All Forum Posts by: Account Closed

@Nicholas Aiola

I have a question regarding the determination of depreciation value. 

Hypothetically, I bought a 4 plex for 100k, property tax accessed value is 50k, land is 10k. When I report depreciation value, which building value do I use to depreciate by?  90k or 40k building assuming linear depreciation 

@Rick Pozos 

Diversification of market & growth. Houston is reaching to peak point on population growth but San Antonio is just starting to grow. 

Of course, I am still investing at least 80% of assets in Houston but 20% will go to other market areas.

@Jordan Moorhead 

Salute to you. I am doing the exact same thing with my 4 plex. 

There are a few things that I am learning along the process. 

If you have 6 plex, you wont be able to claim homestead for the entire property which is a big deal in my area given property tax is high. 

@Margie Fuller 

I started by reading Rod's book and listening to his podcasts. (Lifetime Cashflow). I eventually hit the books written by biggerpockets. 

This will give you much better understanding how deals work and the terms that you need to know. You do not want to go out to an agent not knowing what NOI is and COC is.

@Michael Guzik San Antonio might be pretty tough. In Houston, you can still find 8-10% cap rate. In fact, I just closed a property at 7.8% without improvement in a class A neighborhood. 

@Michael Guzik

Hey Micheal, 

I have three specifics points that I was looking into

1. I am looking for 8 units and above MFs deal with cap rate at least 8% in general locations

2. I drove around WoodLawn lake area and I love what city is doing with the lake. Does anyone has opinions on that area?

3. Airforce base short term rentals, I saw a lot of air bnbs around airforce base for graduation. Just wondering what are the average going price around there and is it worth the investments. 

@Brandon Yuan 

In my opinion, I would go with banks since in this business, banking relationship really matters unless your loan is above 2m. 

There are banks like Green bank or City bank that would do 25yr amortization for the loan given strong relationship. 

@Delmas Edwards

First of all, it is a great thing that you took the first step. No matter what others are saying. First home is the hardest and you will have a lot of seminars around that.  First thing you need to do is consolidate all the debt with lower interest. 

There are a couple of suggestions that come on top of my head for you.

1. Go to chase branch, apply for slate card in person. Even though your credit got a hit, it is always good to try. They have 0% APR for 2 years with no balance transfer fee. Or find a card co signer.

2. Try applying loan with sofi or any online personal line of credit. I am aware that you took a hit in your credit score. There are ways to consolidate all the loans even your credit score is pretty bad. 

3. Find a hard money lender (local) that knows the area and willing to lend you bridge money. Maybe through bigger pocket or any referrals. 

In my opinion, it is not the end of the world. I salute you for taking actions and real estate has a lot of seminars that you would see. 

I would do the above things as quickly as possible since you are paying too much interest and you never know when the market is going to turn or the current tenant will lose the job and move out. 

Hi all, 

I just came back from short visit to San Antonio. I drove around a couple of neighborhoods and saw some area that are really gentrifying. I am no expert in the market at all and want to get some feedback on the area. 

Please drop any wisdom that you could share regarding the market and sub market area around the great city of San Antonio. 

@Matthew Runfola 

It all depends on what's your holding period and your liquidity needs are. We all know that the crush is coming. Unfortunately, nobody knows when it will come. Rather than sit around and wait, if you see a great deal and you like the numbers, you should go for it. The crush may not come in 4-6 years or may come in 3 months. Nobody really knows. 

Investing is all about consistency and rather very hard to time the market. It just doesn't work for the long run.