All Forum Posts by: Kyle J. Cooper

Thank you @Nik Corbaxhi for helping to see both sides of the coin. Very wise to take a step back and keep an open mind, and to each their own! I believe it goes back to that concept of there being multiple paths to reach your destination. As I look to my own circumstance, I realize that my situation could be very different from someone just starting out compared to someone with a few years of knowledge and networking but hasn't yet taken that leap forwards. Speaking directly to both situations I think is very important though. 

Thanks for the response @Todd Rasmussen that's so true. I'd say 99.9% of the people I work with know nothing about REI, let alone turning Earned Income into Passive/Portfolio Income. I say this because that 0.1% is the person who I haven't had the conversation with yet! To your point, I think once I start to accumulate some cash-flowing investment properties, as I continue to work my W-2 earned income to help fund these projects, then I can take another step back and assess the situation to determine the wisest step moving forward. This is difficult and easy to lose patience especially when certain people like myself get so fired up learning and studying REI! Thanks again for advice!

Thanks @Russell Brazil that is currently very close to my current income, but also my sole source of income. Maybe it would be wise to gain a cash-flowing property(or two) before making the leap towards real estate full time. Lots to think about, thanks for the response!

Thank you @Jonathan Greene I currently work on average about 80 hrs per week so time is somewhat limited, but I wont let that stop me! Thinking ahead I'm sure I will continue for another year earning as much as I can while continuing to learn. Some may consider this inaction, but I believe it to be the wise decision given the circumstance.

I've been thinking a lot lately(I hate when I do that!) and curious what some of you might say, so here goes nothing!

I've been considering giving up my non RE related income and potentially taking a Marketing position with a multi-family investing firm. This scares me and yet excites me at the same time, bc I understand the power of absorbing real world experience, compared to just reading books, listening to podcasts, and staying active on BP! But I'll be honest, I have some reservations.

As with all things there are pros and cons. The upside to making this shift in my opinion is again the experience in marketing, engaging with customers(buyers/sellers), and surrounding myself with other like minded people.

The downside is, at a starting position in a marketing department, I'd be lucky to earn half(or maybe even less than half) of my current income! I virtually have zero consumer debt and would still be able to maintain my current lifestyle with that big of a pay cut.

Another concern I have is how it could potentially affect my attractiveness to lenders. Right now my debt to income is great paired with excellent credit, and I plan to use that to aquire some buy and hold investment properties in the future.

All things being equal, I'd much rather gain the knowledge and experience to help push me much further into the future, but I'm just not sure if it would be the wisest decision at this time. Should I just be patient, keep educating myself, and keep stacking as much money as I can for another year? Or should I take the leap and go all in!?

Any advice or suggestions? Also, let's connect, especially if anyone is in the same or similar situation! Much love BP family!

@Ricky Vasquez

I was in her same position just 5 years ago before taking responsibility for my own situation. I also come from a household similar to the one you mentioned. We always had food on the table, but the topic of money was a big 'no-no', later come to find out that we were just like so many other families out there just trying to 'Keep Up With The Joneses'.

As for your sister, she's young, and I would think could be more of a visual learner. I would try getting her to listen to some audiobooks to start out(Audible is a fantastic app), or even find some videos on YouTube for her to watch that teach her the basics of money, budgeting, paying down debt, saving money, and just getting on a plan! (Especially the difference between an Asset and a Liability)

I wasn't much of a reader for most of my younger years, come to think of it, I absolutely hated school and the required reading we had to do. But as Ive matured, I realize the power of being a life long learner. I think it was one of Dave Ramsey's books that helped me starting out(The Total Money Makeover), especially when it came to paying down debt. Though I disagree with some of his opinions on investing, I still think his criteria is a fantastic starting point for just about anyone! Get on a written budget, follow the baby steps, and have a plan! All of this isn't rocket science, it should be simple, so try and express that to her. I sometimes forget to take my own advice!

Best of luck!

When House Hacking a four unit complex:

Prior to closing should I screen all the current tenants to see how close/far off they are from my standard evaluation? Should this be part of your research from the start, to mitigate eviction?

Raise rent immediately to reflect average rent rates or increase over time?

Any strategies for small/intermediate rehabbing while tenants are currently living in these units?

Thanks for the knowledge everyone. I hope to connect with many of you and provide some value wherever I can, especially by asking the right questions!

@Todd Powell I think that's the way I'm leaning towards, thanks! Should I include a property manager if the numbers work or self manage to gain some needed experience? Maybe stack that management fee as cash reserves as well?

I'm in Dallas, TX and I work in the Oil & Gas industry. Seeking my first deal so I'm currently educating myself while taking care of my personal finances.

My last loan is about 4% interest rate. I should be able to pay it off by the 1st of the year so I'm not super worried about it, but moving forward wondering if I should just keep stacking cash for a down payment on a good 3-4 unit. Having my living expenses and payments at a very low level will allow me to get to that number very quickly. Would you suggest living in this property as a house hack, to make living expenses even lower, or should i just rent out every unit to maximize cash flow? My end goal with RE is to replace my current income and allow more freedom for myself and my future family.

@Todd Powell 

@Todd Powell thanks for the advice!

At the tail end of my student loans, which outside of a small CC is my only consumer debt (less than 15K). My income is high enough to qualify for competitive financing on a 3-4 unit house hack, but just curious what would be the wisest route, moving forward!