All Forum Posts by: Account Closed

Yeah, the whole issue of trust will become more and more of an issue. Trust was easy to build during the recession. When good deals were everywhere it's easy to build up a good reputation when you don't have to make hard choices. 

Going forward I personally like models that have trust built in. Like partnership/splits, as opposed to mark-ups/fee-based.

Great question posed. I look around the site and found my answer. If you're looking to invest and break even at any point you should be looking to invest for 18 years. That is the average duration of a housing cycle from peak to peak as outlined by this article.  https://www.biggerpockets.com/renewsblog/2015/03/0...

Check out this article @Scott Rudd It highlights well the differences between REITS and rentals-- https://www.biggerpockets.com/renewsblog/2015/01/2...

Also, there's some good advice here about being an active and a managing investor. @Steve Vaughan nails it perfectly. I know that my AZ rentals get me 16-25% return on my money. That's after, managing, rehabbing, repairs, tenant searches etc.

I work with true hands off investors, passive investors. And we split the profits 50/50. The advantages is that you don't worry about expensive markups. Every extra dollar I spend is 50 cents we both lose. As an active investor, my job is to make sure that I get my passive investors 8-12.5%. 

I would call anything else being an active investor. Because you're actively managing the property, or the PMS, making decisions, etc. 

So there are no tenants in place?

How long have the tenants been in place?

Please update us when you have posted on what you learned. Thanks

@Jay Hinrichs I ask this question over and over because I'm very passionate about RE. I LOVE real estate. It's beautiful and everyday I'm thankful that I discovered it and that it's provided me financial freedom at a young age. The reason is that it's a great long term investment. Turn-key operators should know this because that's what their clients care about. 

I believe that if TK providers believe in the product, they should want to do their own property management. If they don't do PM then they don't value the long term benefits of real estate, and then I don't want to partner with them because they don't get it. 

You don't know anything about my real estate mentors. I'm sure there are not exceptions to every rule. But are you saying just because there may be 1 good on the internet there's less bad deals on the internet? Even though my mentor is less savvy than you, he does own over 1000 houses, so I'm gonna listen to him. 

And the point I'm trying to make is, every single thing I have ever bought, I have always had to way 3 different options. Price. Service. Quality.

I have never found the best service with the highest quality, for the lowest price. Would you agree? Does your primary home fit that criteria.

I'm just saying be careful especially with online deals.

What type of investing do you want to do? What are your goals? Early retirement? Cash Flow? Wealth building? Pay down debt? Appreciation plays?

A question, what do you want your life to look like in 10 years?

Can you tell us your goals? Are you close to retiring? Have you targeted a cash flow goal yet?

Do you want to free up your time to be with your triplets, and get ok returns? 

Or do you want to build a PREIB, have a second job, but sacrifice your time?

Money is everywhere, time is not.