All Forum Posts by: Marc Winter

I agree with @Kevin Sobilo on all the points he covers. 

However, I'd add that, be thankful to the tenant who brought this to your attention.  Many tenants would just ignore this issue, and we all what happens when water leaks are ignored.

Keep investing and moving forward!

@Aaron Williams, the questions should be: how deep are your pockets? And, how much cash do you want to lose every month?

Unless you can convince the lender to do a seriously low short sale, I'd take a hard pass on your relative's problem.  

With no equity and negative cash flow from the get-go, I'd say if you want a hole to throw money into, get yourself a nice boat.  At least you can enjoy the ride once in a while.

@Ryan Lee

Quick questions:

Are you figuring in your total closing costs and comparing that to the (hopefully) lower total monthly mortgage payment?  

How long will it take for the new payment savings to break even with your closing costs?

Keep investing and moving forward!

@Michael Oconnor yes, it is "legal" for anyone to show a rental property without a license under the following conditions:

Do not speak beyond saying, "Hello, I am only here to open the door.  I cannot answer ANY questions.  You need to speak with the broker/agent for any further details or information."

If you discuss anything else, you will be in peril of violating real estate licensing law.  Stick to that script, and you should be good to go.  Again, discuss NOTHING else.

Also, double-check with your agent/broker for any other laws that might apply in your state.

Good luck.  Keep investing and moving forward.

Based on the last 4 housing crashes I've survived (and lived to talk about), we are teetering on the brink of a major downturn in many geographic areas.  

Those most affected will be in the areas that had the greatest price appreciation over the last 5+ years.  The downturn will eventually spread across the nation, and to a somewhat lesser degree affect those areas that had lower price appreciation.

My timing prediction: the oncoming slow-motion housing crash will become very evident within 6 to 9 months after the first Fed rate cut.  They don't cut rates because they've reached their 'inflation rate' goal; they cut because they finally realize our economy is circling the bowl.  

For the Fed--too little, too late.  For real estate investors--fortunes are made by buying the major housing dips.  

My recommendations:  #1=have some powder.  #2=keep it dry.

Keep investing and moving forward! (Just be a bit patient.)

A request for separate compensation should have vanished when you formed an LLC to purchase, and no mention of a 'fee for service' was mentioned.

Nah, please don't bring up 'you owe me' AFTER the deal is done.

Next time, all this stuff should be spelled out in the agreement to form an LLC, or shared in the LLC percentages of ownership/partnership.

Good luck.

Look at the school district--the higher rated the district, the better for holding value and stickiness of tenants, plus appreciation over time.

Secondly, you'll want to make sure there is a net in-migration of working and professional folks to keep the local economy perking along.

Good luck, keep investing and moving forward! 

It would help us to understand the attainability of your goal if you would mention how many flips you have under your belt already.

Assuming you are experienced, then I'd say move forward, full speed ahead--you can do it.

If you are inexperienced, I would respectfully suggest you change from a $$$-oriented goal to a ### of transactions goal.

Why?

Because if/when one is new to the field, they don't yet know what they don't yet know.  Once the understanding of the complete process is experienced, (and one gets the bumps and bruises to show for it) then it becomes so much easier to plug in dollar goal numbers.

Good luck!!!  Keep investing and moving forward!

I follow the current listings in several areas in SW FL.  Looks like about 50% of listings are taking price reductions.  

An ABNB I stayed in last winter was bought the previous year for $525k, that buyer then put it on the market for $525 less than a year after their purchase--today that asking price was reduced to $450!!!

My perception: with more inventory, price reductions, insurance rates and taxes on a moon-shot trajectory, it's looking like the storm is on the way.

@Will Costello,

Hi Will,

The stats I've seen are showing about 50% of existing listings of homes for sale have price reductions.  

While inventory is tight now, there will be a tsunami of houses and apartments set to hit the market in the next 6--12 months.  

I'd hate to see a new investor walk into that without knowing what's going to hit the fan.

I guess time will tell the measure of the tape.  We'll just keep moving forward as best we can.