All Forum Posts by: Suvir B.

Great question, @Arn Cenedella. Democrats controlling the senate will certainly make it easier for Biden to push his policy plans when he takes office. However, I feel there is an unwarranted fear about his plans. He might have some policies which hurt business, but like the stock market, I too am bullish on his overall impact on the economy and real estate.

OVERALL ECONOMY

Stimulus: with Democrats in power, we can expect to see more COVID relief, stimulus checks, small business relief and faster COVID control - all of which will help the economy in the short term (sidestepping any discussion of long term debt increases)

Infrastructure spending: most presidents promise this, but few deliver. If Biden lives up to his promises and boosts infrastructure spending on roads, bridges, etc. - it could help secondary and tertiary real estate markets grow faster

Economic Forecast: In general, I expect to see much higher short-term growth: higher stimulus package, lesser trade wars, focus on small business. The only caveat is i the new COVID variant spreads faster than expected - then more lockdowns (mostly in Blue states)/ slowdown is also likely in Q1 due to overwhelmed hospitals and delays in vaccine delivery 

Capital Gains Tax: could increase from 21% to 28%. However, even if the Democrats decide to make this a legislative priority, I don’t see it happening before 2022, which the economy is still in COVID recovery

REAL ESTATE

Eviction Moratoriums: these will likely be extended – my guess is until Q2 or early Q3 – when the vaccine(s) are widely available and business starts returning to pre-COVID levels

1031 exchanges: Biden has mentioned he will restrict these for people with > $400K income. But I feel that this is unlikely to change, even democratic senators will not agree to undoing a critical legislation which incentivizes RE development esp. housing

Opportunity Zones: both Dems and Republicans want to keep these. However, Biden has mentioned that he wants better transparency on affordability, poverty and job creation => so we can expect more reporting and regulatory hurdles in OZ

AFFH (Fair Housing): Trump suspended / ended it in 2018. Biden will likely reimplement it – leading to more apartment zoning in the suburbs. But this will likely impact in 10-15 years, not immediately

Mortgage Rates: Biden will let the Feds drive this, so I won’t expect much change for the next couple of years, at the very least

Green Building: we might see additional incentives for green buildings and green development loans, likely with lower interest rates or tax credits

@Arn Cenedella I have also spent this year investing in 2 syndications as LP - one multifamily in TX and one charter school in NY. I have not made the jump to being a GP yet. Would you mind connecting offline for a quick chat? I'd appreciate your perspective on making that transition.

@Matthew Paul: that does not sound encouraging! ;) Guess I will have my hands full...

I am new to rehabbing, and in the process of closing my first purchase in Scottsdale, GA. It's a For-Sale-By-Owner, As-Is purchase for a 2 BR, 1 Bath constructed in 1930. I am trying to decide whether I should rehab the house as a 2/1 or expand to 3/2 (the plot has enough land for either). 

Specifically, can anyone recommend a good General Contractor who can handle either option for construction? Since this is my first flip, and it's an As-Is property. I am looking for someone competent and patient. At a reasonable price, of course.

Any suggestions?

I am new to rehabbing, and in the process of closing my first purchase in Scottdale, GA. It's a For-Sale-By-Owner, As-Is purchase for a 2 BR, 1 Bath constructed in 1930. While I was able to purchase at a reasonable price, I want to be sure I am not blindsided by major issues which could kill the margin. I have 2 weeks for completing inspection, and would appreciate guidance on areas to watch out for.

I already noticed that the floor is creaking in a couple of rooms, there is no insulation, and there might be lead paint. Besides calling a general inspector to check for obvious issues, and a general contractor for estimating rehab costs, is there anything else I can do to reduce exposure?

Great idea! I see a lot of Atlanta posts on the main forums - I expect a lot of traffic on the sub forum. This might be the sign for me to stop lurking and start engaging!

Those decks are impressive indeed! Does all the additional cost and effort lead to a higher sales price, though? I haven't seen too many property listings tout the complexity of the deck buildout. 

One of the HDTV shows had a well "decked out" lower deck which showed real well and stuck in my head:

@Jeff Rabinowitz, you are right - I have not looked: rookie mistake. I will read up on existing posts and come back if I have specific questions!

@Jeff S., thanks for the valuable perspective and specific guidance. My timeline of 3-4 months was more indicative than a drop dead date, so I will look up hard money lenders in Atlanta, to see what works best in my case.

Hi! I am new to real estate investing, and am looking for guidance and learning as I tread carefully into this promising area. Having worked in a corporate job for the past 15 years, I have about $100K+ saved up, and looking to invest.

I can spare the number for 3-4 months, and am debating whether I should invest in a private money transaction i.e. private financing someone's short term hard cash need (e.g. a flipper). What kind of returns can I expect for this duration, and what kind of safeguards can I put in place to protect my initial investment? Am I better off just investing in the stock market instead?

If I decide to pursue this option, how to I find qualified REIs? What due diligence should I do on them?

Lots of questions! Any thoughts are welcome.