All Forum Posts by: Nicholas Norris

@Sam Shueh I work a second job to make up my difference and add a little to my income. 

@Kris Mo thanks for your detailed response and sorry for the late reply. I am definitely going to read those books thanks for the suggestions! And yes I have excel spreadsheets for my full-time income + my part-time income. I track all of my spending and deposit exactly what i need to pay my bills into a separate joint account, all of my bills deduct from that account and I give myself a strict food and gas budget for the week and thats really it. I fill my time with overtime work and doing as much part time work as possible. Im trying to pull in extra cash to pay off my debts (sub 5k from getting started in the adult world) and to save as much as possible. I keep all my savings in my own personally managed portfolio on robinhood. investing in real estate investment trusts, I usually bring in 2-3% per month in growth not counting my average of 5-8% dividends. 

@Jason D. @Ashely Perkins

Thats my plan! Ill be doing exactly as you say, but the FHA loan doesnt sound like such a catch to me. The less money you put down means more money to finance, which creates a larger mortgage and less cashflow?

In my area, I may have to build a new quadplex. I am in Atlanta (OTP east) and when you check out areas like Stone Mountain and by the beltline on the west side, they are relatively gross. Is building an option for someone starting out? I could probably save myself some money because i can do minimal things like hang drywall, tack shingles, hang gutters, landscape etc.

@Chris Connery Unfortunately, no i do not. My entire family wants me to go to school and become an engineer or something. They don't know that I dropped out to pursue this dream of real estate investing. 

Hey Guys!

So I had a question of opinion for anyone just starting out/veterans. What is the quickest way to start saving? So ill give you the scoop on my life and budget.

I work full time for Publix. I have the stock options, great retirement, and pretty good pay. i make about 29k-30k a year right now and I'm 20 years old. So I don't think thats too shabby. However, life is expensive as hell! Im barely breaking even on my budget and I really only have a 3,000/month budget. I am slowly putting away cash, and my tax returns always go into the bank/pay off debt. 

Anyone have suggestions? I picked up a second job delivering food for postmates and I start soon. But even If i add another 1500 a month straight into the bank. I'm very far from reaching the 20-40k I need to buy a multi unit property. Suggestion suggestions suggestions please!!!!

Niki! Yes I know I don’t have to pay closing costs. I was saying I could put the money towards the downpayment to save money. Sorry for the confusion. But with regards to everyone else, Yes I did forget about having to collaborate with a broker. And I suppose since I am aiming towards opening an investment company rather than a real estate company, I should probably steer clear of the real estate license.

Good Morning Atlanta!

I had a few questions for some seasoned investors. This morning I came across a deal that would become my first purchase. The lady across the street from me is planning to sell her home come Fall, I told her to contact me before she puts it on the market and she agreed.

Now I ran the numbers, checked rents in the area, and calculated my ROI. It all checks out. However, I don't have an agent!! I can't represent myself because I don't have a license and I don't really want to increase the closing costs by introducing an agent to the mix. Now, my question is:

Would it be worthwhile to get my real estate license and represent myself? I figure I can study and get my license in the next month or two, just in time for the purchase. I also figured it would cut down on closing costs, and I could use my commission to put towards my down payment. I also thought access to the MLS and being able to show myself properties would be a good asset!

Any thoughts? I tried searching for this in the forum but could not find any relevant posts. 

Great responses from both of you! Thanks! I think i get the notion now. So my cashflow after expenses but before taxes will be my actual "profit" and the net income after depreciation will be the cashflow that the IRS sees and taxes. Cool. Thanks yall!

Hey Guys!

So i was using an excel spreadsheet to analyze a property that I may purchase this Fall. However, I noticed there was a cell labeled "depreciation" which always comes out as a loss. I tried to research what this was, and I came across a few posts. However, my mind is really not registering what depreciation is and how it affects my end of year profits. I know it has something to do with tax write offs, but I was hoping someone could elaborate on what depreciation is and how it will affect my single family rental. 

My main questions are:

1. Why is depreciation a loss that eats at my profits?

2. Is depreciation on a property required?

Thanks!

Hey everyone, 

I have no idea how this website works! So i apologize in advance if I ask any simple or stupid questions. I am looking to start investing in Real Estate. I am young, 18 years old, and I know being this young is unethical but I would love to secure my future and provide a landlord (myself) that will take care of its tenants to the fullest. I am currently attending college for Mechanical Engineering and feel as though real estate is a good fit for my schedule. All tips and advice are welcome in my eyes, and any begginners (like myself) that would like to collaborate with me are welcome as well! Thanks!