All Forum Posts by: Robert Seltzer

You are right...I was too polite to you earlier.  

You are clearly the type of man who as a kid had his lunch money stolen every day which explains why you confuse posting on BP with respect that needs to be earned.  

Why else would would you attempt to justify such bad behavior?

You are incredibly rude and un-professional.   

I just read through this entire discussion thread.   There are two comments that I don't see called out explicitly.  

Appreciation should not be a factor in your investment decision.  The  kind of gains we have observed the last few years are way above the long-term 2%/yr national average -- an average that pretty much just keeps up with inflation.  

Any calculation of rental income should assume both rental rate increases and decreases to check your cash flow model.  In the Bay Area in particular the rate rental increase is exceeding income growth and is not sustainable.

I would agree that an attorney is the right path.  Legal Zoom can help you get grounded and assist you in understanding the key questions you should ask.

Good discussion on this thread. You should also evaluate how much protection you actually gain from using an LLC given the additional complexities. There is a school of thought that argues having the right insurance structure in place for your properties is actually more important. And if done correctly, if you are only holding SFR, there is limited additional value in an LLC. That being said...discussion this with your CPA and attorney.

Very good discussion on this entire thread.  I would like to comment on the rent and hold option.   I have two rental properties in Spring TX.   My analysis suggests that anything over $1500 a month, regardless of the property, will take much longer to rent.  When you cross the $2000 level you are into a segment of the market where many renters have the monthly cash flow to purchase.   A plan that takes your gains from a flip and applies the profit to the down payment for a property with better cash flow potential strikes me as the more conservative path.  Good luck!

Hi Tim.  I budgeted 8%.  That is probably a bit low vs. CA as the entire first months rent will be a commission to the property management company.   In CA they only require 50% of the first month rent.   Drop me an email if you want my thoughts on the property management companies in the area.

Drop me an email and I can provide a recommendation.   Thank you!

I don't think the issue is one expense category.   For me the right approach is to build a model based upon TUMMI -- Taxes, Utilities, Mortgage, Maintenance and Insurance -- the numbers need to work based upon the specific property.  Hope this helps.

Rental ready properties are great. I recently purchased two properties in the Houston area, Spring TX specifically. They are now rented at the top of the price range for the respective neighborhoods, but it took a bit longer due to the price point for the rentals. I found these properties through the MLS. I would like to learn more about the Rosenberg area. Thanks.