All Forum Posts by: Scott L.

Has anyone made this work?  I found an old motel that has no real purpose and no real interest in a decent area for storage units, but looking for someone that has done this before.

I did not buy it.  Not because I of this issue...I still woulda done it.  Seller thought it was worth more than i did so he still has it.  Poor guy.  Numbers gotta work.

Ok. Forgive my ignorance, what is JV? And where do you find a reputable partner in this regard?

@Lucas Allmon I am right there with you!

I have read the intro Ebook, read Paper Profits and was debating whether i should buy Note investing made easier, all this week!

Like you, I have a decent job already, not looking to replace it, but want some diversity in my investments.

I own a few small rentals, but am slightly annoyed with the calls for a leaky drain etc.

Anyway... I love the passive nature of Notes, and I too wanna get started, but how?  Buy a performing note off FCI?

Still can't wrap my head around it

My fault bad numbers, commercial loan/mortgage would be bout 330 not 450

Greetings.  Sorry for the specific post but I need some opinions since this is an area that is certainly new to me, and seems good, but is also a bit scary.

I own a couple of multi-families. I have some cash in hand currently and am looking to expand my LLC portfolio a bit. I have two different potential offers on the horizon for about the same price of 60k. The rents and Cap rate seems to work for me and are very similar to my other units in location and potential and I like the deals. My other two units are traditional commercial loans with the bank and i put 20% down.

The two owners of the new properties have offered owner financing and I'm trying to see the benefit of those options from my side.  I have 24K (12k and 12k) for a down payment of 20% for both, the mortgage would be about $450 for each commercial loan. which would be covered by rent and decent cash flow after still... I think i would qualified for the loans still... I would then be able to write of the interest on my taxes, and have a standard payment.  

Everyone gets so excited about owner financing that I really think i am missing something?  That's where i need help.  Why would i want to owner finance?  if i paid 25% down, and then paid a higher percentage for like 5 years and a balloon payment after that period of time?  That seems scary to me, like i better make a lot of money to pay off that loan at that time?  Or do I purchase with low money down, fix the place up a little and get my own loan after that time?  These two are basically turn key as well.  may need a couple 1000 in some minor changes and work, but that's it.

Help me grasp the benefits from a buyer standpoint please.  I get, that it is a good deal for the seller, a constant check etc.  I just need to understand how it is beneficial in my situation?  Closing costs? How should i not be nervous bout a future balloon payment? 

Any advice is very much welcome.

I am considering a duplex that has a common furnace, common electric, and common water.  

It's a great little duplex but I've always had tenants pay everything so undertaking anything. Like this is a little scary but is it worth the price it would cost to speedster things? Plus what if one tenant uses all the hot water?

Advice as I consider this place?

Ok.

Here's my deal. I saw a listing as i comb through the MLS for a duplex in a decent area. It's listed for 176k. 2 bed units, newer everything, very good shape all around. Anticipated rent roll is 950-975.

I contacted the realtor to get some back story as the price has dropped from 189 to 176.

He said there were some issues with encroachment with neighbor and have since resovled.  I asked why seller is selling, he said because he wants to retire, get out of the rat race.  I asked if he has other properties he is looking to unload.  Realtor said he has two 4plexes in a nearby area that are 340 and 350 respectively.  2bed units all commanding 750 in rent, and fully rented.

I've got bout 50K in cash. This seems like the first time I may have a decent shot and making a real move but not sure how to do it cause its a realtor and listing and the others are apparently not listed yet. I would classify the duplex in a B neighborhood. I ran the numbers and the CCR and Cap rate are both about 6-7%.

I currently only own a duplex in a C neighborhood commercial loan with CCR 20 and Cap of 17, so safe is where i have lived thus far. But damn you can't get anywhere if you don't take some chances or risks along the way. Would LOVE some chime in on what folks would do in similar situations...

Dan, 

Have you found any properties this way?  That have turned into owned properties?