All Forum Posts by: Nathan Reo

We’ve never invested before, but our dream is to invest in real estate.  Assuming we get the full $160,000 profit from the sale of our current house, what investment would put that money to work most effectively?

We’re in Ogden Utah.  Houses here are expensive.  We like the idea of multi-family, but don’t know how to find them or by them.

ultimately we have this super random dream of turning barns into wedding reception venues (my wife’s good at that kind of thing).

Thanks for the reply Edgar!  Interesting point about wholesalers.  I guess you can't just assume it's a good deal because a wholesaler has it

Look, I'm becoming overwhelmed at the task in front of me. I've never bought an investment property, but I need to magically become a wizard-ninja at finding good deals. If our first investment doesn't go well, my wife, who is already nervous about this whole real estate investing thing, will fall apart. I'm out 5-7 hours a day looking for deals. Driving around the city, checking KSL, calling real estate agents, calling absentee home owners from PropStream, scanning MLS, calling foreclosures. I feel like i'm getting nowhere.

Homes in Utah are expensive. Even tiny, run-down 2/1 houses are well over $200K. Meanwhile I'm watching people on YouTube buy $40K houses, charge $1200 rent, and cashflow $900 per unit in C-class neighborhoods! How will I ever pull numbers like that in Utah? I'm thinking "Crap! will I have to move to Ohio just to BRRRR some cheap houses?!

Then today I called a wholesaler.  Should I work with wholesalers?  Or should I work on becoming a ninja at finding off market deals?  And if I should work with wholesalers, where do I go to meet a bunch of them?  I feel alone.  I want to find a local support group or something because this is all too to overwhelming on my own just starting out.  I want to run with a herd.  Are there any herds of RE Investors in Ogden Utah that meet weekly to regale each other with heroic stories of investing victories and share their investing wisdom in person?  

Several people I know keep trying to recruit me to join RENATUS which costs $20,000 (whoa!)  I mean, gees, I already paid Kris Krohn $3K.  Do all R.E. investor groups cost money? 

Anyway whatever, my main question is should I work with wholesalers.

Thanks, I didn't expect this to be a rant. Sorry.  

Wow, great response!  I actually plan to buy and hold and do a lease option.  We want to make the downstairs a “mother-in-law suite” or whatever it’s called, so we want to put in a kitchenette downstairs.

It’s 1115 41st in Ogden UT.  (I hope I’m not violating any rules by telling you that).

Yes, 227K is ARV

I want to walk into the deal - even before repairs - with 20-30% equity in the home.  The I intend to cash flow it for at least 5years doing a lease option.

In regard to financing, I’m still very confused about how I will proceed with that but a mentor, Kris Krohn, has encouraged me to sandwich lease it.  So maybe I’ll do that.

But to be honest I’m so new I’m basically just repeating words I hear like a toddler.  I don’t know what the #%>} I’m doing.

My goal is to create at least $600 cash flow/passive income and to just take action.  I tend to be so indecisive I never actually make a move so I don’t want to be paralyzed in hesitation 

Hey, Reo here.  Bran new.  Hoping to get some help on my first deal.

I want to offer to buy a lady’s house.  She’s an old widow who doesn’t really want the property.  She got it when her husband passed and doesn’t know how to be a landlord (charges less than half average rent)

House is worth $227K. I already got CMA. 5 bed 2.5 bath 1400 sq ft upstairs.

Here’s my embarrassing attempt at doing the calculations:

- horrible condition, so $40K in repairs

- I want 30% equity position for safety cushion, so subtract $68K from $227K

- Realtor 6%, Title fee 1%, Buyers closing cost 3%.  So subtract another 10% or $22K

Leaves me with $96K.  Should I offer this little old lady $96K to buy her house?

(Her late husband bought it for 99K in 1996)

Help please