All Forum Posts by: Omid A.

Your friends return is highly impressive and I'm willing to bet he can't duplicate that consistently year in and year out. If he could, then it would be foolish of him to switch his investment from stocks to RE. Even if he could do 20% then it would be wise of him to continue, assuming he's allowing it to compound every year. After all, Warren Buffet did make his fortune with an average of just over 20% annually. However, very few can do it consistently or we would have a lot more Warrens. 

Where do you stand as of now with your budget? @Eric P. 

@Jessica S. If you don't mind me asking, do you have your own contractor license? Or do you have someone in your business organization with one instead?

@Jessica S. 

Is there any way around this? Perhaps a member of your LLC has a contractor license? Or does the person on the title of the property need to have his or her contractor 's license?

Have you gone through the property and created a fully outlined scope of work as well as a detailed line-item by line-item budget that clearly defines each task that is to be done? If so, have you inputted into your budge actual estimates from contractors?

@Bill Horton I am in the same situation as you are. I, too, am wanting buy & holds in Portland but now realize that price to rent ratio just does not work on any listed properties. Only way you could possibly achieve positive cash flow in this hot seller's market is by finding off-market properties at a fair discount, adding value and then holding it from there. 

If you have the capital to take on rehab projects in PDX then go for it, but you may find that the numbers work much better 30-60 minutes away from the city. 

If there are any Portland flippers out there I am very interested to hear what the numbers look like on their flips with respect to home prices. I remember reading a post from a BP flipper in SoCal who mentioned that the margins worked tremendously better in the 650k+ range, as opposed to the lower priced homes in that market (not sure if this is accurate, just citing a post from who seemed like a reputable investor). I wonder if this is the case here in Portland.

Correct me if I'm wrong please but can't you buy the property sub2 for 180 contingent to you finding a buyer within 30 day who will buy it with owner financing (at a price closer to or at market value), require a 10-20% down payment then use part or all of that down payment to pay the original owner of the house (assuming they will use that to pay down the mortgage. From then on you collect a higher mortgage from the current tenant, pay the existing mortgage, and cash flow the difference every month. If tenant can no longer pay you just carry the financing to a new buyer, requiring ANOTHER 10-20% down payment: but this time the down payment will be full profit to you. The downside risk to this is the potential that the lender will call the note due, so you need to make sure you are playing your cards right to avoid that. Would love some feedback from more experienced investors.

Dan Costantino Truly inspiring Dan, my hats off to you. Could you let us know how you found your deals? Were these properties on or off the market? If off-market, what method of marketing did you use to acquire these deals?

Dan Costantino Truly inspiring Dan, my hats off to you.