All Forum Posts by: Nelson Taylor

@Lance Lvovsky What does reduced recognition of gain mean? Thanks!!

@Jim Ferbert Best advice I can give is don’t just go for the company with the highest splits. 95% of nothing is still nothing. Go for the company with the best reputation, where you can shadow successful agents and/or take part in some sort of training program. I’ve been in the business 18 years and manage of the highest producing teams in Rhode Island and I still work for a traditional company on a 75% split with lots of amenities. Teams are also a great/safe way to get into the business. Good luck!!

@Tristin Lysogorski I went to Rollins College in Winter Park, which is a suburb of Orlando. Very nice neighborhood. High end houses. And student rental possibilities. I’ve been an agent for 18 years in Providence, RI. I manage a team. I think this is the best way to get your feet on the ground in this business. Guaranteed money and learning opportunities. One thing I wished I did early in my career was ask the higher end agents in my office if I could do open houses for them or cover for them when they were on vacation. I could have created a higher end clientele from the get-go. Good luck!!

I am considering buying a wholesale triplex property on a large lot in Pawtucket, RI. House after renovation isn't the best BRRRR candidate and would cash flow at $100/door (not enough for my general parameters). The upside to me would be subdividing the lot and building new construction spec house. Any moderately priced single family builders out there who know general cost/sqft to build new in this area? Thanks Dream Team!!

@ Anthony Thompson, nice to meet you. I am seasoned real estate agent (18 years) but new investor looking to start building my portfolio this year.

What you didn't talk about is potential value adds. Laundry. That's easy to throw in a spreadsheet. But what about possibility of a big lot giving the potential to add bedrooms/units to property, or even subdivide and build a new single to sell. I am currently intrigued by a 3-unit wholesale property I would want to BRRRR in Pawtucket, RI. Those numbers are not great. But it has a large lot, which I could subdivide and other sell for $40 or build a $150k single family and sell it for $225k. How do you throw that into a proforma?

I find that two unit properties in my area (Providence, RI) are rarely good investments from a cash-flow basis. They are good on an appreciation level, though, because the highest and best use of duplexes is for owner occupants, who will often pay more for a property they will occupy than an investor will. I find that the greater number of units, the better price tag per door. Otherwise, I say you've have done your financial due diligence. Pull the trigger, but make sure you make the purchase contingent on an inspection.

I have spent the last 10 years licking my wounds after the downfall of the last market, building my real estate sales team in Providence, RI. Now that my credit is back and my wife and I again have some cash saved, we're going to start investing in this growing shaky market and hopefully be well-positioned when the correction comes. My wife and I are investing with three other couples. We're all in our mid to late 40s. We're cashflow buyers, 20 year holders. We plan to buy BRRRR and semi-turnkey residential multi-families, 3 units and up, leveraging our cash to scale as quickly as possible.