All Forum Posts by: Tanner Marsey

There are pockets of south LA that are decent but even those are getting pricey.... also, putting down 30-50% on a property to see "positive ROI" aka cash flow, generally isn't the kind of cash flow people are aiming for. I understand its Southern California and people invest for appreciation but the market is tapped out and you're playing in a low end neighborhood as it is. Could be a recipe for disaster.

I have stayed at four or five STRs in the last couple months and the Netflix/hulu/youtubeTV set up seems to be the norm.

probably not the most popular opinion but my personal belief is that saving the 20% is a waste of time. if it takes you a year to save up that much money the market could go up, interest rates could go up, you're missing out on tax breaks and the reality is you're going to be living in one side of the duplex and renting the other one out to cover 80% + of your mortgage.... kind of a no brainer in my eyes but everyone has their reasons.... if the numbers work, I don't worry about PMI

It’s a win-win. Rent to them when they’re younger and living that lifestyle. Sell to them when they’re older and ready to settle down....

Wow. Thought Austin would be a killer market to own some rentals. I lived in Dallas for a few years a little while back. Would love to get some rentals the metroplex but the market seems kinda tapped out. 

 What do you currently have and what are you leaning towards doing with it?

Thanks for the reply. Honestly, I am looking for a bit of both. We live comfortably right now. I am wanting to use rentals to fund early retirement and as something to pass down to my kids. Cash flow in the short term would be nice and allow us to live a little better life style theoretically but in all actuality I’d probably stash the cash to buy more properties. I think one reason I am hesitant to sell is because as it stands I have a cash flowing (very small) property in a desirable market that is rich with renters due to the high cost of SFRs. I just want to do my best to ensure I am not leaving a ton of money on the table.... short and long term. Thanks again and sorry for the lengthy replies/scenarios. 

And to answer your question.... I’d probably borrow against it to buy more down the line. 

the 1031 SEEMS ideal to me at the moment but I wonder if that is me being short sighted. In roughly 20 years this condo will be paid off and cash flowing probably 2k/month. And will hopefully be worth 500k. And it’ll be paid off by the tenants. Also, it rents for 2500/mo at the moment but I am giving the tenants a deal because I needed someone in there quick, I work with the tenant (although not directly) and felt very confident that they would cause me no issues. Market rent is probably 2650-2700. Which would result in 250-300/mo cash flow. Not sure if bumping it up to market rent would change the opinions of the people favoring the 1031....? Also, when all said and done what would be better? 2-3 100k-ish properties cash flowing between 2-3k/mo. Would the cash flow of the 2-3 properties outweigh the benefit of the condo. What would allow for greater leverage resulting in more units ultimately....? Just want to make sure I am not missing anything. I guess either situation could be seen as a win-win. 

Atl market is one I’ve been interested in/looking at for a few months. I’ll be buying something regardless of what happens with this current condo mentioned in this thread. Will definitely keep you in mind for anything Atlanta related. Thanks!  

Good evening. I am at a crossroad and I was hoping the fine people of BP could weigh in. I currently own a 2 bed/2 bath condo in downtown Huntington Beach worth somewhere in the 450k ballpark. Rents for 2500. Bought for 355. Owe about 315 on it. It’s been a rental unit for the last year and a half. Barely cash flowing but tenant is great and hassle free and it’s in CA so appreciation and blah blah blah (everyone knows that stuff). 

Anyways, I want to get more rental properties in the future. I am wondering if I should hold this, sell it and 1031 it to invest out of state, try and obtain a heloc and use that to buy additional properties Or some other option I am unaware of. 

Please weigh in. And thanks in advance!