All Forum Posts by: Michael McDermott

@Nate Garrett That sounds exactly like what I would like to be doing! How would I go about searching/finding jobs like that where the investor is the owner of the company and would want to take me under his wing?

@Bill Gulley Its exactly why I asked, just to gauge peoples opinions and experiences and weigh them out for myself.

I am a college graduate with a degree in marketing and I enjoy everything I have done to date with real estate research, transactions and marketing properties. I believe I excel at networking with people and helping those who need the most help.

@Bill Gulley That was a lot to type, but I will look into that book none the less.

@Curt Davis Thanks for the input, how would I increase my cash flow to 1.5%?

I have 3 units under my belt as of now and all are cash-flowing pretty well, but I am still stuck in my dead end 8-4 job and I need out! I have put up with it long enough to get me where I am now but it's mentally draining me. I thoroughly enjoy everything I've done with real estate and learning as much as I can. I've decided that I want to peruse a career where I can adapt what I learn on the job to my own properties and need some help where to start looking. Aside from a real estate agent and mortgage broker, what are some jobs I should look into?

I am either looking for someone to either point me in the right direction of an accountant to do my taxes for this year and for the future or to tell me if turbo-tax will suffice for what I need.

About me -I own (1) SFR that I purchased using an FHA loan 5 years ago and began renting out last September, this will be my second full year of rental income. I just "hacked my housing" and bought a duplex of which I will be living in the upstairs unit while renting out the bottom. I also, took (2) courses at my university to complete my degree this year which will need to be deducted all while working a full time job.

I am not sure if turbo-tax will be able to get me everything I have coming to me tax wise or if I should seek a professional accountant, any advice is appreciated. If I should go the professional account route any and all recommendations in the Philadelphia area are appreciated. Thanks!

@Tia Anderson Tia, my first question would be; will buying the house in cash deplete all of your cash available? Bc if that is the case, I would say hold off buying anything until you would have enough cash to (comfortably) buy and still have some cash left over for an emergency or cushion.   

If that's not the case, I would get a a few trusted contractors in the property to give you estimates on the cost of the upgrades. After that I would take the highest along with the cheapest and throw them both away. Take the most reasonable estimate, add in a 10% contingency and calculate how long living at your salary it would take to complete these repairs. And if you are comfortable living that long in a rehab then go for it!

Hope this helps.

I am looking for an agent in South Eastern Pennsylvania who deals with REIs and understands the concepts on this website. I am actively looking for 2-4 unit multi family properties that I would occupy as well as rent out the other units. I am trying to stick with the 1-2% rules but am not finding many deals that fit into this category. If you can help me do this we could work together on many more deals.

I have been working with one guy in particular who is offering 15% down on this duplex, I want to see if anyone can offer 5% down with no PMI on this deal. The building is in the suburbs of Philadelphia and I have excellent credit with one rental property under my belt. I will be using this duplex as my primary residence and renting out the other half.

Any and all help is appreciated, thanks in advance! 

The property is outside of Philadelphia and would be used as my primary residence as well as a rental. It is zoned as a duplex with (2) 2 bdrm 1 bath units, along with a 1500 sq ft workshop attached that is currently rented by the previous owners. The bottom unit which I plan to rent out will get 1,400$ a month, the unit I will be living in for a year will rent out for 1200$ after I move out. I am currently renting and would like to put my money towards equity in my own property rather than throwing it away. The building(s) are located within 5 minutes of highways and close to other business centers and I am assuming now that the workshop rents for at least $1,000. That is less than 1$ a square foot and could easily be built to fit almost any business. Please let me know if I am glossing over anything. The numbers are as follows...

Listing price- $260,000

Down-payment- 15%

Taxes- $8,200

Insurance-$125 monthly

Management- I plan to manage myself for the time being but will factor in 10%

Maintenance & repairs-As of now 0, the house is occupied by the owners and was updated very well. The other unit is vacant and updated.

Utilities-All separate and tenants pay their own