All Forum Posts by: Nam Nguyen

Holy crap that as an interesting read...

@Matt K. The renters have been mixed, but so far the experience has been ok.  I'm not looking for a huge return on every home because I think I'm a buy and hold type of guy.  

@Arianne L. I've decided to just hold off on paying the 15-year loan off.  I'm just struggling with the idea of leaving it in the bank and earning next to nothing.  I can't seem to find any properties in/around Fort Walton Beach, and I missed out on the other properties that have been selling on the same street.  One positive is all of the things I've learned from BP in the week I've been a member.  

@Arianne L. how do i know who the good flippers are and how do i trust i'll get my money back?  I've considered loaning money, but I always assumed you had to have at least $500k or more just sitting around.  

@Matt K. I'd love to  be that oddball.  It sounds more fun than what I currently do now...

I'm in the same boat. From what I gather it depends on how fast you want to grow. Many of the answers I've received is "No, don't pay off the mortgage if the numbers are working for you.  Use that as a deposit to buy another 1-2 properties and have some cash leftover for repairs".

I have a 15-year mortgage on my property and thought I was doing ok bringing home $200.  The folks here on BP helped me do the real math and I'm actually brining in a cool $7.50 a month lol. Have you done the math in yours?

Hi @Dan Schwartz

I was joking about the shoe boxes lol.  My savings account might as well be a shoe box consider how little I earn in interest.  I don't even make a enough interest for Bank of America to send me a tax statement.  Apparently you need at least $20 of interest per year to make it worth their time.  

I did say 15-year escrow, but yes it is a 15-year mortgage.  I didn't know what terminology to use because my monthly payment gets divided into principle, interest, county taxes and insurance as you already know.  The 15-year mortgage was done because I always thought paying off a debt sooner was better than having one linger.  A 30 year mortgage would have saved me about $170 in principle (if my loan calculator app is correct).  

There isn't an HOA.

Just did the math with help from @John Powell and my property gets me a cool $7.50 per month lol.  

Signed up less than a week ago, listened to several podcasts and have read enough to make my head hurt.  One thing that stands out to me are turnkey properties.  

I've listened to a podcast that had @Nathan Brooks as a guest, read blogs from @Engelo Rumora, and seen posts from people like @Ali Boone who seem to be on the positive end of the turnkey spectrum.  I've done more than that trying to educate myself, but those are the three I think stand out when it came to understanding turnkey properties.

I think I'm pretty risk-adverse.  I'm an enlisted active duty Air Force guy with no car payments (I drive a 2001 Toyota Sienna with 284,000 miles that was handed down to me), no school loans (I worked in college and only took the classes that I could pay off.  Finished getting a BA in Liberal Studies, but that hasn't netted me much).  The only real debt I have is the rental in Fort Walton Beach that is being rented out (and I'm trying to re-evaluate how well/bad it is doing in this thread) and my current residence in South Riding, VA.

Why would someone not want to invest in a turnkey property?  It seems to be a very hands-off investment, and smarter people than me are managing it.  It may not be the most profitable real estate venture, but isn't it better than doing nothing?  Would it be smart/dumb to buy one with cash, and refinance it after 6 months and use that cash on another turnkey property?  Those answers and negative experiences are just as valuable to me as the positive ones because I'm confused on why someone wouldn't want to do it.  

I'd like to know about this too.  Thanks for asking the question!

Another idea was to also go ahead and pay off the $42k (since I have some cash).  That way the unit could eventually become a positive cash flow property.  Man I've got a long way to go if I want to buy 1-2 rental properties per year.