All Forum Posts by: Toni Dixon

I am closing on my first property soon and would like to purchase a Home Warranty.  I did a quick Google search and found 4 companies that were listed as top 4 for rental properties. Anyone have experience with either of the following:  American Home Shield, Choice Home Warranty, Liberty Guard, or First American?  If so, please share thoughts.

Thanks!

Toni

@Pamela Morrison and @Drew Sygit, thank you for responding. I'll definitely keep your responses in mind. I've not purchased anything yet, but I will certainly start to look closer to the colleges/universities.  Thanks again!

@William Costello, thanks for responding!  Im not familiar with syndication, please explain.

@Pamela Morrison, thank you for responding!  you mentioned being extremely picky of the area.  I've been cautioned against the north side and parts of the east side, so I've been trying to focus my attention on other areas- near downtown, south and west etc.  Truthfully Im looking in all Genesee County.  I am finding properties in the 40+60k area which is a good price point for me, the C class properties as you state.  I am curious, I am looking at multi-units, 2-3 family properties that are typically 2 bed/1 bath.  In your experience, what are those going for monthly?  Are the homes that you rent single family for $900-1100? Are they located in Flint? If so, which side of town?  Thank you again for taking a moment to respond.

Toni

@Drew Sygit, thanks for respondingI   I am not, nor intend to be a slum lord.  I believe everyone should have access to safe and affordable housing.  You are correct, screening will also be important.  I plan to hire an experience PM to manage on my behalf (distance and working my 9-5 makes it difficult to self manage) and that will be a part of their process.  It sounds like maybe you've managed there before and had issues with collecting payment?  In your opinion was it usually because the tenants weren't screened properly or other outside influences such as no jobs in the area making it difficult for otherwise good tenants to pay their rent?  

@Corey Frank, thanks for responding and my apologies for my delayed reply.  Yes, Flint has taken a hit. There are still colleges there and hospitals, so I don't consider it an area that will completely lose its population. A lot of the population loss was over the water crisis, which has been largely updated. I understand 85% of pipes have been replaced to date.  I realize I have to be more careful here than in other areas in which the economy is booming.  Right now the price point is at a level I'm looking to invest. Of course I'm carefully evaluating my numbers. The property has to cash flow.

I'm interested in investing in Flint MI, specifically multifamily (2-8 units) as buy and hold.   Has anyone invested in the area recently or currently holding multifamily? If so, what are the average rents to 2bed/1bath units?  How do you find your properties?   Thanks Toni

Thanks All! Really appreciate the responses. I've recently heard of another way to use 401k that may be a better option. Its called ROBS - Rollover Business Strategy.  I'm going to be seeking the advise of a local tax advisor soon to really understand how it works.  I came across this information after searching YouTube for how to use your 401k to invest in real estate.  I found a video by Karla Dennis - "How to Level your 401k for Real Estate Investment" that gave a lot of insight on how ROBS works and how to set it up.  As with anything there are some drawbacks however by comparison to SDIRA it seems to fit what I need.   If anyone has used the ROBS method with their 401k, I'd love to hear about your experience!

Thank you Dimitry and Adam for your quick response.  I'll check out the link with previous replies to this same question.

Adam, I would likely take a loan against the 401k or do a withdrawal. The latter of course is less likely as early withdrawals fees will apply.

Thanks again 

Toni

Hi All

Im thinking of using funds from my 401k plan to launch my investment goals. Ive heard of the Self-Directed IRA and not sure I want to go that route. Has anyone used the SDIRA? If so, what's been your experience? I've also thought about just taking a loan on 401k for the down payment and repairs (using BRRR method) then refinancing within 6 months to repay my 401k. Has anyone taken those steps? If so, how did that work out for you?

Thanks Toni