess that's the way I was tracking/thinking....just needed confirmation. I definitely learned a valuable lesson with the first 2, but will take my time and read the numbers in order to make decisions in the near future. I guess my biggest priority now is to find these deals in ND. Looking at different websites (realtor.com, yahoo realestate, frontdoor.com, etc.) doesn't look too promising in the ND area i'll be moving to. Must find other sources! Thx!

Thanks Nationwide,
I think because of the area the house is located in.....it may be a challenge to get it sold at retail, but I will definitely look into a wrap mtg a little more.

Any advice on purchasing an owner occupied then converting to a rental in say 3yrs? Would the process be different from reading the numbers and using the 50% rule??

Thanks for your help!