All Forum Posts by: Neha Groves

@Steve Kontos - I definitely have some peace to make with the concept!  It's been deeply ingrained in me that debt is bad and should be avoided like the plague!  I understand that in this industry, that's probably too biased an attitude.

@Jim K.  Worth a shot!  Thanks :)

@Daniel Dietz - We have tried broaching the subject with a few friends with little success.  I suppose we should keep trying until we do succeed.  We're definitely trying to go to as many BP events as we can to network and meet other investors!

@JD Martin - You might be right.  As of now, that's what we're doing.  

@Brett Goldsmith - Rehabbing/flipping isn't really our forte.  My husband is a good handy man for small, odd jobs, but not for large-scale construction or remodeling kind of projects.  I don't have any skills on that front either.  I've always felt that there are very rare deals out there wherein you can hire a contractor to do the work (in budget and on time!) and still make a decent margin.  Am I wrong?  Of course, I totally agree with you on keeping reserves for cap ex!

@Steve Vaughan - Seller financing is something we've considered, but have a lot to learn in terms of what goes into that and what some of the contingencies and drawbacks are.  Any tips you can share on that would be very appreciated.  We definitely don't want to end up under a mountain of debt in this process.  We're living as frugally as we can to try and save up as much as possible, but with just over $100k gross per year in income from our traditional jobs and kids going to college, it's not easy.  

@Alina Trigub We are looking for partners, although we're a bit naive in that realm.  We joined BP mostly for this - so that we can find investors and partners to work with.  Once my husband has his license and a job in the field, I will definitely look into ways of getting in as well - possibly complementing my husbands skills and qualifications so that we make a solid team.  Thank you!

In the last 2 years, my husband and I have bought two 3-unit multifamily homes - both on FHA loans. We're living in a unit in one of them - the other two units are paying the mortgage and basic utilities. So we're not making money on that one. On the 2nd house that we bought just this past June, we have a cash flow of ~2k/mo. We'll have to keep most, if not all, of that money, however, to do some rehab and repair work on the house within the next year. We're also still paying off my husband's student loans (another $28k to go).

That leaves us in this uncomfortable position where we don't have enough income coming in from our investments to realistically be able to invest in our next property in the near future.  We have 2 mortgages and have maxed out our borrowing capacity from traditional banks.  If we buy in MA again, I don't think we'll be able to get another FHA loan, which means that we'll need a 20% down payment (or 30% if we go commercial) and that seems like a crazy amount of money right now.  We've tried looking for partners amongst our friends, in vain.

I know there are other ways to borrow money - private lending, hard money loans, etc - but I'm also hearing a ton of stories about how we should be getting rid of all our debt, not taking on more.  I have to admit, borrowing more scares the crap out of me.  With the interest rates on these types of loans, it feels like we'll have an insurmountable task ahead of us if we go that route.  

Long story short - we would appreciate any advice we can get on next steps to expedite our journey toward financial freedom and early retirement.  My husband is presently taking real estate classes and will be getting his license shortly.  Hopefully, we'll have more of an inside look on the market once he gets a job in the field.  Thoughts?  Thanks in advance!

An interesting, yet urgent, opportunity has come to us for our town and we need investors to act on it immediately. The town is going to develop a cultural arts, restaurant, and retail center on a town-owned historic site comprising of multiple buildings that will be renovated and restored for this purpose. There is an old steel building on this property that a cannabis manufacturing company is bidding to rent, the fees of which are desirable to the town for income, yet the location is undesirable. The town's long term "Vision Plan" suggests tearing down the old steel building and constructing three 12-unit homes there instead. However, they are seriously considering working with the cannabis manufacturing company in order to generate immediate income to fund the rest of the project.

We propose a 2-part plan - first we purchase a plot of land in an industrial park several miles away, erect a steel building on that lot, and rent it to the cannabis company with a 10-year lease. We will receive the rental income from this property while the town will get their licensing fee from the company. Then we purchase the subdivided land that the steel building is on, tear down the steel building, and construct the three 12-unit homes on that piece of land. Gross annual rent could exceed $240k.

Initial conversations with some of the decision-makers indicated that this would be a highly desirable proposal for the town and a win-win situation all around. However, it is imperative that we send a Letter of Intent (followed up with a detailed proposal) this week in order to get the ball rolling and before the town signs a lease with the cannabis manufacturing company. While we are in a good position to manage the entire deal from start to finish and manage the properties moving forward, we are in need of investors to get this project off the ground!

Please contact us to see our more in-depth proposal. Time is a critical factor, as the town will be deciding the fate of that property soon.