All Forum Posts by: Tim Ryan

Hi @Sharon Anschultz, 

I agree with @Andrew Michael on his first point. You need boots on the ground.  I have found no good Turn-Key operations. Talking to realtors only gets you so far. Remember they are sales people and you are the rich California kid (whether that's true or not is besides the point).  I picked one market that is 2500 miles away and have been working it since 2009. I believe this is the only way. I travel quarterly and its fun (and I am married with three kids). If I can do it so can others.  Let me know if you want to hear more about what I have done. It's work and it takes time, but it's paying off. I am only doing multifamily properties and all out of state.

Hi @Shaun Pruett, you are exactly where I was in 2008 when I started investing in real estate. It's tough living in So Cal because we really want local deals - who doesn't because you can "see it everyday and touch it" (being cynical here as that is the line and its bogus).  Many of these posts have very good advise.  I'll never forget in 2008 I was so hungry for a positive cash flow rental property. I did a coaching program with Robert Kiyosaki called Choose to be Rich. It was one of the best educational things I have ever done. When in the program they had what they called a Resource Line. You could call at any time and talk to a coach and ask any question you have. The coaches were the real deal, they were smart and they were successful. One day I called and was complaining that Rich Dad is unrealistic because I can't find any deals with the returns they were saying I could get (on rentals). The coach asked where I lived (he knew where but wanted me to say it), I said Los Angeles.  Then he went on to say "we have 35 coaches up here and all are semi-retired, successful, and all have a lot of real estate holdings. Not one of use, not one, owns rental real estate in California".  That changed my life.  I now own 195 rental units and 44 in escrow - all out of state. Not bragging (but I am proud of me for taking action ;) ), I learned that lesson and maybe you can too.  I flip and develop Los Angeles homes but I'll never own a house or apartment here.  Hope this story helps. Tim

I agree with most that you move on. Especially since you already did it and to now get a bill in the mail is just not cool.  I bought a 22-Unit apartment building last November from the builder himself. It was built in 2012. The seller told me he has build over 500 units over his life and this building has all his best ideas. (It is a good property). 

One thing he did is all the front doors have a door knob and a dead bolt - like usual. But, the knob has not key and no lock. Only the deadbolt locks the door and inside is a thumb latch (for quick exit in a fire). So, what he did was he eliminated all the calls at 9pm on a Friday night because it's now impossible to lock yourself out! 

How did he know this?? He obviously learned the hard way...

Are you syndicating and looking for investment funds or do you have leads on the properties to buy?

By the way. I just noticed my profile says "wholesaler from Arcadia". I do live and have office in Arcadia but I am not a wholesaler and don't want to be. So, not selling houses either ;)

Guess I need to change that. I don't go on BP much...

I just started a Meetup in Pasadena.

http://www.meetup.com/Real-Estate-Investors-On-sit...

We hold the meetings at a house I am flipping and we take a tour. No sales. I'm not doing this to become a guru or start an educational program lol.  I am looking for partners who want to learn this business "on the job". It's very different. Hope to meet you soon Tatiana.

I like your strategy to buy your duplex. Maybe you one a bit run down (so you can find that deal) and fix up while you live there... "Buy in your own backyard first" is a good idea to learn by doing.

Next you need to start getting investors to take down the larger properties with you. You can't do it alone or it will take too many years.

I read Richard Branson's book last year "Losing My Virginity" and it has changed my life. What I learned most is he brought in partners and professionals in every business he owns.

There is Bad Debt and there is Good Debt. I think you are talking about not liking the Bad Debt. If you agree Good debt is Good then you can't still hate can you?

You need to leverage in real estate. When a bank offered me 3.83% interest amortized for 30 years with a 10 year balloon and funded 80% of the 104 unit property, why would I ever turn that down??  

That's the same for a single family. Today's interest rates are practically free money!

CapEx is used on multi-family. There is no extra money available on small properties. When the roof needs replacing, you will be scrambling for the dough. Or just save ALL your so-called Cash flow on the single family rental and expect to spend it on the Capital Expenditures that WILL come up. Sad but true.

Love it! I am also 48 coincidentally. I started at 40 when I woke up one day wondering what I was going to do for the rest of my life (it was my mini mid-life crisis). I am married and have 3 kids and my wife didn't work outside the home. In 2007 we bought a vacation home and watched it lose half its value by mid 2008. Then I calculated all the monthly expenses to operate this "luxury" (about $1800 per month!) - What was I thinking!!?

Anyway, through adversity comes triumph. This mistake of a purchase caused me to get educated on real estate and learn to invest correctly. I now own several properties and am full time in real estate. 

I share your love for this business. 

Keep it up you Rebel !

That's right, it's a pep talk.  Then the next level is you pay for coaching in Kiyosaki's organization (or others) or pay for seminars. I did the same thing. I read and I read and it wasn't till I did coaching programs and live seminars that forced action to buy real estate, did I start to succeed.  I'm not a coach and I'm not selling anything, just giving you my experience. So congratulations, you are now past the first step, welcome to what's next. Go get a property to either wholesale, flip, buy and hold... Partner with someone if doing that first deal is too scary.  Good Luck

P.S. I have enjoyed many Rich Dad books but that one is just mediocre at best.