All Forum Posts by: Kevin Zh
Kevin Zh has started 3 posts and replied 7 times.
Post: Planning to start investing in Detroit - any one use Upside investments?
- Investor
- Posts 7
- Votes 4
Post: Is there any downsides to pulling out more cash than you paid in delayed finance
- Investor
- Posts 7
- Votes 4
Quote from @Alan Lacey:
Quote from @Kevin Zh:
I recently bought a property with cash and the appraised value came back at double the price I paid. At this point, the bank can loan me all the money I paid and then some.
At the price I paid, rent to value ratio was 1.4%. At the appraised value, this ratio goes down to .7%. So if I take out the max cash for the loan, the home wouldn't cash flow per month anymore.
I'm trying to see if it still makes sense to take out the max cash though. The bank is basically giving me money I didn't have before, so worst case I could use that money to pay the difference between rent and monthly payments.
I plan to re-invest the money into more real estate, S&P 500 and having some money incase of repairs/rehab.
On the other hand, I want to make sure I'm taking into consideration worst case possibilities and not screwing myself by taking out more money than I really need / I
If you are doing conventional delayed financing you can not take out more than you invested. If free and clear you can wait 6 months and then just do a cash out refi however.
Ah this makes a lot of sense. Ok that makes this choice easy then, thanks!
Post: Is there any downsides to pulling out more cash than you paid in delayed finance
- Investor
- Posts 7
- Votes 4
I recently bought a property with cash and the appraised value came back at double the price I paid. At this point, the bank can loan me all the money I paid and then some.
At the price I paid, rent to value ratio was 1.4%. At the appraised value, this ratio goes down to .7%. So if I take out the max cash for the loan, the home wouldn't cash flow per month anymore.
I'm trying to see if it still makes sense to take out the max cash though. The bank is basically giving me money I didn't have before, so worst case I could use that money to pay the difference between rent and monthly payments.
I plan to re-invest the money into more real estate, S&P 500 and having some money incase of repairs/rehab.
On the other hand, I want to make sure I'm taking into consideration worst case possibilities and not screwing myself by taking out more money than I really need / I paid for.
Post: Finding deals - do you solely rely on realtor or look for deals yourself?
- Investor
- Posts 7
- Votes 4
Quote from @Sam McCormack:
Quote from @Kevin Zh:
tl;dr: realtor only seems to only respond for deals he sends now. Is this normal or should I look for new more communicative realtor?
I'm a new long distance investor based on the east coast with one SFH in the midwest. So far I've only really worked with one realtor and one team so bear with me if this is a noob question.
The team I work with has a email list for investors where they send deals, but lately they've been drying up. Due to this, I've been taking a look on zillow here and there. Here's the things I verify quickly:
- - price/rent ratio based on estimated rent on rentcast
- - crime heatmap
- - general research of the area
If those check out and I feel I can cash flow, I then email my realtor to get his thoughts on neighborhood, etc.... My thinking is I'd get his opinion and if neighborhood checks out in his mind I'd verify rent with my PM and go into contract.
My realtor was much more responsive a year ago, but now seems to only reply to listings they send out to the investors email list.
My question is, am I not doing enough due diligence on the properties before sending it to the realtor and maybe they're not good deals or do most realtors only trust what they find for you? Or is my realtor just bad at communication and I should find a new one. I've emailed my realtor clarifying what he prefers too because last year it seemed like he welcomed me finding deals that I felt were good as well.
You said last year, is it because he stopped taking you seriously because you are taking so long? I am just asking because it would make sense. Mot investors forget that agents have a limited time to do this too, so maybe after a bit he "gave up on you", in a sense. Have you shot him properties recently telling him you like them? That is normally people get to the top of my list, is if they send me something they like, all realtors love that. Let me know!
Post: Finding deals - do you solely rely on realtor or look for deals yourself?
- Investor
- Posts 7
- Votes 4
Quote from @Bob S.:
Quote from @Kevin Zh:
tl;dr: realtor only seems to only respond for deals he sends now. Is this normal or should I look for new more communicative realtor?
I'm a new long distance investor based on the east coast with one SFH in the midwest. So far I've only really worked with one realtor and one team so bear with me if this is a noob question.
The team I work with has a email list for investors where they send deals, but lately they've been drying up. Due to this, I've been taking a look on zillow here and there. Here's the things I verify quickly:
- - price/rent ratio based on estimated rent on rentcast
- - crime heatmap
- - general research of the area
If those check out and I feel I can cash flow, I then email my realtor to get his thoughts on neighborhood, etc.... My thinking is I'd get his opinion and if neighborhood checks out in his mind I'd verify rent with my PM and go into contract.
My realtor was much more responsive a year ago, but now seems to only reply to listings they send out to the investors email list.
My question is, am I not doing enough due diligence on the properties before sending it to the realtor and maybe they're not good deals or do most realtors only trust what they find for you? Or is my realtor just bad at communication and I should find a new one. I've emailed my realtor clarifying what he prefers too because last year it seemed like he welcomed me finding deals that I felt were good as well.
Realtor NEVER, ok maybe once or twice 10 years ago for maybe 5 deals. Since than I have done more than 500 deals, ( all cash purchases ) nothing I have not done. ALL off market, no realtor involved. I can get as many as I want. Its all about your network and knowledge. You are working much to hard. Impossible to do it all over the internet. All you need to do is connect with those doing deals vs researching on the internet.
All the best
Who did you connect with to do deals by yourself vs through a realtor out of curiosity?
Post: Finding deals - do you solely rely on realtor or look for deals yourself?
- Investor
- Posts 7
- Votes 4
tl;dr: realtor only seems to only respond for deals he sends now. Is this normal or should I look for new more communicative realtor?
I'm a new long distance investor based on the east coast with one SFH in the midwest. So far I've only really worked with one realtor and one team so bear with me if this is a noob question.
The team I work with has a email list for investors where they send deals, but lately they've been drying up. Due to this, I've been taking a look on zillow here and there. Here's the things I verify quickly:
- - price/rent ratio based on estimated rent on rentcast
- - crime heatmap
- - general research of the area
If those check out and I feel I can cash flow, I then email my realtor to get his thoughts on neighborhood, etc.... My thinking is I'd get his opinion and if neighborhood checks out in his mind I'd verify rent with my PM and go into contract.
My realtor was much more responsive a year ago, but now seems to only reply to listings they send out to the investors email list.
My question is, am I not doing enough due diligence on the properties before sending it to the realtor and maybe they're not good deals or do most realtors only trust what they find for you? Or is my realtor just bad at communication and I should find a new one. I've emailed my realtor clarifying what he prefers too because last year it seemed like he welcomed me finding deals that I felt were good as well.
Post: Anyone have experience with rental properties in China?
- Investor
- Posts 7
- Votes 4
Hi,
A quick intro since I've mostly been a lurker (but have my own rental property here since I got into BP last year!). I'm in the US and bought and rented out my first property in the US.
Now some of my family already has properties in China that are not being used, and as a real estate investor I can't help but wonder why we don't rent them out or do something with them. Their answer was that Chinese PM companies are not like US ones and the owners have to be pretty hands on.
I did some research on Google but really couldn't find any info. So I wanted to turn to this community. Does anyone have a rental property in China? Is there any management companies recommended? Specifically I'm looking in Wuhan.
Thanks!