All Forum Posts by: Sean Schexnydre

As Jeremy said it really depends on your goals as well as your risk tolerance. Paid off rental properties method will give you good cash flow but the growth will be slow, however the risk is relatively low. Leveraging is a riskier method but with risk comes potential growth. Keep in mind you don't have to leverage up to the max available, you can leverage a small portion to speed up the number of properties you acquire. For example instead of buying 1 property per year fully paid for, perhaps you could do 2 both financed at 50% or possibly less. You are able to leverage the amortization of the loan and the relative low cost for the other expenses and come out with more yield for the same amount of principal.

@George Smith welcome to BP, you'll find plenty of value here!

Welcome to the community, hopefully we will see you around the events in town soon!

Hey @Karl Farmer glad to see you joined BP! Tons of great stuff here and the podcasts are great. We should grab coffee soon.

@Branden Vandette @Troy Feldman All the posts above are options for your Roth but please note that the principle (contributions) can be taken out after the account has been open for 5 years. Its likely that she has had it open for longer than that but it is an important piece of information to be aware of just in case.

I would sell and lock in your gains now and move to note investing or possibly even an IUL to continue the tax free benefits of the 250k exemption for a few reasons. The sheer amount of money that is out there as debt is extremely high and in my estimation isn't sustainable at this rate. I think the money will dry up from traditional avenues, also venture capital in silicon valley is starting to shut down so I see the spiral starting there. All this will put a halt on buyers out there forcing down prices. In southern California in general home prices as well as rent rates is starting to get out of the affordability for the median income earner.

@Eugene Lee

Hello and welcome, you'll find all sorts of goodies here on BP forums. There is a monthly meetup as well as several other REIA's and meetup groups that meet up throughout the month I suggest looking them up.

Hope to see you around!

Sean

Welcome @David Espana hopefully we meet in person at one of the networking events.

@jacob pereira all good points in defense of D-class investing but I feel like your experience wouldn't be the same as his. Austin as a whole is gentrifying and growing every day, people are willing to move to the ghetto locations to get value and they think the area will eventually end up getting improved. Granted I'm not extremely familiar with Austin but that's what I've gleamed through my research.

Yes the passive income is excluded from the penalty calculation, I caution to consider waiting, remember its a guaranteed multiple increase if you wait vs taking the risk investing. Increasing your cash flow 57% from your income at 62 compared to 69 is a tall order in any investing. With SS you just have to wait 7 years... Food for thought.