All Forum Posts by: Tchaka Owen

@Craig Daniels -while I do agree with others that 30% down for $175/mo cashflow is not a good investment, I will present a slightly more positive response. Seasoned investors have a minimum per door and that's around $150/mo now. Based on that, you're ok. The big question is whether you calculated cashflow properly. Eg, i have a friend/client who determines it based on income vs PITI. Although I've stressed the importance of reserves, he is comfortable with his system. That said, do your calculations for cashflow include setting aside 15-20% of monthly rent for repairs, CapEx, vacancies, etc, etc? If so, you're good to go. If not, no bueno. The person in the response above who got crushed by a $5000 repair never did have $100-200/mo. cashflow. It was probably close to zero per month. If s/he'd been putting aside reserves, the repair would have been covered by funds already in the bank. Make sure you're calculating correctly.

The second thing is that you just started out.....congratulations! Use it as a learning experience as you move forward. I had a mentor who stressed "you make your money when you buy"; the next place you get, be sure to haggle big time - and walk away if the price is not low enough. I see this home and what you paid and while it's not at all a bad price, I've seen investors offering that size in Palm Bay for as much as $15-25k lower. To be fair, they needed a tad more work, but you get what I'm saying. Walk away if the numbers don't work, there will always be others.

Good luck!

Tchaka 

Selamat siang, Om Adiyanto!

@Nicholas L. is spot on. I have done several evictions on my own in the past simply to gain knowledge. While it was nice to learn, I ultimately realized that my time is much more valuable doing what I do best and it's better to pay for those who specialize in evictions. So do hire an attorney. 
And yes, saya bisa bicara Bahasa....tapik sudah lupa banyak.

Quote from @Kristin Flores-Brockman:

If Harris gets elected and implements this $25k for FTHB, guess what that will do to the price of the homes.....? increase them by $25k. People forget, there are implications when you give things away for free. Ultimately, someone will be paying for it. NOTHING is for free, someone ultimately pays for it.

This conclusion could be accurate if every buyer receives a $25k credit. However, it's for new buyers only - and they make up 32% (assuming the definition of 'new buyer' stays the same). From an economic standpoint, there's the pressure of 68% pushing against a $25k rise in prices. A small rise directly attributable if this amount of credit comes to fruition is likely. But not 25k higher. 

One thing I've realized over the years is to listed to what a politician proposes and attempt to extrapolate a realistic outcome. Often what is spoken is to energize a target audience. Often the outcome is a watered down version. Will there be a $25k credit for FTHB? Highly doubtful. But could there be an incentive in the $5k-10k range, certainly. Isn't red tape more of a state issue? If so, how much influence could she have. As far as using Federal land for new construction, that might help near Jackson, Wyoming. But I don't see any national impact. The way I see it, neither candidate will be able to affect housing significantly.

Quote from @April Gross:

Hello! My name is April Gross, and I am a new Real Estate Agent in Brevard County Florida. I am trying to learn more about the investing world, how to get to be part of big projects, flipping houses and how to find an investor. Any directions or advice would be helpful. 

 Welcome to BP, April! The best advice I can give is that you spend the next 3-6 months reading various threads here and listening to as many podcasts as you can. RE investing is varied and you'll find some things that are of no interest to you and others that are amazingly appealing. That's very normal. As you learn more you'll figure out which route(s) work best for you. Be patient and focus on learning for now.

Tchaka

Quote from @Sharon Sasser:

I am currently in the process of looking to move to the area. Interested in Satellite Beach. I want to purchase my primary home there with creative financing options, because like all of us I want to set more favorable terms than the traditional lenders can set. Then branch out to do more deals that way for buy and hold rentals once we get settled into our new home. Curious if this post will get any traction since there isn't a lot on here about Melbourne, FL. Looking to connect with likeminded investors in the area. I'm also looking to help owners manage their vacation rentals since I have experience as a remote self-managed owner. I don't want to take on too many, but just enough to bring in supplemental income to continue with my investment plans.  I love hosting and have tremendous passion and attention to detail with property management that seems incredibly hard to find those sorts of proactive skills in people when looking to hire for my own rentals. 

Hi Sharon,
How well do you know the area? If you don't, consider renting for a year before purchasing. That will also give you time to find a home via creative financing. A likely reason you don't see much about Melbourne is because that is merely one city in this county. Given that Brevard is not a populous one (particularly considering it is 70 miles tall), you might get more traction with "Brevard" or "Space Coast". You will also discover that vacation rentals are restricted in many parts of Brevard. In Satellite, only the unincorporated part allows them (that's about 25% of the place). 
While I have not attended any meetups recently, there are several groups that do have monthly gatherings. Again, keep in mind that these meeting will not have hundreds of people....we're just not that large a place. The benefit though is that most people I've run into here in the investment scene are good people who are positive and see the benefit of working together. Having been in S. Florida where there are tons of less-than-honorable types, this has been a breath of fresh air. 
When do you intend on getting here?

Tchaka

Quote from @Mickey Scott:

Looking for tips or Insite on purchasing a house with creative financing in Florda near the Space Coast or Treasure Coast. I have recently accepted a new job working 50% remote and 50% at Hospitals near Broward County. I will be selling my home in June when our kids finish school and then relocate to Florida. Current Home is in Shepherdsville, KY outside of Louisville. Please reach out if you have any tips, realtors in Florida working in that area. We would prefer to move between Port Sant Lucia and Melbourne/Viera Florida. Thanks,

A few things:
1. Getting financing from a seller who has a low rate does not mean you get that rate. A smart investor will finance at current market and benefit from the difference. That said, seller-financing isn't easy to find and as one person mentioned, they'll want a significant downpayment. 

2. While I have driven Melbourne to FLL in 2 hours, it's a 2+ hour drive, not a 2 hour. Catch my drift? And if that inexplicable Boca slowdown occurs, you'll be late. After moving to Brevard from Broward, I did that drive regularly for a long time.  

3. Have you visited the areas you're mentioning? If not, plan a trip and check out Brevard County. Then down to Vero Beach and down to Port St. Lucie. See which vibe you connect with best, THEN decide where you want to be.

4. The best advice I can give you is to rent for a year. Get a better lay of the land before planting the roots. 

Tchaka 

Quote from @Kerry Baird:

BREIA is Brevard Real Estate Investing Association, in Old Melbourne at the Hell N Blazes.  They can be found on Facebook.  

I have been attending Space Coast Investors, at 524 N Harbour City Blvd the second Wed of the month at 6:30.  Facebook notifications.

@Priscilla Z. has hosted an experience group in the past that specializes on wholesaling…I hope she responds for a time and place.

CFRI Central Florida is the larger group, with classes offered. I am on their email list.  The Brevard Chapter meets tonight the 18th and tonight’s topic is “Ins and Outs of Insurance in a Changing Market”. At 5 Rosa L Jones Drive in Cocoa.  $10 entrance for non-members.

Hey Kerry,
As a first time attendee, do you know if he gets complimentary entrance? I cannot recall if CFRI does that.

Welcome to BP! 
Are you here in Brevard or in South Florida?

Quote from @Bob Bissman:

Hey BiggerPockets,

I am in search of an investor friendly agent in Brevard County, FL to help me out with finding my first house hack.

Someone with credentials and past history of helping investors with house hacking.

If this is you, please shoot me a message!

- Bob

 Hello Bob,

I recall you posting here late last year - you were looking at Palm Bay at the time. Give me a call and I'd be happy to have a chat to see how I can help you.

Tchaka