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All Forum Posts by: Michael Emanuel

Michael Emanuel has started 2 posts and replied 5 times.

Post: Low Cash Flow

Michael EmanuelPosted
  • Posts 5
  • Votes 1
Quote from @Bill B.:

First, nobody’s buying for cash flow in this market. You could put your $54k in the bank and get $250/mo cash flow risk free. If you are at the point in your life where you need the cash flow and say an extra $200/mo makes all the difference, you’re not ready to buy real estate. It’s fine, it’s not risk free, save up more money. 

That being said, there are very few if any “war zones/ghettos” in Vegas and unless this is one of those 1200sf homes they jammed every bedroom in they could, or it’s one of those rare bad neighborhoods. I haven’t seen a liveable home under $300k in years. 

Last July during the height of the interest rate scare I sold a 3 bedroom, 1200sf home for $370k in NLV. I had a buyer in a week. If you don’t feal like sharing the address, at least share a 3-4 block area it’s in. (Short of being off Nellie’s or near the strat/fremont I think you’re golden.)


 Thank you for your insight, Bill.

Post: Low Cash Flow

Michael EmanuelPosted
  • Posts 5
  • Votes 1

Hey Ken, Thank you for such a quick reply. Read your post on "Buying Subto (Subject To) with the (BOMSTSLO) ™ Method". Would love to hear more, Sir.


Post: Low Cash Flow

Michael EmanuelPosted
  • Posts 5
  • Votes 1

I am not new to investing. I've just never pulled the trigger on a deal. While driving for dollars after work one evening, here in Las Vegas I ran into a 3 bedroom 2 bathroom house with a small "for sale by owner" sign in the front yard. The house was in awesome shape. I called the number immediately and left a message. I few days passed and I received a text from the owner saying that he had found a buyer. I wasn't sad. In fact, I was a little relieved. In concept, I know what needs to be asked but conversing with a seller frightens me for some reason. I promised myself I was gonna land my first deal this year no matter what. So I texted him back (way easier than talking) and said, "Hey If you ever have any other properties for sale could you keep me in mind?" He texted me back, "Sure!"

5 days later I got a call from an unknown out-of-state number. I answer and it's the seller I texted back. He tells me he has another 4 bedroom 2 bath for sale that is off market and if I was interested. I mumble out a nervous yes and he says he will send me the information on the house. 300K is the price he wants. Immediately I realized that it would not pass the 1% rule. I go home, crunch the numbers and I just can't make them work. I explain to him that I do not want to waste his time and thank him for reaching out to me.

Today he texted me and says, (verbatim) "Getting your first deal is the hardest. I was once there. My price to you is 270K. I had to fight a lot at home to reach this agreement call me and we will discuss how to proceed. You won't be disappointed."

I have the 54k needed as the downpayment, but he has a tenant living there now with a 1-year lease. At a 270K price point, the present rent being charged would cover all expenses and leave me with $57.00 cash flow monthly. On the other hand the comps in this area are in the 290K-310K range. Any suggestions on what my next play should be would be appreciated. 50 thousand is a lot to part with for such a low cash flow.

Charles, thanks for the quick reply.  After reading it I decided to dig a little deeper and found that the current tenant is a section 8 occupant. This dosent bother me as I am only interested in properties that have close flow out the gate. This one seems to fit the bill

I have found a occupied property down south for under 45K. The current tenant is paying $900.00 monthly in rent for this 3 BD 1 Bath. Zillow has the "estimated monthly payments" at $275.00. Could I stitpulate that one of the conditions of the sale be that the curent renters sign a 1 year lease at the same $900.00?  I would be a little less apprehensive with this 1 year lease locked in. This would be me and my wife's first deal. 

A little about myself. I have an 810 FICO score, several credit cards with 50-70k credit limits, a primary residents backed by my VA loan with close to 200k in equity and I still work a 9-5 job. Even with all of this I'm scared I could mess this up.