All Forum Posts by: Shavar G.

@Elliot Marszalek - take it from someone who just walked away from a deal for this very reason, stick to the numbers and make the deal fit your criteria not the other way around.  The great deals are not as abundant as the bad deals, but they do exist you just have to find them!  The last thing you want to do is buy a bad deal for the sake of saying you bought something because you will have to live with that decision for possibly years to come.  

@Noam Adler - is the bank a large bank, small bank or credit union?

@Noam Adler  - you mentioned that the property would be appraised as a residential property.  Are you discussing the refi with the residential side of the house or the commercial / business services side?

@Deja Williams - if you manage the property yourself you reach out to the tenants and explain what’s happening, if property management does, then they would do it.  It’s not a difficult step at all just requires communication.

@Angelique F. - anyone who self proclaims to have jumped on the RE bandwagon, then fell off only to complain about it deserves a little friendly shade.  You’ll be fine, and it’s not like I told a lie, just an unpleasant truth in your case.

@Angelique F. - the idiot lawyer who set your business up as an S-Corp probably was under the impression that you were a serious investor (based on your acquiring a property at 10k and rehabbing it/ there’s a name for that strategy you know) and was trying to save you money by structuring your business such that you could pay yourself a portion of your profits (and pay taxes on only those payments), while retaining the remaining untaxed portion.  There nerve of that stupid lawyer!  Lol

@Angelique F.

Two things are painfully obvious after reading your post:

1. You didn’t have a clear exit strategy in mind before you made this purchase

2. You could have used a little more research time to better understand all of the implications of what you were getting yourself into.  

It’s not clear to me from reading your post what your objective was when you made this purchase as you rented it for three years, but are not happy with the tax benefits or lack thereof.  And you’re not happy with the capital gains taxes after selling.

The saying goes “you make your money when you buy a property” and it sounds like you dove in head first without a solid understanding of that point only to experience an outcome that was not what you expected.

The great news is that the experience you gained here has the potential to be invaluable, and totally reshape your approach to investing.  There are a lot of people making a lot of money from real estate and the difference between you and them is the time they’ve invested into learning and perfecting their processes.  Only you know how much time you spent doing the above, but if you aren’t getting the results you desire, the answer isn’t to do (whatever you intended to do above NO DISRESPECT), but to learn from your mistakes and avoid making the same ones next time.  Good luck on your journey, and don’t let this one setback deter you. 

 “The champ will always be the champ so long as (s)he continues to get up!”

@Kirkley Cain - all you need is one good source!

@Kirkley Cain - take it from someone who is doing what you want to do, the opportunities exist in your market (even if it's not the immediate local market, but definitely the state), you're just looking in the wrong places. Ever heard the saying your network is your Net worth? If your search is restricted to the MLS you may never find what you are looking for. If you're serious about what you say you want to do, I'm confident that you will search high and low for the opportunities around you. It may just be a matter of who you are or are not talking to! If you haven't been going to REIA meetings or local REI meetups, you haven't even begun to scratch the surface. Happy Hunting!

@Cecilia Nsiah - it all depends on your strategy. I'm based in DC but invest in VA. If you want to talk about strategy PM me sometime.