All Forum Posts by: Lou F.

@Spencer Wardwell

Los Angeles, spare bedrooms, 600K? Are you in the Valley?

100k is a nice chunk of change to have at your disposal. I'm in a similar situation as you but at 45k liquid/ ~65k (and growing) in non-RE passive investments that have been performing well. Have you considered doing partial RE and putting rest in more diverse funds? You might already be doing this so if you have 100K in pure gambling money, then that's a good entry-point for So Cal real estate. Why not keep your money here and partner up for a flip or go into a lower-tier area with strong rental numbers? 

@Ashley Benning I have found potential partners through local real-estate seminars and on meetup.com. Unfortunately, not everyone has the capital and credit needed to fund a downpayment or secure a HML loan.

From what it sounds like, you want to put together an investment group and handle the management. This is enticing to a lot of passive investors who want to put their money to work but not be directly involved. The main obstacle is finding qualified individuals who are ready to act, like you've already touched on. 

Admittedly, I haven't had much success in finding investors (not at the level I'm aiming for), which is why I'm willing to pool resources and form a partnership. If this is something that interests you, we should definitely discuss it via PM. Feel free to message me whenever!

I was in  a similar situation until very recently, even down to the loan amount and my savings. I owed $17,800 and had 13k in savings. I decided pay 10,800, keep 2k for general expenses, and pay off the remaining 7k over 12months. I ended up saving over 5K in interest and most importantly, a huge burden is off my shoulders. 

@Rod Stanback

Not sure why my previous reply didn't properly mention you. Anyway, thanks for the reply and do you have any specific  areas that you recommend researching and looking into? 

@Rod Stanback 

Thanks for the reply! I will add Philly to my search list. Any specific areas or neighborhoods that you recommend looking into? 

Hello everyone I'm new here and from Southern California (Long Beach area). 

I'll get right to it: I've got some funds sitting in a savings account and I'm looking to get into something more worthwhile. The problem is that 40-45K doesn't go too far in Southern California, unless I'm partnered up or looking to buy undeveloped land. Of course, I'm gravitating towards partnering up and have met some people with interesting proposals but I wanted to reach out to a bigger community for some input. 

I will outline a few of my options that I have considered and am open for any feedback: 

1. Take my money out-of-state. I'm aware that some opportunities may still exist in TN, OH, FL, IN and that there are emerging opportunities in some expanding cities. I'd be interested in multi-family so if anyone has some input, I'd love to hear it.

2. Stay local, partner up, and do a flip/rehab. I've been involved in a few flips doing demo, but not as an investor. I would be open to this but lack partners with funds. With the right partnership, I'd consider HML loans and being an active participant in the process. I like risk, so this appeals to me.

3. Buy myself a "starter-home" in an ok area with an FHA and do a house hack. I would be looking for something sub-400k so the pickings are very slim in So Cal.

Anyone with experience in these areas willing to illustrate/explain the pros and cons? All feedback is greatly appreciated. 

Thank you, 

Lou