All Forum Posts by: Manny Vasquez

 That my friend is all up to you. You should read about them all (but that may take a long time unless you are a fast reader).  In the very least, consume other sources of information, like the different BP Podcasts (last I checked they have over 700 episodes), Real Estate Rookie, etc.  to determine what you will like.  I also want to say that there is nothing wrong with the "Buy & Hold" method....that strategy has worked very, very well, for millions of people throughout history, and if you apply it well, will work wonders for you.

I'll leave you with one more thought:  Do you believe test-driving one car will do the trick or do you believe test-driving multiple vehicles before deciding which one to buy will do the trick?  Lastly, I'm gonna use an old, old cliche here which you have undoubtedly heard before: "You will never know what you like unless you try it."

Real Estate has many, many "winning plays". You can stick to one strategy and be successful. For example, you can LTR, MTR, or STR, you can flip, you can BRRRR, you can house hack OR.......you can combine any of these strategies for an overall winning combination. The problem in mastering 1 book is that you will never know about the other concepts/strategies that can make you successful.

I liken this example to a football team: You CAN be very successful by being just a "running team", or an "aerial team" or even a "defense first" team.  However, you can increase your chances of winning a game by being able to run, throw, kick and play defense very well.

I live in OC but I drive by Santa Clarita all the time.  I just saw this right now, but maybe next month I can join you guys.  Please add me to your list!

Do you have equity in any of the 2 properties in Youngstown? You could try pulling a HELOC on one of the properties and use that money to purchase the SFH.

@Dustin Verley - I apologize for not being clear.  But each agent would get 3%, for a total of 6%.  Then there would remain 4% (minus escrow fees, title fees, transfer taxes, etc.)

@Luis De Jesus - Absolutely! I would consider anything MTR to be less than 12 months (I'm stretching it but that is my limit). If you are close to a hospital, Oil / Chemical Refinery, Armed Forces base, etc....then you can cater to those people (i.e. nurses, refinery workers, military, etc.). Just make sure that whatever MTR lease you sign specifically states that the minimum rental time is 7 months, per your HOA.

To make your place more attractive, you may also consider furnishing the place for MTR and command a higher dollar amount.

@Luis De Jesus - I also agree with @Nathan Gesner's advice. If you are looking at LTR (Long Term Renting) then you would need to drop your rental asking price to about $300-$400 below some of these other "larger properties". However, as you mentioned above, this pricing strategy may put you under water and you will have to come out of pocket just to cover the PITI and HOA.

Since cash-flow seems to be the problem, have you considered converting your property to an MTR or an STR? (Medium or Short Term Rental). Both of these strategies could yield you more $$$, however, they will also be more labor-intensive than an LTR.

Congrats @Russell Brazil!  I most certainly enjoy reading your posts. Even though I've been in the industry for 17 years, I learn something new all the time.  And I've certainly learned a lot from you!  Can't wait to read your next 15,000 posts!

Get pre-approved/pre-qualified with a bank or mortgage lender.  They will help you determine how much you qualify for.  Based on their answer, you can start looking for properties to remodel/rehab in that price range.  You will more than likely be requested to come in with a down payment of some sort.....depending on how you are buying, it could be anywhere from 10%-30%.

I highly recommend to speak with as many banks and mortgage brokers as possible. You don't have to run your credit with each one, rather, ask what programs they have available for investors & GC's like you.  Banks are not all alike.  Some are very strict, some are flexible, and they all have different lending programs.

@Alvaro Rodriguez - The agents would get paid as they normally would.   In this case, the Seller is receiving $$$ from your down payment.  The agents would each get their commissions from the Seller.  It would look like this:

Alvaro's Downpayment --> now belongs to the Seller --> Seller pays agent's commissions.

So, let's say you guys agreed to a 10% downpayment.  If the Seller entered into an Exclusive Listing Agreement with the Listing Agent at say 6% of the sales price, then after paying the commissions, the Seller would have left over 4% from the original downpayment (this example does not consider Escrow, Transfer, and/or Title fees).