All Forum Posts by: Sean Gallagher

Ok, so the smart thing here would be to do a lot of reading, start out small and see how I do, and if everything works out gradually work myself up to multiple units.

How profitable is the rental business? I've been looking over some threads here and see that percents are used a lot when dealing with duplex's/ plan on renting out a building. I'm not too certain on the percents and to be honest am a bit confused on how to tell if the property will be profitable. Like how much do you guys know to charge monthly? How come you just say take 10% for this this and this. Why don't you just add everything up , figure out the percentage that is of the monthly cost and then add a percent or 2... What is it like 50% of monthly charge? My problem is that I'm just starting out and have no clue what is involved/ what bills need to be paid by the landlord and what by the tenant. I'm very willing to learn, most of the threads I read it seems that the thread starter already has something going. Not me, but someday I hope to have many/ a nice size complex. How reliable are rentals? I'm going to keep clicking on post and reading. Im 19 and want to see how much i can accomplish by the age 30. I have a long ways to go, I've been talking to business men lately, and it helps.. but one told me he has been there before with rentals and it didnt work out for him.. But my vision is that i see a lot of successful people on here with rentals so whats the problem? Everyone needs a home right? I mentioned a lot in my post, if someone can touch on atleast 1 thing for me it would be greatly appreciated.

Ps how much cash flow is attainable with a rental? I guess it help once it is paid off huh? please help, thanks guys

sorry you're right, thanks

so in turn it is your house? I don't quite follow, So what if the potential buyer wants to see the house? The seller that signed your contract has to give you a set of keys? Who gets paid the money?
Can someone describe this process?

but i doubt you're able to control him saying if you are to buy this house you HAVE to deal with my price.. basically saying its this price or nothing and the homeowner is out of luck as well. That doesnt seem right hmm, help us out here guys

hey mej1990tm, I was following your replies and I understand where you're coming from. I'm 19 and have a strong interest in not only REI but looking for ways to work for myself. It didn't take long for me to realize that at a young age people in the construction field were going to look down on me at first. If you have good work ethic and prove what you're made of.. usually it will change. I know they like to take advantage of us teenagers as well, speaking up and keeping your ground always helps : ) show em that ya gotta pair . No offense to anyone on here because not everyone looks down on us younger guys but some do.. and im sure we have all been there.

SO mej1990, what you're talking about is basically wholesaleing correct? I was leaning toward this as well, Have you put together a contract yet?

My question always was, ok so you have a contract with the owner of the house saying if you find a buyer you can sell their house for as much as you want to try. Well if the potential buyer say sees that you want 300k for the house and the homeowner only wants 290k then wouldnt he just go right to the homeowner and give you the finger? Cause you know they'll want to see the house right away and talk to the homeowner. Because i know the homeowner can sell as you try to sell. Confused there. Good luck tho man, stick with it

lol having like 5 investors leaning toward the same property, not a bad idea.. increases your chances that one will take it, that's for sure. Are investors usually quick with wanting the birddog to find them a deal, like hurry hurry hurry and a persistant phone call?. Just curious to see what im getting myself into.. i know everyone is different but maybe a birddog would be able to give some insight as to how they approach finding a deal and what they usually go through with an investor. Please pm me if you would like.

hmm, I'd feel a little weird getting myself into a situation where an investor is relying on me to do something I've never done before, especially when their money is involved. For instance why would they want to pay me money when I'm pretty much just starting out? So ok I label myself as a birddog for a little while to gain capital and post an add like you say. I get a phone call and I get asked how much experience I have? I don't see this working out too well for me? Whats the role? Searching for houses that I think may be a good deal and gaining as much information as I can about them , then meeting up with the investor im doing business with to show him what I have? I dont see why it's really that hard? There are sites online that pop up foreclosures in minutes. Wouldn't this investor have more then one birddog? I'm open for suggestions. I was also thinking about day trading, but that has to be done daily doesnt it? Im at work 8 hours a day so that doesnt work out too well. Something on like a sunday would be my best bet since I'm in college right now for a degree.

thanks jon I really appreciate you giving up your time here to help me. At the end you noted how it would be unlikely for me to find deals like that listed on the MLS. I have found this to be true as well; hard finding a deal at all. Most of the homes I see on the MLS in my area are up to par and have been well taken care of / have been rehabbed already, very rare to see a deal on there, I guess those that are willing to sell low don't stick around too long, maybe their property is sold quickly? Or maybe they dont have the money to subscribe to an MLS service?

So where do you find most of the deals at Jon? Foreclosers? Searching the area? Bank REO's? I'll have to check out the glossary on here thank you!!!

also these percentages, im not too sure at times but its like another language here lol, What percents are used to determine if a rental is good or a flip?