All Forum Posts by: Turo Tales

In my area 150k would get you a down payment on 2-3 single family homes in B/B+ neighborhoods with good school districts. Probably closer to 2 homes with leftover money going towards rehab costs. Depending on your buy price you can clear 4-500/month on these homes after PITI self managing. So $1000 on 2. Not a game changer initially but reinvested you can continue to scale SFR. If that's what interests you.

There is also your non RE life to consider. Do you and your wife make good money? How much consumer debt do you have? Are you savers? Do you spend intentionally? Do you have/want children? How long before you want to retire? Do you want active or passive real estate?

I make ~$90K. My wife doesn't work and we have 5 kids. (I think we're done making babies now) We have no debt and save pretty much only in my Roth IRA.

I think SFR are the easiest and safest to pursue. I have been enamored with VR though and feel like they have more upside albeit with a higher initial investment.

Being in the military complicates some things. I'll likely move in the next 12-18 months. Do I buy where I live, where I want to retire, or just find a good market someplace to invest?

Should I pay cash for a house or split it up into a few downpayments?

0 Votes

Originally posted by @Steve K.:

@Turo Tales

Curious: if you want to grow a passive real estate portfolio, why'd you sell rental #1? What made this a "bad" investment going forward? Why not "add" to it, instead of replacing?

Yes, you free'd up $150k in cash....but you just suffered transaction costs, and created a taxable gain. (each could have been deferred if rental #1 is a decent long-term hold)

Have you read about the BRRRR strategy? If you can accomplish some remodeling while serving in the military, It's one of the fastest ways to grow wealth...because you use a lot of leverage.

Steve,

Great question.

We decided to sell because we anticipated several large repairs were going to happen in the near future. (Roof, Deck, Septic) We have no debt, but not a ton of cash to spend should they all occur simultaneously. We also wanted to go from 1 to more and thought that the cash would help us do that. Finally, we wanted to avoid the Capital Gains tax and were approaching the time when we would have needed to sell it.

I went back and forth on it for awhile, thought I would list it for a week to see what happens, and we received the full asking price within days. (Probably a sign that it was a keeper)

The house was making us $450/month on a 15 yr loan. Adding to it would have been ideal. I probably should have found out about BiggerPockets prior to listing, instead of later.

I'll look more into BRRRR. Do you live in them at any point or is it akin to flipping?

Thanks for the comment!

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Originally posted by @David Pere:

@Turo Tales As it has been said above, you need to decide on long-term goals, develop a plan on how you intend to meet that goal, and then do your homework and start looking for deals. There are a ton of ways to invest that cash, depending on if you want to be completely passive, somewhat passive, or even an active fix/flip investor.

David,

We want to do what your company name implies. ;o)

I would ideally like to use the money to set up one VR and another traditional in the same area to see how they compare. Obviously, being in the military takes a considerable amount of time. We probably can't become a full time flipper, but somewhere in the middle would be great.

What did you do to go from the military to RE?

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Originally posted by @Aaron Bihl:

@Turo Tales Not doubling down on Turo?

I started watching your videos about a year ago and now have 6 cars on Turo. I appreciate the content!

Thanks for watching and subscribing. I hope it is still going well for you.

We are definitely going to keep going on Turo. We also want to replace the more passive stream of income that we received from the house that we sold. (Essentially Turo, but for houses ;o)

1 Vote

@Joe Villeneuve

Great advice.

The plan is to make passive income with real estate and be financially independent. I'm completely open to how to do that.

What would you do?

0 Votes

Investment Info:

Single-family residence buy & hold investment in Roy.

Purchase price: $143,000
Cash invested: $7,000
Sale price: $315,000

We bought cheap and it payed off huge.

What made you interested in investing in this type of deal?

We bought it to live in. When the Army moved us away, we kept the house and finally decided to sell it for big gains.

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My wife and I purchased our first property in 2013 and just closed on the sale after renting it out for 4 years. We made $170,000 on the sale of the house.

We want to invest most of it in real estate. I'm an Apache Helicopter Pilot in the Army (currently deployed).

What has worked for you? If you could start out with $150K, what would you do?

I'll continue to read the forums to seek knowledge & wisdom.

Thanks!

11 Votes

All Forum Posts by: Turo Tales

Turo Tales has started 3 posts and replied 19 times.

Post: Sheriff's Sale vs. Foreclosure Sale

Post: Dothan Alabama New Investor

Post: Made $150K on our first property. Now what?

Post: Made $150K on our first property. Now what?

Post: Made $150K on our first property. Now what?

Post: Made $150K on our first property. Now what?

Post: Made $150K on our first property. Now what?

Post: Single family home more than doubled in appreciation

Post: Made $150K on our first property. Now what?