All Forum Posts by: Mark Masiel

I think something else you want to consider is why you are going in all cash on real estate. You could probably do better in other investment vehicles than the 6.5% you are being pitched. However, real estate is special because with even a relatively small amount of cash you can get leverage which adds the dimension that someone else will be paying down your mortgage in addition to providing cash flow.

Congrats! South America is a great place to live though not necessarily cheap. It was when I first lived there 12 years ago but no longer. Cheapest place to retire is probably Florida these days.

I have spent most of my life working as an expat. You are still required to file your tax every year so foreign earned income should be perfectly fine. The real issue is if you have a job when you return. Near impossible to get a traditional loan without income coming in. If you are still working overseas you might want to buy before you leave your job and before you alert your employers that you are leaving.

@jscott posted:

"If I can't make 12% unleveraged return, I have better options for my money. So, I will typically only buy a rental if it will hit the 2% Rule."

In my opinion that above post says it all. If you are planning to buy and hold you need a certain ROI or you should invest in another market. Why would you bother with less ROI than "easier" vehicles such as Mutual Funds? Now if you are justifying your low ROI on future prices-then that's called speculation and that's fine if that's your business model. If your business model is to cash flow then you need to decide what ROI makes your investment sound and worth your time. I don't see why this is so complicated.

(Sorry I only have mobile use right now and can't use full features)

Great post Thomas! You mentioned that the smaller community banks really want to give loans....I easily have 20 percent for most properties I am interested in, great credit and a 20 year work history but no income right now. I am assuming the no income is the kiss of death, even for the banks you are working with. What do you think? Wish the iPhone app made it easier to cut and paste or bring down the @ sign!

Congrats on your success, Adam! Some perspective-80-120k is more than "decent", especially from the ages of 28-33! I have a Master degree and 20 years experience in my field (education) and the only time I ever approached that salary was as a school admin and there is zero work/life balance in that role. Zero flexibility or time for your own kids. That's way jobs like that pay a good wage. I honestly think the advice on a "mini retirement" is perfect for you. Take 4 months off, a year even, you can afford that for sure. I doubt you want to "retire" as you will need income as the times change. And don't even think you can retire "and live like a King" overseas on 4500 a month for a family of four-which would have been the thinking ten years ago. You're 4.5 k most likely will not support your needs down the road. You are young and obviously talented, with a little time to reflect and you surely will be on course again whenever you are ready. Good luck!

Thanks-this great info!

HOA's also usually cover insurance and maintenance for the outside structure plus landscaping. Remember you will need to pay for this every month anyway in a non-condo. Water might be included too-at least for outside use? You won't need to pay for a new roof in a few years either unless the association does not have it together or if it's not covered. I think that once you crunch the numbers you might find the HOA fees can still work.

Happy Birthday Josh! Unbelievable site-thanks for all!

I just assume they are from Flint Michigan.