All Forum Posts by: Rod Smith

Thanks!

Hi @Michael Hayes

how is your research coming? I am kind of facing the same dilemma.I am talking to an independent SEO specialist that takes the approach @Colby Hager outlined. His business model is intriguing because instead of charging me a monthly fee, he charges a set up fee and then a commission on every deal you close. I know some will warn against the commission, but my website is not bringing me deals right now, so giving him a piece of my profits isn't that big of a deal for me, if his efforts lead to those new opportunities.

i had some of the same questions you had, and this forum has actually given me a better perspective on large company, vs freelancer, vs. trying to do it on my own.

Hi All,

i have a website that has been underperforming, but that is because I haven't put enough time and effort into learning more about SEO and done more to customize it. I have been in discussions with someone that specializes in SEO and lead generation for real estate investors, vetted him through references, and he seems to be as advertised. My question is, is there really a "magic formula" that only the Pros know, or can I optimize my website myself? If the answer is the latter, is it possible I would lose the money I think I would save by missing deals while trying to learn and upgrade my site myself? 

For context, I have a Carrot site and can follow instructions, but am a total novice when it comes to websites, and no nothing about code.

Thank you in advance to anyone that took time to read my post and provide advice/feedback.

All great points @Joe Villeneuve and the kind of reinforcement I needed to hear. Thank you

Hello All,

I have been dabbling in real estate investing for a few years, but have not grown at the rate I would like, mainly because I work out of the country. I currently have 3 houses; 1 owned free and clear, 2nd with a small mortgage ($20K), and the 3rd I only owe about $1800 on. The property I owe $1800 on is worth approximately $80K, so I have been looking into doing a cash out refi for a cash injection to help with the purchase of more properties, but I feel that the closing costs are excessive.

My question is, is there such a thing as too much to pay in closing cost/prepaids for a refi or is it just the cost of doing business? I understand that money costs, but I don't feel comfortable with 10% of my added debt being money for cc & prepaids. Am I looking at this wrong?

Full Disclosure: I have other cash reserves, so the point of the refi is to be in an even stronger cash position and make my investments work for me, instead of dipping into my personal savings. Maybe if I didn't have any money, this would be less of an issue for me. Should I just address this transaction as if I have no other money to grow with?

Thank you in advance for all responses/guidance.

@Account Closed 

Thank you all for your thought provoking responses! This discussion has made me stick to my intial goals of building a large rental property portfolio. Guess I was just getting a little impatient, which is never good. Thanks for being a sounding board.

Thanks @Terrence Smith 

& @Bill Exeter 

@Mark Whittlesey 

I said that eventhough I would still only have 2 units, I would not have to leverage house #1 to do it and I will have a little more cash anyway. Also, I ideally would like to find a multi-family which will increase my unit #.

Hello BP Family,

I currently own 2 SFR. One I own free and clear (House #1) and I owe about $28K on the other (House #2). The rent on the free and clear is $500 and the other is $675, so I am positive cashflowing on both. The $675 tenant is moving out at the end of the month, which has me thinking. I have been watching the market and I may be able to sell the house and make about $17-20K, however if I keep it a couple more years I may be able to sell for more or, quite naturally, I could keep for the next 25 yrs and make significantly more over the life of the property. The other issue is I want to buy another property and I am currently a little short on cash. So here are the options I am considering:

1. Sell house #2, and take that money to put a down payment on income producing property  and keep a little money in pocket.

Pro: I will still own the other property free and clear and possible increase my number of units if I can find deal on multi-family.

Con: Selling off a good cash-flowing property in a good neighborhood that rents easily.

2. Do a cash-out refi on house #1, keep both houses and have less cashflow, but have the cash to purchase another property.

Pro: Increasing number of units and maintaining established property

Con: Leveraging a paid for property and reducing cashflow.

What would you do? All suggestions will be appreciated.

When buying as an owner occupant, you must sign an affidavit stating that this house will be your primary residence and you will live in the property for 1 yr (however, I think some programs may still require 2). This is a legally binding document and someone found in violation of the HUD rules can face up to 2yrs in prison and up to a $250,000.00 fine. If this person was found out and only had to pay $10k, they were lucky.

Numerous BP members will warn against playing games with the government. Simply not worth it.

Welcome @Kevin Furst 

I invest in Augusta, Ga, eventhough I do not live there currently. I hope to relocate by the first of the year. It's always good to network, I'll send you a connection request.