All Forum Posts by: Peter Mckernan

Hello @Austin Smith

Glad you made it to BP and it sounds like you have a wealth of life knowledge with the multiple jobs that you have done thus far in your life. I think that the job experience that you talked about will give you a leg up on a lot of competition because you are able to apply the knowledge you have to house rentals and relating to the tenants you'll be screening, or at least give great insight to the property management company when they come to you with a perspective tenant for the property you buy this year.

You are still crazy young and have some time to figure out what you are going to settle in for work for the long haul. Real estate might just be that pure passion and joy you are looking for in a career/life. Good luck and reach out to local people in your area and I know they would be willing to help, and maybe even mentor you on your journey.

Good Luck! 

@Derek Petersen @Mindy Rohman

I would contact @Dick Rosen for property management in that area. He is a great property manager in that area and has quite a bit of experience in property management. He has been running his company for the past few years and also managed his own portfolio when he lived in Minnesota. He now lives in Phoenix Metro area and is a great asset to your portfolio.

@Gaurav Bahal

Your friend has some options, but what does he want right now in terms of living? Does he want to buy a really nice place, or a property that isn't in the best condition and that he can  fix up (which will cause forced appreciation).

As you probably have heard on the podcasts that no one buys a property and banks on the value (appreciation going up), that's kinda like throwing a penny into the fountain and making a wish hoping it comes true. There has to be an angle of reality to investing, so that you don't get caught on a bad turn. 

Also, real quick, where does your friend want to look for commercial property? The desert areas outside of LA can be very rough and may cause for many headaches (repeated tenant issues). I get that the desert areas are very low value compared to OC, LA, and even parts of the Inland Empire. 

I pick 3. b

This is to buy a property around $350-$400 (that can be fixed up, that forced appreciation) and then turn to the rest of the money to a possible SFR or Duplex to test the waters (most likely closer than the desert).

Hello @Jeff L.

I have one an attorney that I use and will PM you.

That's a good situation. Yeah, I'm in the same boat with a property I have been holding for a little over a year with a partner of mine. We are going to list in February and perform a 1031 exchange for a bigger property (duplex or triplex). That might be a good thought too.

I believe there are still deals out there; however, they are something you'll have to go out and literally fight for! @Frank Lienert

@Account Closed. He has been through many years and through many investments! Property Radar would be a great resource to use for looking for those foreclosures. It gives you dates and properties that will be sold at the courthouse steps too. 

I agree with @Joe Villeneuve on his reply. These are not defined goals; however, you can just define them by putting forth more detail and also how they will be accomplished.

The property you own on the east side of Sacramento sounds like you own it with some family and are renting it out to capture 50% of the rent/sale? If that's the case, have you talked about selling the property and cutting the profits in half and buying another property that is cash flowing and keep that cash flow for yourself? That might be a better move instead of holding on to it for ten years, then selling it with a harder time or harder market.

Just some thoughts! And NO, the two properties in one year (your first year) is not too ambitious at all!! 

I started two years ago with a downpayment and a partner, it has been slow, especially with the changing market in my area; however, we did have savings with no money placed towards marketing. 

I believe real estate is about calculated risk that is reduced by increased equity. With the ability to have more equity in on the property/properties it reduces the risk, but still gives you the advantage to make more deals happen without depleting all your capital. 

I would network, and market well. Once you get out there and people see that you have work ethic you will be able to partner with someone on a deal, or multiple people, which will reduce your portion of the investment. Eventually you will not have to partner with anyone because the cash flow, savings, and capital you have from all the other deals.

I haven't seen any posts from you, but I'm as curious as @Joe Homs. What do you have in Orange County, and let me know if you have anything in the Inland Empire.

Hello @Reggi Hunter

Welcome to the site and everyone that posted on here is correct, there is a wealth of knowledge and helpful people on the site. I am from Redlands originally, and moved to Orange County. Good luck with your real estate license! You'll do great and post questions on the site along your way through the classes!