All Forum Posts by: Rick Pozos

I have split part of the profit with others, but they have to do something more than just lend me money. They have to find the deal or do some of the work or something. Anyone can just go and get hard money and pay the interest and NOT pay a % of profits.

10% is what I usually pay lenders. Some of them know real estate and are operators, but some know nothing about fix and flip.

I think you need to figure out what you want to do first and learn how to do it. THEN get yourself to some meetups and meet other people locally. Focus on your vision. You say you want your first investment, but you are looking at note investing, tax deed investing, loaning your money, etc. FOCUS. How to find a deal. FOCUS.

Go to a few meetings and ask every investor that you meet, "Tell me about your first deal. I am looking for mine and I need some help to get there".

Get their number and text them tomorrow and thank them for sharing their information. You will build a huge network that will help you more than you can imagine.

You made money, pay the taxes. Why is that so hard??

There are ways to lower your tax basis like having more rentals as an individual.

OR you could have a C corp. Most expenses for the business reduce taxable income. Even a small salary for yourself goes against taxable income for the corp. You can even put away money for your retirement that reduces income for the corp. Lots of ways to reduce taxes, BUT you need to know this stuff BEFORE you start to make the big money. For now, pay the taxes and move on.

Get knowledgeable on other entities and what will work for what you are planning to do.

I have done a few sub-to deals where I pay the seller a little, catch up the payments, and then get a 2nd on the property from a friend or family to rehab. I sell within 4 or 5 months. New buyer gets a new loan and the old one is paid off. Everyone is happy.

You are doing fine with what you have. The properties are almost paid off!! That will increase your cash flow even more. You know YOUR area, you dont know Indiana.

Get involved locally and see what others are doing in your area. Go to some meetings. See about finding another rental or two before you retire. Add to the cashflow that way instead of going 1000+ miles away where you dont know anything except what some salesperson has told you.

I have a property under contract and it's in a small town right outside of Corpus Christi. I am in San Antonio and I think I am going to just wholesale it. I think it's too far for me to keep it as a rental. What would you do??

It is much easier to be a realtor than a wholesaler. Pay the fees and get your license back. Dont go out to eat so much, spend less on whatever else you have to. Go to investor meetups, post on Facebook everyday or three times per day. Market yourself and the business will come!!

I use the TREC 1-4 most of the time.

The after rehab value is determined from comps. If you are asking what the cost of rehab is, well that depends on the condition. This is one of the things that you have to learn. There is no formula or set prices on rehabs.

I just went on airbnb and there are plenty houses in Dallas that are available. Are you sure they are banned??

There are regulations in every city. You just have to see what the regs are and follow them. You can see if it still works for you. SA has plenty of rules. Follow them and everything is fine.

I am NOT a professional note guy. I have bought a few in the past 20 years though. 

When I have purchased non performing notes I have attempted to contact the owner of the home. A quick phone call to let them know that I want to talk with them about the mortgage. Usually 2 situations: 1 can not contact them-start foreclosure. 2 Talk on phone, then talk in person. Come to an agreement or Modification that gets recorded. Heart to heart talk with empathy usually brings the homeowner to make payments on time, usually. 

I would use the sub to as temporary financing. Instead of just wholesaling, clean it up and maybe make it livable, sell for more than just a wholesale fee.