All Forum Posts by: Tim Robbie

Quote from @Nathan Gesner:

Quote from @Tim Robbie:

What would  the smartest way to leverage this property?

If you borrow against the equity, you'll need to make those payments. It's hard to rent agricultural land and make a great return so I don't see that as a valid option, but maybe it will work in your market.

You could cash out while the market is at a peak, then use that money to invest in new property. Would that make a better return than what you would get with just leasing out the 800 acres you already own?

If you sold, you could invest in many single-family homes but that's a time-consuming process. Multi-family typically get a better return and the more units you have, the better it can be. With $1.8 million, I would look for multi-family rentals up to $2 million. Put 25% down on three of them, keep $300,000 in reserve until you know things are stable, then use the $300,000 to buy another or some single-family.

Or storage facilities.

Or mobile home parks.

So many options.

I really like the idea of storage facilities as well but am concerned about building right now because of all the shortages. If the construction were to run over estimated times id be screwed because I don't make enough money in my other job to cover any payments. I don't see facilities for sale very often.

What are the best online resources for finding MF and commercial RE, like storage facilities?

That's a great thread Nick, thanks for that suggestion.

Yes, I thought 25% down on each property would be the best thing to do but just wanted to ask.

I certainly do need to read rich dad poor dad. It get mentioned all the time. Even with a library full of books its still not in there for whatever reason.

So. In theory, to maximize this methodology, I would put down 25% on 10 properties then buy in cash with the rest of the funds?

Hi Nick,

Thanks for the reply.

This is an undivided interest so I would say building on the property is not currently an option. 

So what would the pros and cons be on buying each property outright with the cash vs using the money to put down and opening new mortgages on each property?

Hello everyone, 

I'm curious what advice you all have for me concerning my given situation.

until recently I've had no real experience with real estate.

My wife owns a home in the UK which we rented out last year and has the tenants paying the mortgage on currently but isin't really making any money.

We purchased a fixer upper house here in Texas a few weeks ago to live in also and hopefully flip in a few years.

Ive enjoyed these experiences and they have really peaked my curiosity on how to get more involved in real estate, which made me start thinking.......

Basically I inherited around 800 acres of ranch land this year and want to leverage it to buy some rental properties.

The land is worth roughly $2,000,000. 

I believe I should be able to get at least 75% out on either an Ag loan or some type of LOC.

Ive managed ranches my whole life and understand how they operate from a business prospective and I could roll this into buying another ranch but, I just don't think the cash flow will be there as in rentals.

My goal is to net $100k/yr. as passively as possible and grow from there at a moderate pace within the USA.

Can you shed some light on multi family vs single family, choosing location and how to strategize the investment of $1,500,000, please?

Has anyone done anything similar? 

What would  the smartest way to leverage this property?

Thank you for looking,

Tim