All Forum Posts by: Account Closed

Hey Sahaj,

I have been investing out-of-state for the past 5 years and I love out-of-state investing and since I live in California, I see no need to have to invest locally. Here are some things I have learned since I have started:

1. Build an amazing team of professionals locally to help you. From agents, managers and attorneys, they can ensure your best interest are taken care of.

2. Ensure there is checks and balances on your team. If you hire a contractor, make sure your property managers are there to ensure the work is done efficiently and right

3. Proper book-keeping. There is nothing worse than have the numbers all off and you have to fly out to reconcile everything (I know from experience). Make sure your property managers and book keepers are communicating and ensure everything is correct and account for

4. Build solid trust. I do not want to get a call every time there is a maintenance call or a light bulb needs to be changed out. I trust that task up to $500 is going to be done right. If there's anything over $500 they need to give me 3 quotes to choose from. 

In my opinion, investing from a distant is actually easier for me. The reason is because I do not know much about paint colors, or repairs. I get to rely on my team of experts to make sure it gets done right. The makes the process much more efficient for me.

Hope this helps!

Tyler

Hello @Account Closed subject to is honestly my most favorite avenue for investing. I like to find homes in Pre-Foreclosure, and turn them in Lease to Buy (Rent to Own) properties. The biggest challenge of course is educating the seller on the benefits for them....especially those in Pre- Foreclosure. I come in and with down payment which is the amount they are behind. Depending on that cost, I may be able to give an additional $1K to sweeten the deal and help them move. The new tenant pays me a down payment which puts money back in pocket and a couple hundred each month until they purchase.

Of course everyone knows about the "Due On" clause which rarely ever happens. When I was newbie, the more seasoned investors who received advice from never faced this with the bank. Can it happen, yes. Will it, probably not as long as you're making the payments on time.

You should check out Bigger Pockets Podcast #13, #84 & #344 

HAPPY INVESTING!

@Sahaj Bhakta Seller financing and sub to are great if you can find a seller who’s open to them. Look up Pace Morby’s videos- he has great videos on all types of creative financing

Hello @Account Closed subject to is honestly my most favorite avenue for investing. I like to find homes in Pre-Foreclosure, and turn them in Lease to Buy (Rent to Own) properties. The biggest challenge of course is educating the seller on the benefits for them....especially those in Pre- Foreclosure. I come in and with down payment which is the amount they are behind. Depending on that cost, I may be able to give an additional $1K to sweeten the deal and help them move. The new tenant pays me a down payment which puts money back in pocket and a couple hundred each month until they purchase.

Of course everyone knows about the "Due On" clause which rarely ever happens. When I was newbie, the more seasoned investors who received advice from never faced this with the bank. Can it happen, yes. Will it, probably not as long as you're making the payments on time.

You should check out Bigger Pockets Podcast #13, #84 & #344 

HAPPY INVESTING!

Hi Sahaj, I’m my opinion seller financing can be a great way to finance a home depending on the deal. Avoiding origination fees, discount points, and other charges that lenders routinely charge is always nice. Seller financing can usually speed up the lending process because you aren’t having to wait on loan officers, underwriters, etc.  I have run into situations where sellers are ready to sell but they don’t want to give up the cashflow, or don’t want to pay a significant chunk of taxes in the year they sell, these concerns can be alleviated with seller financing