All Forum Posts by: Nick Brown

Hi, not sure i understand your question. But if i do then really the navigation was just search the web and watch a few videos and decide what firm I wanted to use to transfer my old 401k into.. THe only thing that I think its important for others to understand is what it can't be used for and how to handle the funds at arms length

Investment Info:

Condo buy & hold investment in Dallas.

Purchase price: $140,000
Cash invested: $140,000

Bought 2 condo side by side. ($70k each) They had been flipped so everything completely swapped. except aircon and electrics. Renting for $890 each a month.

What made you interested in investing in this type of deal?

Cash Flow

How did you find this deal and how did you negotiate it?

MLS, negotiated it down by $8k each apartment

How did you finance this deal?

Self Directed IRA

How did you add value to the deal?

None needed as they were flips

What was the outcome?

Earning $390 FCF per month

Lessons learned? Challenges?

Buying a flip that's done can still be a good cash flow earner.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am a real estate agent.

@Amanda Polton

Hi. I think you might be the 3rd person posting about Duplex’s and multi family in Frisco in the last 30 day.

Short answer. There are no cash flowing duplexes in Frisco. Inventory is tiny for a city this size. Ones that are built are too costly to cash flow. Appreciation might be a play if you can get one. But get in line. Any that do come up are bought cash by very experienced investors. Investing in Frisco is very tricky Period. As you have seen prices are at 9% makes junkers over priced for investing proposes. Betting on an increasing market to make it work is just gambling.

I don’t know your previous location so can’t make a comparison. If you want pointers in Dallas where there are possibilities for investment let me know. I can help with that. But Frisco for a newbie is out for so many reason. Unless of course you’re high risk.

@Sean McGrady

I am not a Texas native but love it. The posts are above are good advice. DFW is massive. Where you work is important before deciding your living location. When you say good place to live. Do you mean actually to live or do you mean a good place to live and invest? They are totally different areas. Right now new investors have little to no chance on multi family. As mentioned above you will be blown out by experienced cash buyer every time.

I think what we are all saying is you have some homework to do. What’s you investment strategy might be your first question to answer rather than where you want to live. Then is where to deploy that strategy for success and continued repeatable success. DFW is too big to try and do it everywhere. Get to know 2-3 neighborhoods where it will work. Knowing your market area and farming it is key.

Without that in you pocket. Questions like where to live are too vague. All you will get is opinion based on individuals experiences which has nothing to do with your needs.

@Lallu Tappu

Have you looked at Condos in Dallas? Reasonable cash flow in C class areas in Dallas. Appreciation obviously lacking . But in this market you can not have both.

@Lallu Tappu As a realtor in Frisco who has a few investors searching that area there is no longer any cash flowing properties. All my investors have moved north or doing appreciation play. We have narrowed down to a very small area in frisco that has potential for reasonable appreciation without having to pay 600k plus. Prosper is a similar situation. Plenty of crappy houses to buy but all over priced and crawling with investors. I am buying in Celina & Anna now. Even land in Gordonville.

@Alex Belyarchik

A lot of good advice on these reply's. Bruce as always I think is bang on on the areas. You seem to want cash flow. That's great. But you need to take into account your ROI. You can make anything cash flow positive if you put enough down. North Dallas and surrounding area to Ok are tough for cash flow with good ROI. Have you considered condos? Appreciation on lower cost condos are not like SFH. But it does provide cash flow and a reasonable ROI.

@Bryson Rogan I am both investor and real estate agent. I will send you a connection request. What can I help you with?

@Kachi Anwuri

Hi. I find people ask this often. Multifamily typically are a better ROI. But when I talk to people I ask. Why are you making the distinction on investment in such a one dimensional way?

There is so much that needs to be considered when making these decisions.

The market your talking about, demographics

You experience

Availability of units.

The business case for any one unit or multifamily

Where your money is coming from might push you in a different way. E.g Higher Interest for riskier purchases.

As a new investor. Don’t ask what’s best. You will get lots of opinion based answers of people’s experiences or capability. The questions to ask is. “How do I…………? “

Investigate both fully, learn how to practically invest money in both SFH and multifamily in your area of choice. Decided which best fits your comfort zone and risk tolerance. Over time it will change I am sure. But do do your own home work what is best for you. Not what others say is best.

@Blake Washington Absolutely sir. Any day except Wednesday is good for me.