All Forum Posts by: Joe Sullivan

Thank You All for the input!  It has been helpful.

Hell Community, I'm under the assumption that we'll see an economic downturn in the next year or two.  I am for a property to buy in the Palm Springs area.  I believe the area I'm looking at will cash flow well right now.  However, I know 2nd homes and discretionary income can drop during economic downturns.  Is the economy, or potential changes to it, giving people pause about investing in vacation rentals and vacation locations at this time? 

Thanks,

Joe

Thank you all for the input.  This has been very helpful.  

I am about to make  a cash offer on a duplex in Cleveland.  I would like to follow the BRRRR strategy, get my money out of the deal and subsequently purchase another investment property.  I've tried quite a few lenders - mostly private and been told the loan amount is too small for the market.

The purchase price is $32,000.  The property needs $31,500 worth of work.  I'll be all in for $63,500.  The ARV will be $80,000.  Each unit will rent for $650. Once I've improved the value of the property, I'd like to cash-out refinance 75% - 80% of the value.   I've had trouble finding a lender who will do the deal.  Lenders are telling me minimum loan amounts in Cleveland (and areas like Detroit) are in the range of $100,000.  

I'd like a longer term loan.  I'm not sure one or two years seasoning on a short-term loan is going to change the situation.

I have enough cash to do 2 deals like this before needing to cash-out refi, but I haven't been able to find a portfolio loan that would work either.  

Any ideas?

BTW, Private lenders have asked about my experience.  I've flipped 3 mobile homes, but only 1 in my name.  The other 2 in the name of a partner.  I flipped a home 14 years ago.

RealEstateIRA's, there was no fine print. All the fine print came in subsequent e-mails. By the time I received the subsequent emails, I stopped reading them because I realized they were of no value.

I've had business and conducted hundreds of sales transactions and find it very underhanded.

I gave Financial Freedom my credit card info so that they could bill me $3.95 to ship me a book. They ended up billing me $200 a month for several months before I realized what they had done.

My wife's a Realtor and we flipped a couple houses that she found for us. This last year I've been trying to really learn the business and begin to market for properties. In doing this, I've signed up for some free conference calls and webinars. I signed up for something on Ron LeGrand's web-site (the free access portion). I gave my credit card so that a free CD could be shipped to me.

I eventually got inundated with emails from these various web-sites and stopped reading everything they sent to me. I filtered to junk mail, etc. I realized all these conference calls and webinars were just teases to sell something.

About 5 months have giving Financial Freedom my credit card, my wife asks what this $200 monthly charge is for. I immediately called Financial Freedom they explained that the $200 was for their "pay -site" which includes a free weekly conference call, etc. I explained I had never joined this or consented to pay for this that I gave them my credit card to bill $3.95. They lady I was speaking to grew very defensive and told me that they had emailed to me confirmation for this web-site. I explained I hadn't seen such an email and had never given my consent, and had never even gone to this web-site. They lady started almost yelling "If you have your bank investigate we will send them the screen shots we sent you". I hadn't even mentioned having my bank investigate. Clearly she had been down this road with other people and knew exactly how it would escalate. She promised she would have her Supervisor call me (she was so rude you think she had gotten ripped off not me). The Supervisor never called. I called back again and asked for the Supervisor and 2 weeks later still no call.

Based upon my experience, I would strongly urge anyone to be very careful doing business with Ron LeGrand or Financial Freedom. In my opinion it is a very unethical organization.

I'm working on my first Lonnie Deal hitting parks on the weekends. I've flipped a couple of houses but am looking for a way to build passive income so that I can quit my job. Have others here been able to build up enough passive income in Lonnie Deals to make it their sole source of income? Or is it generally something done in addition to other real estate investing.

Thanks, Curt. Have you put these teachings to work and raised money? Or is this a new arrow in the quiver which you haven't pulled out yet?

Is anyone familiar with this course? Can anyone recommend?