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All Forum Posts by: Paul Stout

Paul Stout has started 38 posts and replied 250 times.

Post: New Member from Ft. Myers, FL

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

Welcome to BP.  Seems like your in a good area for investing!

Post: New member from Mesquite Tx

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

Welcome to BP

Post: Newbie from North Jersey!!!

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

Welcome to the forums!

Post: Looking for some Opinions on Education

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

16 months and you can have them all!

Post: Pay off credit cards or buy a 3 family in July?

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

I vote buy the investment property and use the cash flow to pay off the card.  

Post: Fraud with our Birmingham turnkey property

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

Terrible!  Thank you for sharing.

Post: New Investor from NWI

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

Excellent!  Welcome @Robert Cornoyer There are many opportunities in your area.  I am just starting out in NWI myself.  I'm sending you a colleague request with my personal contact info.  

Post: New Aspiring Investor from CA Moving to IN

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

Welcome to BP and I hope the best for you @Emily Baker

Post: Should I get an interest only mortgage and invest the principal?

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

If by "market" you mean the stock market the answer is a resounding NO!  You will most likely not net over 4.65% over the term of your loan.  Even the best of the best can't guarantee this.  If anyone does, run from them as fast as you can.  If you do, great.  If you don't, you're homeless and your credit is destroyed.  Remember I said net.  Investing is a game of risk vs. reward.  The reward in your case does not and will not justify the risk.

Let's say you do this and for a year or two everything is going fine.  Then in the third year you lose 40%.  You will probably do what most people do and sell to guarantee your losses.  The stock market is ruled by those with no emotion.  It's hard enough to remove the emotion without something as emotional as your home tied to the money.  

Now if you are talking about real estate then the answer is still no.  You would be much better off selling your home and moving into a multi unit and letting tenants pay off a large portion if not all of your mortgage.  

Post: Need help! My first property is underwater!

Paul StoutPosted
  • Mobile Home Park Investor / Licensed Indiana Real Estate Broker
  • Chicago Area, IL
  • Posts 262
  • Votes 135

I think if you want to keep the property you should.  Think of it as your negative cash flow as a payment for this house.  If you would pay that for it then keep it until it turns around if the market says it will. 

I would not recommend dumping that $30k into the property.  Use that to buy a cash flowing property that will offset this one.  Not the best way to get started but at least you've started.