All Forum Posts by: Scott Brewster

@Gregory Murphy & @Brandon Carlson

thanks both of you very much! I’m currently working with a local investor and she’s killing it but I’ll keep your information for the future! 

Originally posted by @Mia Duncan:

@Scott Brewster thank you!! At this time I do have two investments so not totally new. That said new ISH. I’m in wealth fit online classes and have read books on arv, brrrrr by Green and several others. Question: what book is your favorite and I’ll put it on my list? There are so many...it can be overwhelming. Also open to recommendations on other online classes!

BRRRR is a great one for sure, Long Distance Real Estate Investing (this also goes pretty deep into house flipping) is a must if your market is too expensive to reasonably get cash flow out of. Investing with little or no money down was a great one to learn about all the options for financing real estate and is exactly what kicked off my company. If you really want to get into real estate, definitely pick up the Tax Strategies book! Those three were my favorites off of BP.

Not on the BP book store I'd recommend The loopholes of real estate by Garret Sutton for a pretty in depth dive into important information. Beware that book feels like it never ends but it had great points lol. I would also recommend The ABCs of property management by Ken McElroy.

I know that's a ton to read but they all cover quite a bit about real estate investing in the whole and you'll get a much bigger picture of what's out there. Note investing is a little foreign to me and it seems like a bit of an end game, and wholesaling is insanely profitable but it takes some serious hustle and commitment to get there so if you have a full time life outside of this it's probably not as feasible as most people claim it to be. 

 Other notable books just for negotiation and communicating with people I'd highly recommend Dale Carnegie's  How to win friends and influence people. That book should be on every person's shelf who has to or wants to deal with people throughout life!

But on a serious note, don't get too wrapped up in analysis paralysis HOWEVER, make sure you're well educated before you jump into something huge. Only you will know when you're ready to commit to something and where your comfort zone is! And furthermore once you get into real estate investing you learn SO much that you can't get in a book and so many new doors will open for you! So get the basics, get some confidence in your ability, and get into a deal!

Hope this lengthy reply helped a bit!

@Mia Duncan I would first and foremost invest some of that hard earned money into buying some books about real estate investing! Wholesaling, BRRRR, flipping, note investing, development, residential/commercial, and buy and hold are all different ways to invest in real estate. No one person can decide for you where to put your money first! I'd pick up some of the books in the BP book store and go from there and find out which one of the areas I mentioned really interested you the most because those were just a few that I could rattle off at a moments notice, the list goes on!

@Dustin Allen Thank you! I will make use of that tool, I like to be more personal about requests like this though. There's just something about getting a recommendation from someone who knows someone that I like.

@Sonny Vu Hey thank you and I'll message you and get your information.

Good morning BP!

I've got an Uncle that is not in a good place. Deteriorating health and he's alone in Chino. I'm in the Middle East or I'd help him myself.

He's got a condo that he needs to get rid of so he's a motivated seller. Problem being he doesn't know anyone out there and neither do I. So I'm asking if anyone knows a solid realtor that I can call in that area that could help get his condo on the market and possibly help me find a solid moving company to help him get all his stuff out to Tennessee.

The condo's comps are exactly this https://www.realtor.com/reales... if the property were fixed up. I haven't seen my Uncle in years but if he hasn't changed he's got quite the pack rat mentality so this condo will probably be perfect for an investor with a cash offer if they want to solve his problems.

Please let me know who I can reach out to and I'll call them myself!

Thanks to all of you for all the help!

Scott

Self managing is hard, but if you put all new appliances and good quality floors/ cabinets you'll have less headache.

Appreciation will lag and cashflow will be tight BUT you'll still have a tenant paying down your loan. With impending inflation having debt is actually a good thing since you'll be paying it off with new money and can probably raise the rent every year. Be careful tho, CA has areas with rent caps and that can make this tight squeeze of an investment into an investment that costs you money.

It's all whatever your goals are. Might be better off trying a house hack for better appreciation and not having to pay those HOA fees.

@David Johansson

Have you used the BP calculators? I typed up a report real quick and can try and send it to you.

From a cashflow perspective, no. Your expenses are more than the rent would be even when I used 5% for all of your expenses and only 10% for property management. If you're buying it to live in, maybe? Depends on your goals. HOAs are a double edged sword. You don't have to deal with a lot of maintenance but they lean on the condo owners to pay for big projects (and can charge you additionally even after the monthly fee).

Being in Riverside, it might appreciate over time but in my experience condos and town homes really lag in appreciation compared to free standing homes.

Quick rule of thumb for rental properties is the 1% rule. If the rent is at least 1% of the mortgage you might have a deal and should consider it. 

Lets see if the report sharing link works so you can see what I'm talking about. Hope this helps!

https://www.biggerpockets.com/...

Additionally, Since it's Riverside you'll probably have very low vacancy, and if you manage it yourself you could potentially cashflow 200$ a month but that's like a part time job still. I had a condo that cashflowed nicely BUT every time I turned around the HOA needed more money from the owners so I never actually made anything off the darn property. Sold it 2 years later.

@Blaise Doremus

The fed has stated over and over that rates will stay as low as possible for the foreseeable future. Once inflation starts rearing its ugly head they will allow them to rise again. Money is cheap, if you can afford a deal I’d jump in. There’s no telling if prices will continue to rise or fall, but inflation is guaranteed. Let the banks hold the bag of old debt while you acquire new money.

I agree with Brandon! Get your license, it's a full time "regular" job like your parents are pushing you towards, you'll make some money for proof of income for loans later, you'll have your ear to the ground about what's going on in your market, and you'll learn the ins and outs of how to buy a home.

This is a full time job and you'll only get out of it what you put into it so be ready to work!

Good luck!

@Scott Wolf hey again! I’ll pass that on thanks!