All Forum Posts by: Michael T.

@Sam Casper you'll have to go the city of Los Angeles to confirm.  There are certain rules that apply in Los Angeles.  

Below is a guidebook that will help you through the process.

https://citylab.ucla.edu/adu-guidebook

@Annie Li since you're in Los Angeles you'll definitely want to work with escrow on this and if the deal is good enough then obviously work with the seller. 

In Los Angeles County the seller doesn't have more privilege than the buyer.  You have much more leverage in a signed Purchase Agreement compared to the seller.

Depending on who the Seller is and what they're moving onto depends on how aggressive I am with this particular amendment.  If my clients don't have to be in the house immediately then I'll work with them but make sure the additional clauses are added to the contract.

@Kevin Fintland my recommendation is to do a search for each of the of these companies here on BP and I'm sure you'll find some specific details.

An individual here on BP that lives in the Los Angeles area and focuses on out of state turnkey is @Ali Boone.  Reach out to here, she may be able to give better guidance in regards to this.

@Ramon Mota that's unfortunate about what happened, I can imagine how difficult everything has been for you and your family and sorry for your loss.

Since you are losing money every month there is really no reason to hold on like you are doing, however, there are probably a few things that you can do prior to doing a fire sale.  See if you can renegotiate the lease, renegotiate the insurance and try to improve revenue which will offset some of the fixed costs.

After you've done these things have a conversation with your real estate agent on the best next steps.  Your agent should be able to give you the best guidance in regards to lowering the price to get a buyer.

@Mark Bommarito it all depends, what are your goals?  Do you want cash flow, do you need cash flow, are you okay with being a long term holder waiting for appreciation?

There are numerous markets in the mid-west that will allow you to buy reasonably priced single family rentals that cash flow. Some of the states that are good for this are; Indiana, Kentucky, Missouri, Kansas, Ohio and Tennessee.

If you're okay with less cash flow and a mixed amount of appreciation then other states such as Texas, Arizona, Nevada, Colorado and Utah will be good options.

You can do a few searches here on BP for states that cash flow and states that appreciate and I'm sure there will be quite a few investors in the states your interested in that will be able to give you guidance.

For me personally, I invest out of state in Texas and Indiana for cash flow, however, I invest in Los Angeles and Inglewood for appreciation.

@Account Closed when you say "ease a potential prospect's mind" because you have a complete lack of experience that would be a concern to me.

It's okay to be honest and transparent.  You don't have to give every detail but don't be honest and upfront.

@Brandon Stone listen to @Frank Wong his answer is very accurate.  

Typically a seller and the listing agent will discuss what he/she will and won't consider at the start of the listing.  If the listing agent is replying back with these responses then he's doing it on behalf of his client.

Give it time and if the property has been on the market for a few months then go back and have a phone conversation with the listing agent and see if he'll present your offer again.  

If you continue to submit offers the way you are currently doing it, the listing agent will communicate this to the seller and ultimately the seller will let the listing agent know to not even present any future offers from the buyer Brandon Stone.

@Josiah Patrick Zebarth you have multiple options, however, as @Chris Mason mentioned you need to have a decent income to make sure you're able to consistently put down 25%

It's okay to not go to college just make sure you working your plan to have the money to be a real estate investor.  

There are thousands of successful real estate investors that didn't go to college, however, I'm sure the number of  successful real estate investors that did go to college outweighs the ones that did not go.

@Jason Malabute as @Ric Ernst mentioned it is well worth it to visit the market a few times so you have an understanding of the market.  

Neighborhoods are different from one to another, pictures are different on the internet compared to seeing the property in person and numbers on paper are going to be different from what you can physically evaluate.

Once you know the market, have a real estate agent that you trust and a property manager that has good recommendations and that you trust it is much easier to purchase sight unseen.

Have a few property managers go look at the property and have them provide feedback.  The one who does a good and honest job will more then likely continue to give you an honest opinion going forward.

@Chris Wenchell it depends on what you're looking for.  Typically, your real estate agent can assist you in this process.