All Forum Posts by: Account Closed

I just saw I got my first award!!!!! Whoohooo!!!!

I can hold my head up high again.

@Michael Quarles 

*hides face in shame*

I'm only in the 2's. Will somebody give me an award already?

@Joe Trinsey 

You get people on both sides of the fence here. Some people won't invest in anything that isn't within short driving distance and they want to do all the management themselves. Others (including myself) invest in very different markets from where we live. For example, I live in New York, but invest in South Africa (which is where I was born and raised). What works for me is that I use a property management company to find tenants, take care of rent and do maintenance but I also have family members in that town who can keep an eye on my (so far) one property. I also travel back once a year and spend at least a month in South Africa. Looking forward to going in a few months and to buy my second place.

@Aaron J. 

Just saying welcome. You're in the right place to learn, get valuable feedback and network.

Regarding the condo - do the math on it, analyse it. If you buy your brother out will you be able to cover the mortgage on your own or will the place be able to rent out for enough so that you start getting some cash flow? If you do buy him out and move to Oregon or Sacramento, will you still be able to buy the 4-plex? Which is more important to you? Would you feel comfortable managing the property (or having a property management company) manage the property for you while you live somewhere else? Remember, when you're running the numbers, always factor in property management even if you don't plan to use it - you never know when your circumstances may change and you'll need to hire PM and suddenly be in a negative cash flow position.

Probably some of this has been running through your head already. Sorry if I've added more analysis to your paralysis. 

Good luck!

@Christopher Triolo  

There's the "head-in-the-sand" solution to just look the other way and ignore it for another year in the hopes it will turn itself around. But I think you've been waiting a while already.

One way to do it, could be to interview realtors in your market. Tell them about your property, tell them you're thinking of selling but you're not sure. Resist the urge to list the property with a realtor and put it on MLS. Just ask realtors to keep your place in mind as a pocket listing. The reason I say go with a pocket listing is your saying that there is another house on the market that is similar that isn't selling. Once you put a property on MLS and the house doesn't sell quickly, it looks like the house that won't sell and people start thinking there's something wrong with it. Or they don't want to buy it because no one else wants to (market herd mentality). Putting it out there as a pocket listing may mean a sale takes a long time (but would it have been shorter if it was on MLS?) but you may generate more interest. The moment you seem desperate to sell, the market can turn on you. If you appear nonchalant, the market suddenly becomes more interested.

@Ron Averill 

What is radon and should I be worried about it?

@Account Closed 

I am South African that's why I do my investing there. I know the market and the city where I invest very well and travel back at least once a year.

I just happen to live and work in the US. For the same reason you mention, I don't invest in real estate here in the US. I have a specialized type of work visa and do not have residency status or a green card. I did own, renovate and sell a primary residence here in the US and managed to get an exemption of FIRPTA in that case but its not something I'm willing to take on without a green card residency status.

@Kicia Brooks 

Hard money lenders are expensive (read: high interest rates) and are really only intended for short/medium term financing. You would use a hard money lender if you had exceeded the maximum number of regular mortgages allowed. You would get hard money if you were planning on flipping and were going to cash out in a short space of time. Hard money is a true statement. Hard money lenders provide an invaluable service and they help real estate investors do their thing but they work in specific situations.

For your first home, start with a 20% downpayment and a regular mortgage. If you're not there yet, work on getting your credit score up from good to awesome. Save as much money every month as you can to scrape that downpayment together. Hey, get a second job if this is what you want more than anything else in the world.

Yes @Account Closed 

I don't even know if you can do wholesaling there or what the relevant laws would be. From what the realtor said in her email, it sounds a little like a short sale. He has a grace period to pay up on his mortgage or else the bank will take possession.

@Account Closed 

I invest in South Africa but live in New York, USA. At that distance, I only do "passive" buy and hold investing. Believe me, if I was on-site, I would have had a whole lot more fun with this. :)