All Forum Posts by: Todd Pultz

@Jim K. Your posts crack me up sometimes, but I appreciate honest feelings on here lol!

With that said, I agree in principal with what you drive in C class matters. I have large C portfolio and some D’s. However, I also think it’s more about you treat your tenants. If you respect them and treat them right that overcomes a lot of issues.

To answer the question my situation is unique as I am VP for a security officer firm, so my daily driver is a Dodge Durango wrapped like a security cruiser. In our city, people see our cruisers everywhere, so it’s fairly normal. However pulling up to C and D’s in a security vehicle tends to do wonders on those unaware I am the owner, lol. We also specialize in apartment complex security and the areas we are in people are aware of that and those that are not my tenants usually skirt off quickly

@Kris H. Nope lol! I knew exactly what he’s saying, but my strategy is to buy the same but use the cash out refinance to do it or a heloc and we don’t have to give up our assets to get the cash to buy 5 more properties. Simple strategy that a lot use on here and the way I built hundreds of doors in my portfolio

@Joe Villeneuve I was on the same page with you guys, but I can take the refinance money and use as down payment on other properties just the same. Might be 20% shorter, but if we buy right we can brrr those and rinse and repeat that money.

Guess what??? We still have our original properties and didn’t have to give them up.

And if your feeling frisky after you scale to where you want to be following the simple brrr technique, take the same money from your original refinance and go back and pay off your leverage on your first two properties. Now your full circle and scaled and have 0 cash left in any deal!

We could start a whole other conversation of what might be better from a tax standpoint....

@Joe Villeneuve you just went off course there! Nobody said leave 100% equity in a property. We were talking about refinancing. I follow your comments often so I know you understand refinancing is leveraging a property, so we are only leaving 25-30% equity in a property at refinance. That’s basic math. Lol!

You do not build wealth by selling everything, you have to hold properties. I almost think your goating this conversation because I know you know that.

If you really believe what your saying, you should be giving him advice on how to be a successful flipper/rehabber because that’s what he would be doing If he sold every time he got good equity in a property.

We could go all night beating this, but I’ll leave it alone.....lol.

You have a lot of good feedback often, we just disagree on this one. Take care buddy

@Joe Villeneuve I like your thinking, however we will just have to disagree on this one lol! Again, I don’t disagree with possibly selling depending on some other factors, but you do not have to sell just to scale and selling does not maximize your return or potential! If that was the case, we should call back all books and podcasts on brrr method and cancel the bigger podcast show lol!

We can beat a dead horse all night but once you sell, that asset is dead. Whether you call the asset the property or equity (although the IRS would agree with me about what an asset is) that asset can never be used again. You start over again in another property. Sure maybe a better property or a higher cash flow property, but at the end of the day, you are much better off if you can cash flow on multiple properties using the same cash while rinsing and repeating. You can also rinse and repeat equity in a property just in a different manner.

If you and I both draw out long term strategies using the same cash either from selling an asset or refinancing an asset, I’m fairly confident I can show larger cash flow and higher wealth built!

At the end, either way can work, just depends on how you want to accomplish.

@Joe Villeneuve I’m not oppose to selling, but without knowing the market and appreciation rate right now along with how long we’ve had the properties, I can’t really give an informed decision on. Of course refinance reduces cash flow, but if the numbers still allow the property to be paid for and cash flow a little while it appreciates, that better in my strategy then giving up the asset. On selling we lose any future earning on that particular property while refinancing we start gaining equity again to use all while having the asset pay for itself and using the equity and cash flow of it to scale!

@Joshua D baker I would agree with @Joe Villeneuve on the basis. Don’t be afraid to leverage your current assets to scale. The goal is to have 0 cash in the deal and cash flow while it appreciates. I would refinance your current assets and use as down payments for other properties. I would gear towards quads and up though. You could sell and trade up, but I would prefer to refinance and buy more.

@Alec York you will find quite a few on here that have less than positive things to say about wholesalers. I on the other hand believe there is a space for wholesaling if you do it right. The biggest issue is that wholesalers tie up properties with 0 intention on closing and most don’t have the funds to actually do the deal begin with. So a couple thoughts.

You need to first under stand what goes into a rehab and be able to calculate a pretty close scope of work otherwise you'll struggle flipping to investors. Second, you need to be an expert with ARV's in the market your going to work. If you can master those two things your off to a great start.

Lastly, don’t get greedy!!!!! If you wholesale, don’t ever believe you deserve as much profit as the flipper who’s actually taking the risk. Make your slice of the profit and leave plenty on the bone for the investor.

Be honest to the homeowner as to what your doing as I’ve seen many go bad when the wholesaler has been less than honest. And, as soon as you get one bad rap for being a slime ball with investors, they will spread that quickly.

My real advice, if you want to do something good for your family, learn real estate and become a real investor!! That’s how you build wealth. Very few wholesalers will build long term wealth for their family.

Good luck to you

@Adrian Fajardo your numbers are getting tighter, but if your still cash flowing you’ll be ok. Just remember, emotions and feelings can not have a place in negotiating real estate. Some of the best deals in real estate are the ones you didn’t do!

@Cherif Medawar @Remington Lyman 0-15% is a large spread. Turnkey only Columbus that I have seen marketed are 6-8%, am I off base with that? Dayton right now is 8-12% depending, but a lot of our investors are wanting closer to 12. What are you seeing your investors wanting for cap in Columbus turn keys?