All Forum Posts by: Pierre E.

Anyone known any contacts that could perform a cost segregation study in the DC Virginia Maryland area?

Any advice for someone going through it for the first time?  Things to watch out for, things to expect, things to avoid? Or things that could make it go as smooth as possible?

Did you do your CSS before or after renovation, or both? 

Thank you in advance for the help!

@Elisa Zhang

I am not OP but I feel most people have said that acquiring buy and holds is the way to go with real estate longterm for wealth building. Regardless of preferred initial method flipping wholesale private lending etc…

What are your thoughts about truly passive investing compared to lets say stock market investing? And what are you including in thst group?

REITS? Notes? Private Lending? Equity Partnerships?

Would love to learn more from your perspective and why you chose what you did.

@Taylor Dasch

Right. To me I also see the value as I am going to live somewhere, might as well maximize on my primary by doing value add on a fixer upper home… even if I put more down the 203k really gives a bonus to upgrade the home. Right now I am thinking I was told what I was told due to fees etc for cosmetic upgrades… but maybe on a full gut it makes more sense

@Hugo McBride

800k -

- 10% return is 80k in a year

- 20% return is 160k in a year

I would consider, is there something i can do with that cash that I couldn’t do without that sum that I could generate good return with?

I like what someone said about buying cash-flowing multifamily but end of the day….again what can a lump sum do that I couldnt do without it?

I would go for whatever that is. Some people have said they would do “the same thing” but thats like someone bowhunting being given a semi automatic and saying I am going to hunt the same exact way without any consideration for alternatives. (I concede that maybe what they are currently doing IS the best method, but “stay the course” is not the right answer for everyone… some people will need to upgrade! 800k all at once is a different tool for some all-together that opens different strategy opportunities)

Is there a point at which  due to the fees and cost associated with refinancing,  an fha203k loan is not worth doing?

I feel like with a property purchase, even "turnkey" there are things to fix and upgrade to optimize rent potential and reduce headaches down the line... something that might cost 5k for example.  

Is there a value add or rehab cost threshold that people have seen where it typically pays off to do the FHA 203k loan? ie dont do 203k unless you need to spend x amount or more? or don't do FHA 203k unless ARV Equity added is expected to be ____?

I hope its not a dumb question, but in searching for a fixer upper home to live in and get value add a lender discouraged me from doing that on the house in question, stating with the level of rehab being too minor for it to be worth it. 

 for 1031... lets say you sell current owned prop for $200,500 you can buy another property for 201,000 and thats ok? 

What both said above. Best bet is to get a PM or Real Estate Agent to help you list the property and prepare the lease etc. Otherwise, Avail, Apartments.Com (aka Cozy), TenantCloud, RentRedi, and others can handle official payment, official maintenance requests etc if needed. Otherwise, get a specific gmail address and use that to get a google voice number to use wither everyone involved. You shouldn't have too much to worry about if things break call HOA/Maintenance or an individual handyman. Make a list of a few handyman services ahead of time just in case.

IF you really would prefer to not self manage the first year, then you probably will need to pay the going rate for property management despite the overlap.  

And also make sure YOU are not their first listing. Their first listing should be an experienced AirBNB owner that can handle the issues and mistakes... and can catch them quickly.  Your first arbitrage should be someone with experience doing it with some success. 

I am local to you in PG, I know a few other investors and a few STR self managers... but will ask around about those interested in arbitrage. Feel free to DM me if I haven't DM'ed you by end of week.

Just to be clear:  
- PM route = they take a % cut of what you make that month 
- Arbitrage Route is like Master Lease where they pay you fixed fee monthly, and they make whatever else they can on the top.   

You are interested in the later? Former? or both? 

Thanks for the thoughts and responses

One thing that was interesting as an idea is scratch resistant wallpaper if there is such a thing. Will look into it!

This is an STR so lot more "bulky" traffic

I have seen these wall panel things but not sure I want to go that route. Considered semi gloss but the whole imperfection highlights thing… maybe ill try it though

Thanks agains everyone!

Have a property where the entryway walls are narrow and gets marked up often and always needs new paint. Any options for something to put that isnt too dark or cheap looking but can cover the walls and protect from constant scuffs(from bags, luggage etc)? Esp from floor to chest high?