All Forum Posts by: Kevin Cook

Welcome, @Rose Kabu ! REIAs are fantastic ways to connect, as are the Meetup.com sessions throughout the area. If we can assist you in any way, we'd love the opportunity. All the best for a great year!

Congrats, @Mary anne Raymond ! Welcome to BP. We are neighbors! If you ever need to sit down and get some help, we're available when and if you need us. Tampa is a great market to begin from, and many smaller markets are within reach of the Bay Area.

Do you have an idea of how you wish to begin, or do you simply have a goal to reach? If you need help, just ask... there are a bunch of incredible people here ready to assist you.

@Jason Williams  Congratulations on your achievement! Fewer than 15% of families own their homes free and clear... well done!

I would never rent a home due to my need to defer liability (all other expenses of ownership) to the tenant, but most would contend that free and clear property in an appreciating market is attractive at much less than I would suggest that you consider a long term lease (3-5 years) with an option to sell at market price (your desired price) during the lease term. As it stands you have an asset free and clear that could provide you with income and tax advantages... don't sell it unless you need to.

The other issue may be... what would you do with the cash? If you already have a plan and it fits your goals, you can always sell and keep moving forward.

The above is a very general statement based on my experience and philosophy. There is a lot more wisdom here than mine. The best to you both as you step into uncharted territory; it sounds like fun!

@Aaron T. , While I hope you had luck in finding immediate money, the lure of hard money is that they can do miracles in the clutch. Do you have a workable plan with contingencies on this deal, or did it just happen as you were searching? Private money lenders like "Joe" who have some mattress money or "Alice" who has a self-directed IRA with same-day access would be your best sources. Here's the caveat with actual hard money... you must have done your work up front and have been vetted by them as a qualified borrower, as they have investors to answer to and underwriters who are keeping their activities within guidelines we may or may not understand. Figure as a rule about 10-15 business days for a first-time loan and 5-7 days for a repeat loan should you remain in good standing. Further, you must know what the lender considers a viable deal - and be willing to pay for the appraisals and exploratory costs associated with your first deal with most lenders. Once you have a relationship, you usually are great when deals happen in your lap. Hope this helps. All the best to you this coming year!

Welcome to Tampa, @Mary Ann ! BP is a fantastic place to start. You may find some interest through listings on places like cityfeet.com, but I'd visit with some area commercial brokers and/or property management companies to get their take on the mixed use projects. You may find a relatable model here or in the Orlando area you can either emulate or modify to your specific ideas. All the best as you get back at it in a new area code! 

Sorry, @Jeremy Fields ... never have done that.

It has often been said by psychologists, consumer behavior experts and leaders that people remember first impressions, final impressions and traumatic events above everything else. As a pastor officiating weddings and funerals I have seen the worst of transgressions erased by a death in the family or act of generosity. It's a strange phenomenon but a great thing. Essentially, we should always remember that the business we are in involves people, and knowing people can help you finish well.

You may have an arms length approach to your business. You may never directly engage with tenants or management companies... but you can appreciate them from anywhere. If I have learned anything along the way, it is that the world is much smaller than we think it is! Do your best to make the quality of the relationships you have as positive as they can be. You'll be happier, and the affects of your effort will create future success.

I will never forget the bank officer that called my commercial and residential investment notes in July of 2009. Like so many other small lenders, heavy risk grew as my vacancy rates went up, and the bank sought debt protection. I lost my entire portfolio that year but learned a valuable lesson... when he called me Christmas Eve. He talked to me for about 30 minutes, asking me about my family and business situation. He shared how his business had changed and that he lost a lot of friends and family through the year because of his position at the bank. He then explained how I could qualify to work with him again and even offered a few pointers on how we could work together to protect my future business before wishing me a Merry Christmas.

Did I go back to that bank? No way (had he been the President of the bank I may have). Did I accept all of his statements? Certainly not. Did I think about him differently after that day? Absolutely! He privately funded my next three fix and flips.

Merry Christmas to each of you, and Happy New Year! Celebrate. Enjoy some reflection. By all means... finish well this year; your efforts to finish could be someone else's start!

Glad to help!

You can do plenty of research online regarding bank guarantees and/or stand by letters of credit, both recourse and non recourse LOCs. These are credit instruments that allow you to make a lease payment in exchange for monetization of these instruments in trade transactions. for example, I may be able to "lease" $100,000 line of credit for 3.5 percent of its face value, or $3,500 dollars. There are often additional fees for using them regularly. Typically, I can use these for a year and a day. The profit from these transactions can be used to fund real estate or other business activities. A certificate of deposit in a bank right now will net you 2 percent a year; our methods have generated returns exceeding a hundred percent within 90 days.

And yes, there are a number of rules regarding how there used, when they are used, who is licensed and qualified to monetize these instruments, etc. I can tell you that fewer than 5% of investors will ever use these instruments because they are complicated and not all banks will monetize them. For those who understand this method and can enter a platform in this manner, there is no better way to secure real estate.

Should you ever be interested further, I can arrange an interview with my attorney who can give you a clear picture of how they work and what is required to get started.

There are parameters, but paper and cash are both transactional commodities.