All Forum Posts by: Account Closed

I have posted on this topic before, but am seeking a fresh perspective. I am considering pulling out my 401k to use as seed capital for a few new flips. What are the risks, is this wise? Would you caution someone against doing this and why?

Thanks @Austin Soros and @Shiela Zhao I'll definitely check out WCAP financial and seed capital. But I guess it is important to be careful but I think if I can manage things right having credit card options can help me have a bigger cushion to work with and diversify debt choices.

@Derrick Thomas @Shiela Zhao gonna hope in this chat. Been involved in a lot of family business myself and come from India where communal lending is very common. I think its very different in the states when it comes to looking to family members for seed capital money but elsewhere and in certain communities its actually really common. Just my 2 cents.

I also like @Austin Soros's approach here. While I think long term getting an investor is good I think its good to start out with a FHA mortgage to start growing your business and building personal equity.

Hi @Account Closed on this one. I think equity capital financing for seed capital is the optimal route to take. I think it's a great idea to find a pure equity investor or a good business partner so you have more flexible financing options. I think it's tough starting out from a seed capital financing perspective to try to lock down a ton of mortgages when you're still building up credit.

Happy to clarify! Burned through it mostly on rehab costs going over budget. Thought we had a good value unit but ended up finding mold and some structural damage and had to tear out more than we thought. Long story short we fixed it up to a point where we can rent it out but way over budget. I'm looking to recoup my investments quickly at least in the short term.

Based out of the Charlotte, NC area. From what I've seen they charge taxes on airbnb rentals here but nothing about banning it outright like NY or SF. You have a good point on the insurance side and I'll have to talk to my agent about it.

All said and done, do you think I can recoup my costs quicker using Airbnb? 80% occupancy is a number a buddy of mine threw around as a target to do better than a standard lease but I think I can achieve higher in this area especially with the university students.

Call me crazy, but I think it's worth it. I drained my seed capital and found myself draining my 401K to finish out my last unit. It seems cheaper than some of the crazy fees I'd pay on hard money. Are there other options? Looking for cheap debt options out there.

Found myself in a bit of a pickle in a market that doesn't have many people looking for rentals and trying to crowdsource some unconventional marketing techniques. Only have 2 more months of seed capital before I'm dry so need something good. Any viral marketers here?

I've been using Airbnb for vacations and found myself wondering if people put up their properties permanently on Airbnb. Seems like a bit of a pain in the a* with having to clean and offer the full "works" every time but it does pay a lot better than typical year lease rentals it seems even with just 80% of the days covered from what I checked. Burned through my seed capital quick and just starting to rent but having second thoughts before I start writing up some year leases.

What's your experience?

Hey guys, just trying to get started with real estate investing and wondering what your thoughts are on using credit cards for financing some of my seed capital costs for real estate investing? Good or bad idea, and where would I look to get qualified for high credit limit and low fee cards?