All Forum Posts by: Samuel Coronado
Samuel Coronado has started 27 posts and replied 293 times.
Post: Is 4 homes enough??
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
Quote from @Joe S.:
Quote from @Samuel Coronado:
This is the great Dave Ramsey debate. I think it's a great one to have at the end of the day. debt free is an amazing feeling and people who are debt free scientifically sleep better at night. My goal is to have a few debt free properties, but do it through the way Chad Carson explained in Retire with Real Estate. I'm buying a property a year up to a threshold, then turning around and making all those properties pay off one at a time very very aggressively. My plan is to be in Spain in 5 years. I am already very financially free, making about 150k a year from real estate and military pensions, but I am holding my 90k a year job to get more and pay off debt asap.
Post: Is 4 homes enough??
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
Quote from @Jeff S.:
@Jake Andronico those houses look great and when paid off a nice chunk of change. Googling Chad Carson he gives an example of 10 houses at $120,000 each for a 1.2m total. Your houses look like 4 to 500k so 3 houses would equal that. Don't forget when you have a ton of equity which you are more likely to gain in a demand market when you are older you can sell one once in a while and be set for quite a few years. I vote for quality and less. Besides trying to scale now with these rates is a non starter.
The best time to buy is when rates are high and people are scared.
Post: Considering getting another rental property but a condo?
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
Quote from @Tim J.:
things to consider:
- So many rules and limitations on what you can do and asking permission to do repairs etc.
- Uncontrolled spending and surprise assessments
- ever increasing HOA/condo fees.
I am partners in 2 condo units, a 6 family building, a small mobile home park, an 11 unit apartment building, a few SFH.
The ones that cause me the most headaches and time are the mobile home park and the condos.
If I could quickly divest from the mobile home park and the condos I would.
They are all still good investments, I would just rather stick to finding more multi family and stay away from places where I have to "asl permission" to do things and everything is micro managed.
(No airbnb, no short term rentals, move in/move out fees, etc etc)
If its a great deal for the condo, go for it, but know what you are getting into
Post: Questioning health of manufactured homes
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
@Adrian Smude wrote the best books on mobile homes since Lonnie Scruggs.
Post: Building a legacy through Mobile Home Park Investing
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
I once had a conversation with a seller I cold called while trying to buy mobile home parks around Ft Bragg (now Ft Liberty), NC. There was an older gentleman who had bought a lot of land back in the 70s when inflation was double digits and no one wanted to buy anything. He said he was holding on to the land until Ft Bragg expanded to his doorstep and he could sell for millions. Ft Bragg is top 3 of the DOD in terms of just raw personnel and unfortunately BiggerPockets has a hand in making the rents go up artificially there, but the strategy is still sane. I have a plan to buy my entire block in the country. I have 20 acres now. I will be setting some stakes for the driveway of a 5 unit MHP soon and plan to use that to expand out to some other places thereafter on my own land. The cashflow from these units combined with the main house will more than be enough to cover all expenses in perpetuity for that land that's on a 3.4% interest rate over 30 years. Best of all, we get to provide actual affordable housing in a rural area where you can't find much below $1,000 right now.
Post: Marketability of Newly Developed Mobile Home Park.
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
I could be your end buyer. How big are we talking here?
Post: Part Subject to and 200k cash
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
Is this deal already listed officially? Things are much simpler without an agent sometimes. I've had closing attorneys walk me through for a very low flat fee vs the outrageous 6% that seller agents take.
Post: Rock star insurance agent recommendations?
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
It's a rough thing that all property investors are going through right now. In order to cover their losses in the market during a downturn, insurance companies rapidly increase their premiums. Some of this is also meant to catch up with the rising wages of tradespeople and the higher equity coverage that needed with the large boost everyone has had in the last couple of years.
Post: How would you start investing if you had $150k???
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
@Jeff Hines I invest in mobile home parks. I could do a lot with 150k if you want boots on the ground in Alabama. I am in Huntsville, voted #1 place to live by several publications such as Kiplinger's and USA Today.
Post: Small balance land deal
- Investor
- Huntsville, AL
- Posts 297
- Votes 172
Quote from @Jay Hinrichs:
Quote from @Samuel Coronado:
Quote from @Andrew Postell:
@Samuel Coronado are you saying that their loan to you will require you to refinance?
I'm sorry. I went back to the post and realized I left out the actual question. I am looking for someone who would do a short term land loan. The plan is to develop the parcel and then sell it as a land and home package to a retail buyer. There was a similar thing done two parcels over that sold for $230k recently. Our target price range is 190-200k with a sales date in March. This is a spec development.
with builiding costs how are you going to make a profit on a 190k exit if your paying 50k for the dirt ???
1. I can use a double wide mobile home and get it bricked in on a permanent foundation. The market here treats them the same as a stick built house.
2. The second way is using my usual network of local contractors. I give them enough business so they knock up to 30% off what they would do for a retail spec home buyer. We focus on affordable housing, so that's the reason we are trying to keep it below 200k. We could push higher, but young people are struggling to buy homes as it is. We're here to kind of make that happen on the smallest of scales. Some properties I don't try to make a lot off of because I've been very fortunate and it's a roundabout way of giving back. I just get back everything I put into it plus some overhead and a small contingency fund for the future. It's a beautiful thing. I enjoy doing it. :)