All Forum Posts by: Ray Hage

Quote from @John Kilhafner:

So this is my first application that has had a eviction on their record, its a couple that are applying together for a house.  One had an eviction on their record 5 years ago and the other has nothing bad on their report.  Trying to get some opinions on what to do in this situation, the applicant that has nothing on their record is the primary earner in the relationship.  Already reached out to their previous landlord and waiting to hear back about their payment history.  

 I'd generally agree with @Dennis McNeely's answer on this. I'd also add, you need to be sure they can pay and have some savings put away. For example. is the primary earner's income enough to pay rent and other monthly bills? If they got a nice cushion of savings say like 10-20k, I would probably accept them as tenants assuming all the other ducks are in a row and if they are willing to put first, last and security down (if legal in your county/state).

Quote from @Michael Weleski:

I am a 20 year old college student looking for advice on what to do in my current situation. I work 2 (soon to be 3 jobs), live at home, attend college, have 20 grand saved up on top of stocks and an IRA. Should I pull the trigger on a investment property now or should I wait until I graduate college to purchase something?

What's your major and what is your plan for your college degree (for example, are you a finance major and planning to work for a large investment firm)? Without more info, I would probably tell you to wait till after college to get an investment property. I would imagine 3 jobs and college is enough on your plate! You got plenty of time to get started.

Quote from @Jason Bu:

I’m Jason Bu and I live in Miami, Florida. Been looking into buying either an apartment down here or a house or multi-family in a city like Titusville or Fort Myers. 

Hey Jason, I am an investor and realtor here in south Florida. What's your plan for the property? For example, are you for a turnkey or fixer upper, STR or LTR? etc

Quote from @Rhianna Cultrona:

Looking for recommendations

 Hi. I am also a PML and have a great lawyer in Orlando Florida for this. Are you planning on lending for properties in Florida or Ohio or where? I would strongly suggest you get a lawyer for whichever state/s the property/ies will be located in.  

Quote from @Robert Ellis:

Quote from @Ray Hage:

Quote from @Haley Cisar:

Hi everyone! We are hoping to start the process of becoming a private lender to investors. 

I would imagine our first step in this process is speaking to a lawyer to make sure we have the needed documents and protection. We are looking for recs on lawyers you have worked with around Tampa Bay. Also any advice you have to two young people just getting started would be appreciated! 

 Hi there! I am also a private money lender here in Florida, but down in Fort Lauderdale. I would be happy to talk you through it. I also help raise private money for flips mostly in the Orlando area. 

You probably won't need a lawyer to come up with your own documents if you'll be dealing with an experienced flipper. However, you will want your lawyer to review those documents to make sure you are as best protected as possible. If it is a new flipper you'll be working with, then you would probably have to draft documents from scratch. I work with an attorney in Orlando that can probably help you in that. I'll send you a dm.

 what do you do in south florida? 

 Primarily, I am an investor and realtor in Fort Lauderdale. I also loan money and raise money for flips. 

I would strongly advise against it unless they are a true handyman, carpenter, plumber, electrician, etc. If the work gets done incorrectly, you'll have to fix it again later.

Quote from @Keegan Darby:

Quote from @Kyle Spearin:

@Keegan Darby when you sell, what's your goal with the proceeds? I ask that because that would help inform the strategy.

 I would lend it out via hard money, which I'm currently doing, at 10%. 

 I think right now that's the best use of the money. I also loan out as private money lender mainly in the Orlando Florida area. Returns can be much bigger than 10% (at least here), especially if willing to take 2nd position.

Quote from @Kyle Z.:

Thank you all - I will not be able to deduct passive losses against earned income, so I won't have that benefit. Timeline for IRRs I sensitized around 5,10,15, and 20 years (and at 2% appreciation). I am already maxing out retirement contributions. 

Let me ask in this case; in what scenario would you want to pay down your principal with a high interest rate??

I suppose if you don't really have another reason to use the money (no plans to buy RE in the future, no interest in stocks/PML/other investments). Another reason could be to lower insurance costs as you will be covering less. I'd only be paying off very high interest debt like credit cards or another type of high interest loan you might already have (I don't consider 7% that high). 

It looks like it is a gas water heater but if you're still not sure, you can always check the model number in a google search. That will tell you 100%. It doesn't look too old. You can check the age via the serial number as well

You can definitely make a lot more than 7% in other ways through the stock market, buying another rental or private money lending. I'd tell you to not put it into your current mortgage and look for a better way. Personally, I put my money into stocks and also I lend money for flips mainly in the central Florida area. Also, considering getting into my own flips when I have more time to manage them. I think those are far better options to consider.