All Forum Posts by: Spencer Herrick

I'm in a position to purchase a property at any time, just waiting for a deal to pop up within my purchasing budget. Here's my question:

Rent as an individual or as a business? I know that a lot of expenses can be written off if I start out as a business (probably an LLC), not to mention the whole "pay yourself first" concept. When I'm ready to pull the trigger, I'd like to have everything in place. However, it may not be for another several months before I make a purchase. Is it okay to start an LLC now, even though there may be no business activity whatsoever until I make a purchase? Perhaps I should wait until 2018?

For those of you who have not read any of his work, Robert Kiyosaki is an established Hawaiian entrepreneur and author of financial planning. If you have never read his most popular novel, "RICH DAD POOR DAD", I highly recommend you do. It really digs though some of the falacies of personal finance and gives a better understanding of the time value of money. For those of you that have read some of his works, I'd like to hear your input on the Monopoly Game Philosophy. As a strategy to purchase real estate, just like in the board game, you purchase "4 green houses", and then replace with one "Red hotel." Though this sounds childish in its description, Kiyosaki's rich Dad stuck by this in his novels. Is it a good formula? Does this concept hold water in today's real estate market?

@Jake Hartnett 

@Account Closed

Thanks for tips guys. These old homes scare the hell out of me, especially with insurance and and a mortgage in place (If I finance the property). I have yet to go into the basement and look to see if there is a breaker or a fusebox. Also, I definitely like the tip to snake the drains ahead of time, along with check for the copper main coming in. The property has a porch that is caving in that needs repaired in order for insurance to be in place. Other than that, it seems like a solid place. Thank you guys both for the insight. It was more than helpful.

I currently have a property in mind that has an old home that was built in 1900. The house is solid, with a new metal roof, and an old, yet solid stone foundation. It has good windows, hard wood floors, and tons of oak accents that still look good today. There are a few concerns that I have about the house. The first being that it has the old "2 button" light switches, something that I've only seen a few times in my lifetime. The other is that, with the house being well over a hundred years old, the plumbing as well as the electric may be close to needing replacement. All the light switches seem operate without issue, drains drain fast, and none of the faucets have dripping issues. Going into a deal with this property, what should my concerns really be? Am I overthinking this or are these valid concerns?

Furniture and Appliance retail store manager. 

I currently operate my family's furniture and appliance retail store. I got my undergraduate degree in Leadership Administration and currently and completing my MBA. At the moment, I'm currently saving for a down payment whilst searching for properties. My family doesn't really understand my ambition for real estate investing, and I'm okay with that. My goal is to have my first property within the next six months.

@Kelly Byrd 
Thanks so much for those examples, Kelly. They really helped!!!

@Steve K. 
Thanks for the Tip. This makes more sense to me. I'll still likely do some more research to clarify. THANKS!!!!

Hello All. I'm relatively new to real estate investing. In the past couple weeks, I've learned a ton on the subject. There is one thing I'm still not completely clear on that I would love some insite in..... Refinancing. I guess I just don't really understand what it means and what it's function or reason for doing so is. Any easier way to understand it? What's the purpose and methods? Happy Memorial Day weekend to all! 

@Bob Okenwa

That's sort of what I figured. As a newbie to real estate investing, that scares me a bit. Perhaps purchases like that are for the more experienced. 

Has anyone ever came across the website auction.com ? I've found several really attractive price points on there, however, I don't see where there's a number of a realtor to call. I only see where I can bid.  Am I able to see these properties in person before purchase or are they bought sight unseen? I'm a bit puzzled by this one......