All Forum Posts by: Jeff N.

I will never recommend how someone should use their cash, but it sounds like RE investment is a new idea for you. If this is true, I would be careful starting out as aggressive as you mentioned in your scenarios. Actually, if you are getting conventional mortgages, you are going to be limited to the seasoning time anyway.

The RE investment market is full of unscrupulous people/companies that will be more than happy to help you "invest" these funds, especially in the turn-key market. I would recommend you find what you feel is a good deal on one investment property and post the details on BP and let us analyze it so that you can gain some understanding on how to predict cashflow and analyze a deal.

Nice to hear things are doing well, but I have to disagree with your assessment on long term fixed for investment loans. I have been finding quite the opposite on my side for conventional loans. If you have documented income and meet FM/FMAC guidelines for cash reserves, banks more than willing to lend you money. At least on the 1-4 mortgages, I not too sure about the 5-10 mortgage market.

I'm in the same situation where I go back and forth between paying my 30yr mortgages off or buying more properties. Currently, while money is cheap and close to inflation, I'm going to add to my portfolio instead of paying off debt. I recently received a 30yr investment loan at 4.5 on a 10yr old property. As long as I can continue to get these rates I'm going to continue to purchase more going forward. When interest rates rise then I may consider paying off debt.

I'm in the middle of restoring a recent purchase and with new paint and carpet the wall switches look dirty from yellowing over time. I notice it and would like to install new white or cream outlets and switches, but is this worth the time? Will tenants even care?

Definitely understand your point. But looking at it from a expanding business prospective. If you have been spending the money mailing these flyers why would you want to loose leads like this; especially when you have 30+ PM staff. Couldn't you make just one of these employees on stand-by and have these leads transferred to their cell? Especially if your mail campaign is sent out on a holiday week. Just doesn't make sense.

I have been receiving a flyer in the mail from a local PM service in my area about every other month the past year. In big letters on the flyer:

"We are expanding our Property Management Program to include your area. Over 33 Professional Full Time Staff"

After receiving another flyer in the mail earlier this week I decided to give them a call Friday morning to see what their fees are and check their responsiveness.

No answer all day Friday to their advertised phone number. Called again today (Saturday) and actually someone answered but they said no PM's were available today to talk to me. They said to call back Monday.

Not sure what I'm trying to say here, maybe I expect too much when I read these PM promotions.

Wife and I went to the mall last night after dinner. The news is saying stores are packed and breaking records but thats not what we saw. Our mall traffic was heavy, but not crowded and not too many people were carrying bags.

I wonder if we are in store for a slow retail runup to Christmas after this initial surge the news has reported.

Mitch, I may be going off topic here, but not always the case. A few years ago I hired some additional employees (out of state) for my business to answer emails for my company from home. I always did my own payroll, but I neglected to contribute to one of the out of state employees workers comp fund in NY (100% my fault). I received a letter in the mail a few months after her start date requesting the immediate registration into workers comp for the employee, which I did. A few weeks after that I received fine of ~$25k ($250/day penalty) for the days she wasn't registered for workers comp in NY. On the penalty form was information to challange this decision and it stated that I could not represent myself, I was required to have representation if I were to go forward, and that LLC's for workers comp cases where not recognized in the state of NY. All penalties are directed at the members, not the LLC.

Anyway, long story short, I was penalized directly, NY did not recognize my LLC. BTW, lesson learned, I no longer attempt to do payroll myself. I have found it's nearly impossible to run a business and be responsible for payroll. It pays to hire someone that knows what they are doing.

Thanks Savana, I have been seriously considering transferring a portion of my IRA into silver also, instead of equities, pretty much for the same reason.

How are you buying Silver? I visited our local coin shop to buy some uncir. Silver Eagles, but they wanted $5 over spot. He said they are in demand right now and people are paying. The 1oz bars sell for $2 over spot, but he can't keep them in stock. I want to leverage in over the next two years, but I don't want to get ripped off doing this either, and I want to hold physical, not the index.

Anyway, ended up buying a few rolls of Silver Eagles at $37. But with so many people doing the same thing, I feel I'm buying into a bubble. But, with the administration saying the solution to cutting spending is to raise taxes, it gives me a little comfort that hedging into silver may not be a bad idea. Thoughts?