All Forum Posts by: Will Porter

I'll ask around

Is that a no?

 OPM! OPM! OPM!

Other People's Money!

Equity partners, owner financing, hard money loans, self-directed IRAs, etc. Nobody cares about your credit if you don't use your credit in the deal.

50% of the next deal is better than 50% of zero!

 Be careful here. Technically, you want to compare the (expected) return of your next property, not your overall return from all of your previous properties. If the only thing you can get on your next property is a 4% return, then it doesn't matter what your previous properties yielded. In that case, the better investment is to pay the 7% debt.

(By the way, I'm guessing your answer is still the same, just be sure to compare apples to apples)

I have NO idea, so take this with a grain of salt. But I suspect it might work, and would at least be a starting point for a discussion with your insurance agent:

The parent/holding company obtains the policy, then connects the other series companies as "Additional Insured" with the necessary paperwork and certificates. In theory I imagine that would enable the single policy to cover the others.

But maybe it really is simpler than you think... isn't this the whole point of an umbrella policy, anyway? To add a layer of protection to everything you have?

Well the "textbook" answer is to compare rates of return. If you get a better "return" by paying down your debt (7%) than you would get from investing (say, 1% in a money market account), then you should pay down the debt. And vice-versa.

So how are your Cash-on-Cash returns at your properties?

You aren't legally taking possession of the property so I would imagine you don't even incur any liability from the premises.

But do you need or have some kind of insurance for other reasons? Maybe if a seller gets angry about your assignment fee and tries to sue or something?

Unfortunately a video won't be searchable so people won't be able to find your post through relevant keywords and search terms

 Emilee you should definitely read the free Beginner's Guide, and find a Local REIA to attend. Most groups will let you come for free to your first meeting (i.e., without a membership). Use this time to meet lenders in the room and ask them about what you need to obtain financing.

I recommend the REIAs because the lenders there will NOT be from Chase or Wells Fargo. They will be smaller, private companies that do hard money loans, temp-to-perm loans, portfolio loans, etc --- the kinds of things that can help you get into a house without the strict requirements that a big bank will have.

Kudos to you for getting started at your age. You stand to make more money than all of us just because you're starting young! Good luck.

oooh fancy.