All Forum Posts by: Alonzo Garza

Hello all, my name is Alonzo from San Antonio, TX.

I am currently crunching numbers to see what makes most sense for the following 2 scenarios:

1. Stay in my current home and buy a comparable or smaller home with great rental potential.

vs.

2. Rent out my current home and move into a slightly larger home (which will eventually become my 2nd rental).

I'm crunching numbers for the following:

• What to charge for rents in my area based off comps and Gross Rent Multiplier
• Use a Rental Mgmt Co. or do it myself (Just read this great book). 
• I don't have my real estate license so I'll have to use an agent to for MLS research.

Any advice or encouragement is welcomed.

-Alonzo

No car payments over here.  All vehicles are paid for.  I drive a 2003 Corolla w/ great gas mileage and it purrs like a kitten @ 80 mph.

I tend to think that a vehicle is a depreciating liability, not an asset.  As Robert Kiyosaki defines it:

Asset – An asset is anything that you acquire that puts money into your pocket. Assets are what the rich use to generate wealth over time. They come in many forms, including real estate, businesses that don't require you to work at them, stocks and bonds.

In contrast to something like a car which takes money out of your "Bigger Pockets":

Liability – Any acquisition which takes money out of your pocket. Unless you're delivering pizza, then I guess your car is putting money back in your pocket.  :-)