All Forum Posts by: Nathan Norway

Commenting on the thread to follow it for future responses! I know Pro Member perks offer some software types for REI specific software solutions. I also know Quikbooks offers a very versatile product for accounting solutions.

The ease of use / user interface I think one of the more valuable components - meaning: how quickly can you learn to use it and integrate it into your business?

Very cool! What's next? Do you plan on doing more live in-flips? Using the money you made to get rentals?  

Best of luck as you move forward!

Adam, 

I'm not sure why, but "Real CLEstate Investing" sticks out to me where its similar to your LLC name but doesn't warrant a rename of the LLC maybe just consolidating the name on social media. Sounds like you already have a wealth of experience and done a high number of deals to where you can really put out good content.

I think the name doesn't mean nearly as much as the production for social media and youtube. Top notch picture quality and lighting / sound make a world of difference when watching videos. Your name is what most already know you by so I don't know if I'd change it unless you find something you absolutely love. 

Best of luck!

Gloria,

Pro members can post more frequently on the BP marketplace where you can post seeking hard money lenders, wholesalers, or some other service or type of property. I've found some local REI facebook groups to have some decent contacts. Lastly download the meetup app and start going to local events because they can be great to tell people what you are looking for and to build your network.

Michael,

So you are probably right that the taxes will go up when you turn it into a rental as well as your insurance on the property. Living in it for a couple years you may be able to refinance the property and reduce your monthly payment which could help.

Check your local government agency website, you should be able to locate a tax estimator or be able to look up tax info on single family rentals. You can compare to what you currently pay to what you find and that can give you an idea of the delta increase you'd get when you convert it to a rental. A consult with a CPA may provide helpful info as well and would likely be a smart move. 

Patrick,

Awesome post. I think it comes down to due diligence as well. If I'm looking at properties online on zillow, redfin, or whatever other site I think I can look at asking price and maybe rentometer to get me a quick thumbs up or thumbs down with those two rules. I like 1% as a bare minimum where you should hope your analysis can yield higher or you can do something to increase rents and get that ratio to a safer value. 

Also with mortgage rates as they are it is also encouraging more people to purchase homes where if interest rates rise dramatically we may see purchase prices lower and so our analysis can change from a COCROI standpoint.

good to see some posts like this to keep people thinking. know your market, know your expenses, and work tirelessly to find deals that work for you and your criteria!

don't be afraid to say no or turn away a deal if it doesn't meet your numbers! 

Thanks for sharing! Definitely a lot to consider when selecting property types and whether or not to manage your own properties.

Joe, that's a pretty spot on review. I am 26 and read it last year and it really launched me so far forward with my plan and drove me to start taking action. I think Set for Life can be powerful just like Rich Dad Poor Dad not just for REI but for people looking to really get ahead for themselves and their families.

Brad, Welcome!

In my experience the mother-in-law suites tend to not be as big of selling points or have as much appeal for renting while looking for a multifamily myself. Having units separated specifically while house hacking and then renting fully to tenants later would be easier in a normal duplex - quadplex I think.

Narrowing down your markets is a great idea - have you visited those areas and met with any brokers, government employees, real estate agents? Getting a good pulse on your potential markets by visiting would be a great next step to see what feels right for you!

Rob,

You are putting down 62k for a down payment but only expect to cashflow 175 a month? That's roughly 3.3% Cash on cash return not including closing costs or repairs. The cap rate is also listed under 6%.

Are you okay with that low of a cash on cash return? Is that cap rate normal for your area? It is cash flow positive, but I'm not sure I would purchase if I have to put down that much to get so little cash flow on the property.