All Forum Posts by: Samir Shahani

Does anyone use an online payment system / management system to manage a handful of properties?

I would prefer not to have any fee's charged (to me or my tenants)

Any ideas? 

@Amit G.

@Antoine Martel

It seems to have been $43,000 .

Amit congratulations that is fantastic.  Can you share before and after pictures? How did you finance the deal? 

What is your cash flow when paying for all overhead PITI, etc?

 Wow that's fantastic, congratulations.

I read your profile it looks very comprehensive, in the sense, you have experience doing many different types of deals (buy/hold, fix/flip, buy/lease, etc.).  Maybe you can teach us all something by discussing a little bit about why you do the deals you do in each arena, and the pro's and con's :)   My thought is that if one is better than any of the others than why not just stick to that ..? Curiosity killed the cat 

Thank you.

@Ryan York Congratulations

Can you post before/after pics? 

Do you mind sharing pictures and additional information? Maybe I would be interested in buying the place (not the note) :) 

PM me 

@Account Closed

Bigger pockets provides great resources in their "tools" section, I think there is a document titled "Promissory note"

You can also talk to any lawyer or a simple google search would do.

More than the note, however, it is important that the two parties (lender and borrower) trust each other and live up to their commitments.  That is the key. 

@Josh Calcanis 

@Antoine Martel

With regards to your question, I'd love to hear someone chime in with an expert opinion (e.g. an agent who witnessed this in their home market).  

I batted back and forth with the concept.  Ultimately I concluded that the real estate market is not that efficient because its highly local and there are always 100 extraneous situations going on regarding home buying/selling.  So I'd argue that you can capitalize on this situation because home prices will not unanimously rise instantly.  There will be opportunities. 

Then again, the "Amazon effect" is very real.  Any news they release results in massive market movement (certainly the stock market, now it looks like the real estate market as well ;).

Time will tell on this one, I'm thoroughly intrigued. 

@Jose Rueda

@Jose Rueda

Official press release here:

http://phx.corporate-ir.net/phoenix.zhtml?c=176060...

@Jeff LaChance

What is your goal with the property?

My suggestion would always be to approach this situation, and every buying situation with a healthy dose of skepticism.

-Get confirmation on every bill/number you see. 

-Ask for all the bills, and receipts

-Ask for the leases and proof of payments from tenants

In your analysis add in an extra section for "incidentals." based on my two second analysis of your spreadsheet, it looks like the previous owner is showing actuals.  

You should also create your own projections and make sure that he isn't pulling a fast one on you; make sure you can justify the purchase to yourself.

Often times seller will 'inflate' or paint a really rosy picture of their property.  

I always ask myself .. "If this guy is making $39k a year on a $325k property .. why is he selling???"

Let me know if you have any questions :) 

@Account Closed

Yes, a 0% credit card would be a fantastic option to fund your investment.

However, it is very risky.  When that 0% interest rate period runs out, usually that cost of capital becomes VERY VERY expensive (15+ %)

A more commonly used method would be to get a private loan on a note from a friend or family member.  Paying 8% for money on a flip is not unreasonable.

@Josh Calcanis

@Antoine Martel

Brilliant discussion, I thought the same thing!!

However, I think once the city is picked (specifically the location within the city) that neighborhood and all surrounding neighborhoods will appreciate rapidly.  

I expect that based on a typical market dynamic, the biggest effect happens right after the news .. then there's a period of "re-correction" and then it acts like it's supposed to from then on out.  This all happens very quickly.

So ... unless you're super mobile or know something that the average person doesn't I think it would be very hard to capitalize immediately on this opportunity. 

I do assume, however, if you're willing to plow the high costs into the real estate after initial announcement, that it will do very well as a long term investment.