All Forum Posts by: Tim S.

A properties class has far more to it than age. You could have an old house on the east coast downtown built in the 1800s that will be worth 5 times as much as brand new house elsewhere. As mentioned by others, it comes down to how desirable the 1. Location, and 2. Property is.

I don't like the idea of requiring or even asking for it. That seems very strange and might make even good people who have nothing to hide feel uncomfortable. I don't see anything wrong with you looking them up otherwise. Just to try to get candid information but not to require it or even mention it on the application.

Shiloh Lundahl the reason $75k stood out to me in your original post (and verified in your most recent reply) was because it made it sound like you were actually being the entitled one. It sounds like you believe that having $75k worth of real estate education entitles you to have aspiring investors wanting to invest with you (if you don't think that then reread your posts- your original post specifically mentions the cost of your education as an indication of your success as an investor). There are investors who have never spent any money on real estate education and are far more successful than you or I will probably ever be. You could spend $0, $75k, $200k or any amount in between on education and still have lost all your money or have a successful RE business. There are far more factors involved. A $75k education doesn't automatically make you $75k better as an investor than those new guys you were dealing with. They could have learned the same information from reading and studying on their own. My point is that I don't think there is necessarily a connection between the amount you spend on education and how successful you are. Let your successes speak for you and not the dollar amount you spent on education.

Could you include a clause to return the move in fee if they stay a certain duration. I'm not sure if it's legal or anything but I'm just thinking if they were to stay for 2+ years you would have less turnover and would be easier for you to eat the move in fees. Then again $350 may not be enough to sway someone to stay any longer so I don't know.

Pedro Martins haha you beat me to it by a few minutes with your reply

As mentioned above, I think the problem is if you sound in person like you do on your post, it might sound condescending and ironically enough it sounds like you are entitled. It sounds like because you spent $75k on a RE education and have done some investing you are entitled to people lining up to invest their money in your projects. In return they get to learn from what you with a 10% return on their investment. The truth is that not everyone needs their hand held to be successful in real estate investing. Some people have done enough research and have the confidence and skill to just buy a property themselves and experiment and still come out with a better than 10% profit on their project and learn an unbelievable amount from it. So they might not mean to be insulting or sound entitled by declining your offer. Maybe they just believe their money is better invested elsewhere or aren't interested in going into business with you.

For those that have been able to quit their day job and invest in real estate full time.. What do you do for health insurance? Every time I run numbers on what my "freedom number" would be, health insurance seems the biggest obstacle. Is your health insurance provided from a spouses job? Are you purchasing it yourself? If so what does that cost you? Thanks!

I guess I wonder..since you mention that eventually you need to partner with people or you'll run out of money... do you need these people to make the deals? If you are offering experience but could not do the deal without their financing, then the way I see it you both need each other equally. If you don't need them for the deals, then I wouldn't bother trying with them anymore. Find experienced people to partner with or go solo. I understand that you might want to share your knowledge but from your post it sounds like you might be a little sour toward anyone who didn't have to pay $75k to learn how to invest I real estate and that might make it difficult for you to be a mentor.

I don't have any experience in this but I've listened to several BP podcasts and they talked about this on one because one of the investors likes condos. He mentioned that a big pro is that you don't own much actual yard/land. So your taxes are much lower because you don't really own anything other than the ground that the building is covering. I haven't ever analyzed them but I wonder if the tax savings would be enough

I'm getting ready to put an offer in on my first rental property- a single family 3 bedroom home in a good neighborhood. I've read the BP guides and have done a ton of reading on the forum. I know it will vary by location and by each investor but what numbers do you like to see when analyzing a deal? What's your minimum profit margin? The house I'm looking at is 45k purchase price, 20% down. 2000/year taxes. 600 insurance. There are just a few small projects to do totaling 10k in repairs (rounding up to be conservative). ARV would be 115k. Comparable homes rent for 800-1000. Being conservative, I figure I can easily get $850/month for rent. How would this fit your parameters for a profitable rental property?