All Forum Posts by: Matt Devincenzo

I'm looking at purchasing for myself, and for my retirement acct(SD Roth IRA).

My parents live in Orlando, FL so the central FL area has kind of been my target area for investing since it is helpful to have family that can look in on stuff since I live in CA and I know the areas best since I grew up there.

I'm still in the intro stages of research so as far as what yield I am looking for, I'm not sure yet what is really realistic. I would like to get somewhere around 15-20% by buying at a discount at least initially, and as I gain experience focus on getting a few really good notes for even higher returns.

Yeah with that kind of slope I doubt you could do anything as far as a retaining wall (without spending more than it would gain you). I'm a civil engineer by day, and I know one of the guys in the office is having trouble with a wall over 12 ft right now due to the design/calculations necessary. Depending on soil ect. it's doable but definitely not cheap as you get over about 6-8' or so.

Not super experienced in this, but I have an Aunt in PA that loves this stuff and a lot of it come down to the details. Is it a 4ft, 5ft, 5.5ft tub...different values. What time period is it from? ect I don't know what the different ones are worth, just that depending on when it was made it could be worth something.

Out on the east coast they usually have salvage places that deal with this stuff and will buy it to refurbish and sell. If it is one of the ones that there are hundreds of that aren't worth anything they'll at least buy it for scrap so it's worth at probably $15 from that stand point.

I'm not in your position with having a house to try to get rid of, but I am in the renter position. I was looking for a house here in SoCal about 1 year ago, and couldn't justify the expense of a 200K house that wasn't even in a great area. Looking back if I had I would have a healthy bit of equity due to the ridiculous appreciation here recently, I also think it's going to go back down here in the next 2 years.

More importantly with not having that mortgage on my credit, I'm much more able to borrow for rentals out of state that bring money in. I would love to own my own house, if I didn't live here in SoCal, out here I've pretty much decided I will be renting for the rest of my life here, or until I just make so much money it really doesn't matter and I can afford to throw 750K at something nice and not worry about where prices go.

I'm sure you'll get some more experienced replies here but just to give you a couple items to start chewing on.

I believe you may have two issues here compliance/regulatory and structure.

I think that by bringing in a partner that is a strictly money person, but gets no management vote (I'm assuming since he only receives a % rate return), you have effectively syndicated or something similar. That would now be treading in the realm of SEC compliance or something similar.

Also the structure is with 3 members and the one is the "equity partner". But in reality your partner has a loan at 8% so now when the 1.5 M lender is looking at the deal it is not truly structured with there being "skin in the game" since the one partner is really a lender. Unless there is no 2nd position 500K recorded in that case he wouldn't be a lender but I don't know that you will find someone willing to take that risk for 8%.

I'm not experienced with this and could be wrong, but I am very interested in seeing the responses, because I would definitely like to be involved with commercial deals at some point so I'm trying to keep learning now.

Nope no brokering here, at least not yet and if I do it will be as a licensed broker. I tend to look for your posts to hear the regulatory side of things, I prefer to stay inside of those boundaries and ethics so I sleep well at night knowing no one can touch what I've worked for.

Not to be rude here but if you want any valuable sort of answer here you need to pose a real question.

You asked should you buy your primary residence? Yes if you would like to own a house that is usually how you start.

Should you hold it? Yep if you want a place to live, fairly good idea.

Should you sell(flip) later? That is usually the end of all home purchases at some point.

Sorry if that comes off rude, but often people just pose vague general questions and expect real answers. You need to provide details if you want some sort of real advice.

Thanks Bill, that's exactly what I was wondering. I work in a professional type office (engineering) and we get cold calls for people wanting us to spec their product for our clients, and they never make it past the front door because that's not how it works, our developer clients tell us what they want, and we design for them not the other way around.

So I was hung up on how someone like an atty was going to just want to spend time talking to a "salesman" that just dropped by.

Thanks Bill Gulley , it was just in a long (a very long) list of possible sources on one of the other threads here in someone else's post a few months back.

You were one of the posts I had read that suggested cold calling that was a good way to start getting leads with the different atty suggestions. So you would cold call note holders directly, and for professionals that can refer a note do direct mail ect to generate leads from them.

http://www.biggerpockets.com/forums/70/topics/81157-how-to-find-notes-worth-investing-in

So I've begun researching purchasing notes, and found a few different threads with the suggestion of cold calling people that are in contact with note holders. Bankruptcy attys, financial planners, CPAs, title companies and the list goes on and on. Now other than an afternoon and the risk of rejection in person, I've figured out this is probably the best way to start finding note leads.

Now as I'm beginning to plan this out I find myself with a question. When you call on say a CPA and you walk in and his secretary is there, how do you get face to face with him for a couple minutes to actually talk about what you're looking for. Obviously just dropping off a business card with the secretary is not as effective as taking 5 minutes of his time.

So what do you do once you're in the door to "seal the deal" with the person you really need to talk to?