All Forum Posts by: Sean Mamola

Hi @Ryan Savage,

I too bought an investment property a couple of years ago. Here are a couple of things to consider before you sell. 

*Is your property gaining equity? And if so- at what rate?

*Concerning being a landlord- some people are just not made out to be landlords. I have a great, amazing property manager that takes care of everything. Inspections, credit checks, evictions if needed, maintenance-everything and I pay 6% of the rent that I receive. Turns out to be $100 a month.  Maybe this is where you need to do some research in your area- Who has a rockstar property management that could help you out- let them manage your property as your tenants pay down your principal, gain more equity and create room for you in the future to possibly re-fi and "house hack". Also remember that these property managers have a great working knowledge of the properties that could quite possibly appear on the market in the near future. Any help you can get is one step closer to the next deal.  

*A month to month lease is an option as well- keep in mind that raising the rent after a lease has ended is common practice. I know this  because I forgot to do my research and increase the rent 2% after my tenants has been at the same rent for 2 years. 

*Also- if you are selling an investment property, research what is called a 1031- exchange.  There are many experts on this forum that can guide you through the process if you should decide to sell. It's a great way benefit the government provides to avoid capital gains taxes. 

Best of luck!!!

@Dave 

@Dave Foster Hi Dave! Happy New Year!  Thank you for that bit of advice. I feel as if that is something I can definately lend myself to. Just making sure that this deal goes in the direction of growing bigger, slow and steady. We might have to have another phone conversation when the deal comes closer. 

@Anthony Dooley- great advice- jotting it down in my notes and making sure I start looking and familiarizing myself with the trends as far as appreciation with duplexes are concerned. Once again- continually honing the vision and going back to the drawing board to make it work. Thank you!

Any suggestions on good real estate books to read after I come home from work? Something very beginner- I just finished RDPD. (Rich dad poor dad)

Sean

Thanks @Chris Mason. I would defiantly want to roll the extra into a larger down payment and ultimately purchase something that requires a bigger down payment. That is an interesting point you make referring to the cash out refinance option six months later. This is a great component that speaks to my wanting to streamline my investing strategies and overall path. 

Once again thank you for all your feedback. So @Jay Helms,@Chris Mason,@Mindy Jensen,

So here is where it all stands. I am interested in 1031 exchanging the property, so I made the offer contingent on finding a like property of equal or greater value, with no time restraints. The agent said she was only going to charge me one side commission because we know each other. I asked her to send me the guidelines of the commission and a net sheet. She has not gotten back to me. 

So here, is the next step of the process. What are the pro's and cons of selling a SFR piece of property that has over 100k of equity for a duplex, triplex. And now that I have the front end of the negotiations going, best pointers for sharpening my investment strategy and making sure it cohesively aligns with an exit strategy.

I hear over and over on Bigger Pockets about the over analyzation of a property- is what I'm displaying an over analyzation or am I just being very methodical an establishing a solid blueprint for future deals. Everybody has a different opinion- you should sell, you should hold,but why do you want to buy in a high market....so just need to sharpen the focus. 

Any feedback is warmly welcomed. 

Thank you guys!!!

@Chris Mason

Thank you for the "OMG" price breakdown. Agent ran some comps for the area, not impressed at the moment with them. However, I think we have an OMG price.

Thank You!!!

@Jay Helms

 Thank you for the direction. I have spent the last 2 hours researching and bending my brain to think of what my investment strategy is. Ultimately- I would like to sell the property and buy a duplex. To be honest, "investment strategy" is something I have no taken time to formulate, ( I've spent the last hour investigating exit and investment strategy on BP ).

As far as the exit criteria~ it fits all of it. Selling to take next step and buy bigger, house has equity to make this happen.

I am intending to 1031 exchange this process with the sale contingent on me finding a like property of equal or greater value.

More on strategy?

Thank you!!!! 

.

Thanks Chris! Guidelines for setting OMG price?

Hello Everyone and Everything Bigger Pockets!!

I have been listening and attending webinars for over a year now. I am an investment property owner in Ripon, Ca. I have owned the house for 4 years in July and have just started cash flowing in October of 2016. I have just received a call informing me of the tenants wanting to buy. If I don't sell they are looking elsewhere. The inventory is extremley low in Ripon. I have listened to the podcast and imagined what I would do if this situation actually came up. Now it's here. These are the basics- can anyone offer some guidance?

Thanks 

Sean

HI Reza-

I am living in Tracy and looking to invest as well. I have a property in Ripon as well as an expansive working knowledge of the Tracy area. If you read my bio you'll get more of an idea of where I am in my career (newbie) Maybe we can catch a quick moment in Tracy and see if we can't help each other out with our individual resources.

Sean Mamola