All Forum Posts by: Thomas D.

Sorry, we would use that money to go into a joint venture together.  He has cash and I have the concentration of condos in this complex to make it work.  We would pay the taxes but the creation of the "new money" from the inflated prices would off set that.  

Reposting this in a bigger forum for feedback:

I own 7 condos in a complex close to a local college. They were all bought for under 100k and are worth 150k now. My uncle who invests in property says I should post 2 of my 7 for sale on the MLS for 275k each. He will buy them at the inflated price for cash creating 2 new comps for my remaining 5 condos.  I would give hime back the 275K he paid me and we would then go to the bank and leverage the remaining 5 and refi to pull out cash based on the higher comps and take that newly created money and the original 275k x2 money and go do this all over again at another condo complex.  We have a complex locally where condos are in the 50k range.  I would buy 4-8 of these new condos over time then wait a year and repeat the process.  He comes in and buys 2 for an inflated value of 150k each and we borrow against my remaining condos based on the new higher comps.

If they all can be borrowed against and cash flow at these higher prices why wouldn't I do this?  He jokes that we should call this a condo crush.  Does this sound illegal?

I own 7 condos in a complex close to a local college. They were all bought for under 100k.  They could sell for 170-ish now.  I was wondering about an idea my uncle had who also invests in real estate. He offered to buy 2 of these condos for 275k each cash.  He wants to bump the prices of condo comps on my remaining 5 condos.  He thinks we can then go to a bank and refi out 100-125k off each of the remaining 5 condos based on the new comps at 275k.  Since he bought the first two from me he wants me to pay taxes and reinvest the cash he paid me for the first two condos into some multifamily.  So I reinvest his 550k in cash from the first 2 condos and add my refi cash from the remaining 5.  Seems like an artificial way to make a market and create money.  Am I wrong here?

Good article. I was in Dallas a few weeks ago and you could throw a rock in the air and it would most likely come down and hit a self storage business.  Lots of them everywhere.

Texas has a lot of inventory for sale (on LoopNet) and pricing seems reasonable.  Good idea

I've decided to get us out of residential property. Its just not going to get us where we want to be in the next 10 years. We have about 600-700k ready in cash for a storage unit facility and would consider buying anything under 2M with that cash.  I see units for sale and understand the number of units and price per square foot vary tremendously across the country. I have multiple opinions for JLL's best brokers and Colliers about wha to do but its all over the board about getting in now or waiting.

I think the market for a small guy like me is to find ( some state) and look for class C or B properties under rented and use new technology to get it more operational and leased up + strong SEO marketing to drive traffic.  Im going to got to Scott Meyers could in January and I've talked to the Storage Authority Franchise.

But the question remains --> What state to buy in?  

I've decided to get us out of residential property. Its just not going to get us where we want to be in the next 10 years. We have about 600-700k ready in cash for a storage unit facility and would consider buying anything under 2M with that cash.  I see units for sale and understand the number of units and price per square foot vary tremendously across the country. I have multiple opinions for JLL's best brokers and Colliers about wha to do but its all over the board about getting in now or waiting.

I think the market for a small guy like me is to find ( some state) and look for class C or B properties under rented and use new technology to get it more operational and leased up + strong SEO marketing to drive traffic.  Im going to got to Scott Meyers could in January and I've talked to the Storage Authority Franchise.

But the question remains --> What state to buy in?  

I'm a salesman for a medical  company. I sell implants used in Trauma reconstruction. It's a great job.  Real estate is my only retirement vehicle. It's been very good to me. 

We are really into the hot hot section of this run up. Stuff I bought 2 years ago has added 100k+ in value. I'm selling and going project to project to collect cash and wait for a correction. Any opinions.