All Forum Posts by: Vincent Plant

A co-worker agent of mine approached me with an idea the other day that I am sure is full of investor pitfalls. I would love to hear the ideas and critics of the pros. She buys a habitable house through FHA (minimizing the down payment). The house of course would be in bad shape but FHA obtainable. After settlement she moves in and lives there while I begin to rehab the home piece by piece over the course of 6 months or so is using my own cash. She pays the mortgage and resides in the property. After the improvements are complete, we sell the place. She moves out. So she buys for maybe $100k, I dump $30k into it maybe. She sells it for $175ish... I take my $30k back, she takes her closing costs back. We split what's left. Looking for feedback and brutal criticism to explain why this is a horrible idea (other than the insane amount of trust involved).

What do you think of this? I have never Invested before but this is my rough plan please critique as brutally honest as possible: My primary residence is currently worth about $240k, I owe $174k. I was thinking of taking out a home equity line for roughly $40k (if I am able) and putting that together with $30k of my own cash. Buy something around $50k cash.... use the $20k in renovations with a hope to bring the value up to $125-$150k. Profit = $50k-$80k Right? Or is this too simple of a plan?

Never invested.... real estate licensed. I have about $30k in my pocket and I'm ready to jump on something. I have no idea where to start. Want to get some passive income. I know I need more capital so where should I go to borrow or how to set this deal up the best way where I can have 1-3 rentals generating monthly income. Any suggestions would be much appreciated.

Never invested.... real estate licensed. I have about $30k in my pocket and I'm ready to jump on something. I have no idea where to start. Want to get some passive income. I know I need more capital so where should I go to borrow or how to set this deal up the best way where I can have 1-3 rentals generating monthly income. Any suggestions would be much appreciated.