All Forum Posts by: Cheryl Crockett

Hi! I am in Washington, DC and focus on Baltimore City for real estate investment.

Have you all had your meeting yet? Will it be an online meeting or in person, or some combination?

Yes. I my approach will be balanced @Corey Czajkowski.

@Michelle R.  

I have been mapping out a similar scenario that involves the purchase of a personal residence. Many real estate investment training suggests combining buy and holds with some fix and flips. Here is my proposed approach:

First, I would not put all of the cash in one place. My RE attorney (title company) recommends that 1/3 should be put away somewhere out of reach. 

Second, 1/3 of the cash would be used to purchase a 4BR/2BA residence with some rooms to be used as AirB&B style rentals. The passive income, if 1-3 rooms are rented for half the days in the year, at $75 - $95 per night, ranges from $12K - $50K. This house, purchased with cash, can be refinanced within 4-6 weeks, according to a recent Bigger Pockets podcast #233 (click). In my proposed scenario, a H.E.L.O.C. (home equity line of credit) will be opened for up to 90% of the home's value.

Third, the rest of the money will be used for fix-and-flips, in tandem with the H.E.L.O.C. as needed. The profit from one fix-and-flip can range from $50K - $90K per house with a turn-around of 4 to 8 months. These would be done one at a time, with the initial investment rolled into the next project, once recovered from the previous one.

There are self-directed IRAs that can be used for real estate investing. Opening an account with an organization that offers this kind of product (like Midland) may be an important part of your strategy well worth considering.

Although this scenario might not work exactly for your situation, maybe, portions of it may inspire you or solve one or two challenging aspects of your situation.

I wish you the best!

Cheryl

I'm not one yet, but my RE agent is! And one 30 second piece of info she shared with me opened up a new opportunity for me that I will be able to implement with my upcoming home purchase. 

I listened to the podcast she referenced and now realize that I should be listening regularly. I cannot say I will become an addict, but I will start listening to at least a few podcasts per month.

Welcome to Bigger Pockets Ryan!

I see you just joined today.
Please consider signing up for the next Wednesday webinar and listen to some of the podcasts presented by Bigger Pockets; subscribe to their YouTube channel. You will quickly discover how to earn passive profits from just one buy and hold property.

Check out the menu at the top of this page; look at the options under "Education".

Wishing you the very best!

Cheryl

That is a very interesting question. While I wish I could help, I cannot. I would suggest you cross post your question in other relevant forums (i.e.: Legal related, tax concerns or business strategy related). Beyond that, you might want to take it to your CPA and your attorney.

I look forward to seeing whatever answers you get, should you be willing to share here.

If I reach out to a random fellow BP member, I have a few criteria:

1. A PHOTO: if they took the time to add a photo to their profile, they have passed my first qualification round. It also helps if they are a PRO member, but this is optional.

2. RECENT ACTIVITY: On each user's profile page, at the bottom, there is a reference to when the person was last active on BP. If they haven't been here in a while, I skip the connection request. Otherwise, they move on to round 3.

3. ANYTHING IN COMMON: I look through their recent posts, their bio or blog posts (if any) to see if we have anything in common; I check their geography to see if they might be a good connection for possibly working together in the future.

@Mindy Jensen Thanks for weighing in! The DC law appears to be very similar to the Colorado law.

DC residents are permitted to "Cultivate within their residence up to six marijuana plants, no more than three of which are mature" (this links to the Metropolitan Police website post on the topic).

My observation has been that cigarette smoke is less noticeable than marijuana smoke. I rarely smell smoke from neighbors who smoke cigarettes (and many do). In my personal experience, when my neighbors smoke weed, the smoke seems to linger or hang. I am not sure why.

Live tobacco plants I have smelled almost remind me of tea; the odor is bearable, almost pleasant. But, as I wrote previously, I cannot remember the scent of marijuana plants because I have only briefly been in their presence and it was such a long time ago - I don't remember the presence of a scent. 

@Marques J. Juxtaposing legal exception (i.e.: for service animals vs. pets) to Marijuana, I believe any fair-minded landlord would allow an exception for a medical marijuana situation. Keep in mind, medical marijuana comes in different forms and is not always consumed by combustion (smoking). 

It would be so nice if one of the LEGAL EAGLES on Bigger Pockets could respond to your concerns. I agree with you that disparate treatment could be implicated in housing laws when it comes to medical marijuana.

Thanks @Account Closed

The discussion contributions have been very helpful to me.

I am sure there are many landlords who have not yet processed the concepts we are discussing now, possibly many are in the states where voting will happen tomorrow. And they will find our posts in this thread helpful, too.

Thank you @Sam Ally 

Your response is very thorough and helpful with immediate usefulness.

And @Jim Y. thanks for distinguishing "inconsiderate smokers" from the considerate ones.

My neighbors have been considerate of me on one occasion and I thanked them. Other times, after I complained, one of them muttered, (knowing full well I could hear them but not talking TO me) "I can't enjoy my own front porch!"

People who know the situation have begun to encourage me not to speak up 

@Ryan R. To clarify, I was referring to the 5 states where the legalization of marijuana is on the ballot this Tuesday.