All Forum Posts by: Rick Pozos

The biggest problem is that the woman can not afford to live there. This is the American problem, we want but can't afford.

I have purchased so many houses a year or 2 or 3 after the divorce. She said, I was trying, working 2 or 3 jobs to pay the bills, but just couldn't. The kids dont work, but still want to go out to eat every day. They have to have the Nike and $200 blue jeans. Sadly, Mom can not keep up.

Sometimes people need to face reality and move on. Sorry for the kids who want to stay at that school, life happens. Maybe they can rent an apartment in the district?

Big change in lifestyle happens when divorce happens. Most people just dont want to face it though.

YOU acquired 9 properties?? or the company you work for?? And did you sell them all??

Anyone can buy a bunch of properties, can you sell them and make a profit is the real question.

An LLC is going to help you lower your taxable income if it has losses. That is for sure.

BUT the biggest thing that is going to get you out of your jobs is living on less money. If you guys make 150k together per year, or 120k after taxes, try living on 60k. Put that extra 60k into real estate. After a few years of living on 60k-ish per year, you will have several rentals or STRs or small businesses. THEN you can have one of the spouses quit or retire or whatever. Then after a few years after that, the other can quit. It is still going to be a business that you run and work 30 to 40 or maybe 60 hours a week, but it will be yours.

Hey @Jessica Cooper you would probably need to pin down a state, then a city or region first. Major cities of Texas is just too broad to even think about, now you say you want to look at Florida, Tennessee, S Carolina and Georgia. WOW. 

You should go visit the areas where you might want to own property. Talk to some local investors and/or agents there. THEN start to ask questions about THAT area. There is so much variance of tax rates, insurance rates, should the house have a basement, foundation issues, do I need a 1in copper water line or is pex better for the climate, etc. Who has a septic as opposed to city sewer and why. Too many differences that you dont even know to ask about. Pick an area, go there and see if you like it, then start to decide.

Great Job!! When I first saw that picture, all I could think of was the "Amityville Horror" house.

https://m.imdb.com/title/tt0078767/mediaviewer/rm2920252416/... 

Your blended rate would be about 4.75ish. Thats not bad either, and you have 100k in your hand. If you can buy a house for that 100k cash it should cash flow enough for both of the properties.

OR live well below your means and save $500 to 1000 or more per month. Save all the cashflow from the rental and within a year or so you will have enough to purchase another home with 20% down.

Try a different lender. Maybe find a broker who has access to different companies. Someone will lend on the property.

Sounds like you need to work on that building of trust with other people. If you are doing a deal 50/50, that is not a small insignificant part of the deal.

Whatever you are doing, it has to be valuable to someone. Find that person that it might be valuable to and partner with them.They will be the ones who offer more equity because they NEED you.

You can not be 100% efficient 100% of the time. If you are making some cash flow on the properties the way they are, keep going with it. Dont mess up something good. Real estate is supposed to be the little extra that you end up retiring with.

It's kinda like the 401k. Let it grow, let it grow. After a bunch of years, start to sell it off if you want to live off of the houses. They will probably have doubled again when you are ready to retire.

If you need cash, sell off one property that is doing the worst or the most headache. OR try the 1031 again. This time with more preparation.

It's kinda crazy the kind of tax benefits that there are in the tax code. This is why doing a live in flip is so valuable. You can buy an ugly house, fix it first or live in while you do the rehab. Stay there a few years and keep the profit TAX FREE!! You can make 100k every 2 or 3 years tax free. My wife and I have done this a few times. I love it.