All Forum Posts by: Todd Anderson

Ben,  I work with investors all the time that are looking for the same thing.  

We have put together a turnkey way to invest in Real Estate that solves for all the problems that normally hinder an investment.  We have an inventory of off market New Construction investment properties in a number of growing markets that will cashflow day one.  We have set up preferred venders with Lenders, Insurance, Property Management and we are Boots On The Ground.  As brought up above in the Forum we have many investors that " just close".  I have Benn investing in Real Estate for 30 years and consult with all the clients that I work with about the property and strategy that best fits their investing goals.  

This is done every day to build wealth for busy business owners and W2 employees.  I am citron you can do it to.  You are in the right place!!

Best of luck and reach please connect if you need any help with any questions.  

Marc,  Quick answer is Yes you can offer anything to anyone.  

Depending on the Investors Investment Strategy,  things may work out. The worst someone will say is it doesn't work for them.  

I have done a few rent to owns over the years, I actually just closed on one the beginning of September.I Converted a long term tenant into a buyer.  It may be a little more challenging with a new investor that has no track record with you.  

The way most lease options work is:  

There is a downpayment this is negotiable, I have seen 5%-30%.  This would normally depend on the condition of the property and the Condition of the tenant.  A bigger risk would warrant a larger Down payment.  This would be used to rehab the property if the tenant did not preform and the owner had to take the property back.

Then you would look at Payment.  Part of your monthly rent would go to principal reduction.   this can vary from 25%-75%.   this would normally depend on the length the owner wants the lease to last.  

Then that leads into the tenth of the lease.  I have seen 2-15 years.  normally there would be a balloon payment set up for some time period.  This would give the tenant the time to create enough equity to be able to finance the purchase.  There would also be an interest rate on the money negotiated.  My guess is this would need to be somewhat close to what the investor is paying.  If the investor is paying cash then it could be more negotiable.

If the investor is a developer this is probably all out the window. 

Best of luck.  hope this helps a little.  

Harish, Welcome to BP.  This is a place that you can get a lot of great information and make great connections.

I work with investors all the time that are from the West coast and are looking for an out of state investment that is turnkey.  Many people above have commented about a few of the pit falls in this strategy.  I believe that we have solved for all of these problems.  We work with builders to offer off market New Construction investment properties to investors at investment pricing.  this way your initial equity bump is built into the deal.  We are able to build in other incentives like Free Property Management and Rate Buy downs to high 3%. We also have preferred venders set up to help with lending, Insurance, as stated property management, and we are boots on the ground.

Most of the investors that I work with buy f 4 or more properties through us .  Let me know if you would like to connect and get any more information.  I have personally been a Real Estate investor since 1995 and have done most strategies and would love to help.

Best of luck.  

Lance, Real Estate has never been quick, easy money.  Only the Gurus will tell you that to sell something.  Real Estate has always and will always be about slow generational growth.  As said above and best said by Jason, there are still great ways to get some cashflow and grow wealth over the long term.  

When I speak with the investors that I work with, we talk about investing for cashflow in growing markets where the appreciation is obvious.  Look for markets where the environment for landlord is good, prices are reasonable and growth is positive.   

For the investors that I work with I recommend New Construction for a number of reasons. The builders that we work with are offering our investors great incentives right now like, free property management and rates below 3.99%.  With these incentives to start with the property you can cashflow day one in the investment.  A buy and hold over 5-10 years can see a great appreciation when you consider that construction prices are not going down.  

Don't be afraid to follow your sisters lead, and feel free to connect if you have any questions or would like our inventory of off market properties.    

I talk with investors all the time who have the same question.  To be clear, to get to the right answer for you I would need more information.

I have done a number of Brrrr's.  It is a good way to get into Real Estate.  BUT.  You need to have time, You are taking on another job.  You need to have experience in renovation,  or know someone who does. And renovation money.  There is also higher risk that comes along with the deal.  There are always things that come up that you don't expect.

With a turnkey investment you have experts in place to help with all items listed.  We work with builders, lenders, insurance, property management, and most importantly, We are boots on the ground.  The turnkey I suggest to the investors that I work with is New construction Investment properties.  As a new first time investor in this strategy you are able to own there property for the best years of its life, when it needs the fewest repairs.  The way we present our OFF MARKET inventory all the builds are with in 1-3 months of completion so the investor also does not fund the construction.  

And lastly all the properties that we recommend cashflow day one, or as soon as the team finds a tenant.  

Let me know if I can help further or you would like to talk about our inventory.  Feel free to connect.

Anna,  Congrats on making the decision on getting stated into Real Estate Investment, and welcome to BP.   

One of the most important first steps is to figure out your investing goals and stradigy.  It sounds to me that you may be looking for a turnkey solution on long term rentals.  This is one of the most passive types of investing, but still gives you control of the property and investment.  

I work with many investors that have that type of strategy.  I work with mostly out of state investors and many out of the country.  We have solved for many of the problems that come with out of state investing.  Whether that be setting up the team, finding the deals or the "boots on the ground" to bring the deal in.  

Please feel free to connect and we can set up a time to talk further and get you our off market inventory of New Construction investment properties, in multiple markets.

Best of luck

Andrew,  I work with investors every day that are doing this same strategy with LTR.  Most all do a Cost Seg report as soon as they close.  This becomes easer because the properties that we work with are new construction, so it is easy and fairly cheep to get the report done.

We work with builders to help move their inventory of off market new contruction Investment properties at spacial investor prices and incentives. All of the SFR and 2,3,and 4 units show cashflow day one for our investors. When you add in appreciation and tax benefits the high W2 earning investors are very happy with the return.

Feel free to connect if I can help.

Kathy,  I think the first step is to use some of the great tools on BP to analyze how your current investment is Preforming versus what a new investment might look like.  BP has great calculators that will help you look at the deal form strictly the numbers side.  

Depending on how the current deal is working, you can look at getting your equity working better for you.  Whether that means a "cash out refi" assuming you can get rates that work, or a 1031, get your money working for you.

I work with many investors that are looking to use a 1031 to move an older depreciated property into a New Construction investment property that will work well for Cashflow, Appreciation, and will give them great tax benefits with the reset depreciation.

Feel free to connect if you have more questions.

Troy,

There are some good forms available on BP.  make sure that you document how to take care of the pool and who is responsible for each part.  I used to have some in Minnesota that it was the owners responsibility to close and open and the tenants responsibility to take care of the maintenance when open.  

Make sure that you have a good Release of Liability, as an addendum to the lease.  You may even want to have a local attorney look it over to be sure.  the other thing to keep in mind is the insurance.  make Sur your insurance knows that you are renting the home with the pool involved and in use.  

Best of luck. 

Vamseedhar,  You have many of the same goals and strategy's that many of the investors I work with have.  They are in areas that are difficult to make investments work.  Many out of state investors can find both cashflow and appreciation with investments when they leave their market.  

As said above look for an agent or investment that offers a proven turnkey process with "boots on the ground" in the market you're looking at.  We work with a number of builders that offer off market new construction investment properties with a proses that makes investors comfortable in not being in the area of investment.  I work with many investors from the West coast and many from outside the country.  All have expresses that they are very comfortable with the process. 

We have a great builder partner in North Carolina that has inventory that cashflows day one.   

Please connect if I can be of more help.  

Good luck on your first deal.