All Forum Posts by: Max Fletcher

@Cody Thayer

I like what it says in (rich dad poor dad), you should never buy an asset that you lose money every month. I personally would not hold a property that you lose money every month.

Another way to look at the situation is would you buy this property knowing that it loses a couple hundred dollars every month ? No you would not. I would sell it. 

@Cody Thayer

My first question to you is what are your goals?

If you have some set well define goals, it helps you understand what you should do?

I have a couple HELOCS and I only use those lines of credit for flipping and renovating. I use that money when I have a fairly quick way and multiple exit strategy to get the money back.

I have used my home equity lines of credit to flip cars, houses, and to even give hard money loans. 

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $166,000
Cash invested: $8,300

My First purchase. 1% rule. Duplex with an FHA Loan and I lived upstairs. Mortgages is $1025 upstairs rent $1125, Down Stairs $850

What made you interested in investing in this type of deal?

Cash Flow.

How did you find this deal and how did you negotiate it?

Found of KSL and negotiated directly with the owner, no Agents involved.

How did you finance this deal?

FHA Loan 5% down

How did you add value to the deal?

Rents were low and the home needed so love. I have remodeled the upstairs completely and replaced all windows, roof, water heaters. Rents when I bought the property were. $675 up and $575 Down Current rents are $1125 up and $850 Down.

What was the outcome?

Property is worth double what I paid for it. It cash flows very well.

Lessons learned? Challenges?

I love what real estate can do for my Net worth.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Lender Mo Health at Diversified home loans in Logan.