All Forum Posts by: Kamil Baldyga

Hey Darvin! For my portfolio I like to have 5K in reserves per property. The idea being that there is safety in numbers. I do continue to set aside a little bit each month after the 5K in reserves for proactive inspections and updates/repairs. I like to address small problems before they become big problems. Hope this helps!

Hey Sarah! There is no calculator / ability to predict appreciation in a city, at least as far as I know. Appreciation is more of a "cherry on top" thing when real estate investing. Usually 2-3% is what investors anticipate, anything more is a bonus. Obviously its much more in the last couple years but it would be ill advised to invest based on appreciation. Hope this helps!

Hey Kares! There is absolutely nothing wrong with earned income. I know general investor mentality is to avoid it at all costs. But if it helps you reach your goals, who cares? As far as door to door sales job, it would be a good opportunity to get face to face with people to advertise your investing business as well, however I don't think there would be a high conversion rate. My thoughts are that people tend to be wary of anyone trying to sell them anything. I think a more effective way of advertising would be to just put it out into the universe (social media, go to meet ups, telling your friends, etc.) Pretty much every conversation you have should include the fact that you invest. Opportunities will come of this organically. Just my thoughts, hope this helps!

Hey Chris! You should look into any real estate investor meet ups in your area. These are a great way to gain knowledge and make connections. Even if there are none, it's as easy as calling local property managers (they will help you get renters in the property) and starting a dialogue. Same goes for contractors. There will always be a million reasons as to why someone shouldn't invest. At the end of the day they're just excuses. Investors can win in any market. Just my thoughts on the matter, hope this helps!

Hey Shiv! So it is pretty unlikely that you will find an agent willing to take a commission in the 1-3% range. Reason being is the seller agent ends up splitting commission with the buyer agent. Hence why you normally see commissions in the 6-7% range. It's even more unlikely an investor friendly agent will accept that since they typically bring much more value to the table. Not sure what your plans are but if money is tight FSBO may be the way to go. Hope this helps!

Hey William! You can use just one for all of them. Unless each property is in its own separate LLC, in which case each LLC/property would need its own checking account to keep the books and taxes clean. Hope this helps!

Hey Kevin! So the primary purpose of an LLC is liability protection. If the property is in your name and someone decides to sue for whatever reason they can sue for everything tied to your name (bank accounts, retirement accounts, personal residence, etc). If the property is in an LLC it adds a layer of protection as they would sue only things tied to the LLC and not everything tied to you. Keep in mind it doesn't make you 100% impervious from being sued personally but it adds a layer of protection they would need to fight through. Hope this helps, let me know if you have any questions!

Hey Danny! In regards to whether or not you should sell your property or rent it out just depends on what the numbers are telling you. Specifically the return on investment (ROI). I would say that if you could get an ROI of +8% (or whatever your personal criteria is) I would keep it. I'm a Army vet myself and the VA is amazing because it allows you to purchase a property with no money down and only pay closing costs. Making a desirable ROI easy to obtain. I would consider selling it only if I was confident I could get a better performing property elsewhere. But keep in mind, the market is difficult for buyers, and even more so for buyers utilizing the VA loan. Finding a distressed property to repair and build in equity is becoming increasingly difficult, plus the VA loan won't allow you for purchase a distressed property as it is a meant for a "ready to live-in" primary residence. To sum it up, run the numbers and keep in mind that property acquisition is difficult right now. Hope this helps, let me know if you have any questions!

Hey Chris! The credit thing is odd, it could be that one of the credit companies has an error. I would ask the tenant about it and see what he knows. As far as the bank statements I would just ask him if he could email you the pdf bank statements online. Hope this helps!

Hey Hugo! So when it comes to seller financing it usually isn't openly advertised. Sometimes on the MLS it will mention in the agent remarks that the seller is willing to negotiate seller financing but that is RARE. Reason being is most people don't know that's an option. If you're wanting to acquire properties via seller financing, networking is going to be your best bet. Put it out into the world that that is what you're looking for and maybe something will come back to you. Your next best course of action would be to get in touch with the sellers of the properties and simply ask if they're open to the idea. Be prepared to explain what it is, why it's legitimate, and why it is a win-win situation for the two of you. Like I said, most people don't know this is an option so they need to be educated on the matter to the point where they are comfortable enough to agree to it. Hope this helps!