All Forum Posts by: Matt Morgan

Great advice Marco. I would also add that it may be beneficial to research a market where you have some ties, either family or friends. They can usually give you the inside scoop on the area and things you may not be able to learn through the internet.

As Tracy already said, if the numbers aren't there, they aren't there. There is a price that every deal would make sense, but there is no likelihood this home will sell for that price. The Real Estate Guys have a quote: "Live where you wanna live, but invest where the numbers make sense." I'm just getting started investing myself, but as a Phoenix local, I'm looking out of state as the potential for cash flow is much higher in markets other than those in my neck of the woods. I would recommend you try the same. Anyway, good luck!

Thanks for the welcome Bryan.

Tracy, thanks, really enjoyed listening to your podcast. Seems like there's a lot of fellow Phoenicians on here.

Mehran, enjoyed listening to your story as well. I hope to be following in your footsteps soon. Any particular hurdles you've come across being an out of state investor? Are you flying out to look at your properties hands on?

Thanks for both of your responses.

I think I will probably be using convential mortgages to finance properties initially, and by the time I reach the 4 limit, I'll hopefully have found either a portfolio or commercial lender to fund the rest.

I think peer-to-peer lending, should the interest rate be low enough, and private money lending, should the terms be right, may be great solutions in that scenario. Just seems like you're sacrificing quite a bit of cash flow in order to get these deals done past number 4.

Thanks Brandon, that definitely helps. I'm not married but I do have a financial backer right now who is willing to cosign for loans. Do you know whether or not cosigning would count as a "full mortgage" or a "half mortgage" so to speak?

Also, love the podcast, keep up the good work!

Hey everybody, I'm just getting started investing and am looking to purchase some rental properties in out of state markets. I'm wondering whether it's better to purchase these properties with convential loans, or buy with cash and then cash out refi. I like the ability to rinse and repeat using cash out refis, but worry about diminished returns on capital due to 70% LTV ratios as well as having to wait up to six months to begin this process. Convential loans would allow me to purchase homes in quick succession without having to wait for cash back, but in the end it seems it would be hard to get my initial investment back out. Are there any other considerations to be made?

Also, considering I already own a home, I'll be running into the "4 mortgage limit" within the first six months or so. I will not have the 2+ years of provable taxed income on these properties nor the typical 30-35% down required to get loans past the initial 4. What are some way of skirting this roadblock?

Thanks

Thanks for all the warm welcomes!

Ryan, thanks for your email...I left you a voicemail a few hours ago.

Hey guys, after about a month of voraciously consuming every bit of information on this site that I can get my hands on, I've decided to sign up! This place and those involved with it have been invaluable in propelling my desire to move forward in real estate and I can't wait to get started on my first deal.

I currently live in Phoenix, Arizona but due to the lack of inventory and potential for cash flowing properties, I'm focusing on out of state markets, specifically Toledo, OH. I have relatives in the area which I feel give me an advantage over other markets I may not know so well.

I'm looking to network with anyone in the Ohio/Michigan area as well as anyone from Phoenix looking to invest in other markets.

Thanks!