All Forum Posts by: Zachary Dosch

I drive a '97 Explorer with 80k miles. Bought it from a little old lady that didn't want to renew the insurance. Very reliable, great in the snow, and can pull anything. It fits my personality - reliable, functional, and a good use of money. Ill drive this vehicle until it leaves me on the side of the high way somewhere. When Im not at work I wear one of my dozens of free shirt and shorts I have left over from college basketball. Outside of my work wardrobe, my closet looks like a thrift shop!

My wife drives a '04 Taurus with 38k miles. I bought it from a state auction. Ive never had any issues with it. Again, its very practical and very functional.

Like just about everybody else has said, Its not that I don't like cars, its that I like working towards my financial goals more. Maybe one day when this well oiled real estate investment machine is on auto pilot Ill splurge but its not really something I ever think about. Ive never known any different.

Meanwhile, my brother in law with student loans from hear to eternity and a big car loan is living in my basement...paying me rent. Its not a coincidence why most people's balance sheet looks the way it does.

My way may not be right for everybody, but its exactly what I want to be doing and its very productive.

North Dakota is exploding

I've kicked this idea around with some of my single family rentals.

I think it largely depends if there is a big disparity in what the two new units would rent for together compared to what the house would rent for by itself.

I have one house in particular that is perfect for conversion but the two units together might only gross $100 more than the house would rent for as a single unit. If it costs $15-20k for the remodel, that would be a terrible return on investment.

How much does adding a standard kitchen in a basement usually run? It can be done for $15k fairly easily right?

Also, I would be talking with the city on different zoning requirements and the additional requirements that a duplex has to meet compared to a single family home (egress windows, firewalls, ect.)

Chris L.
What are your thoughts about rentals in South Bend, particularly around Notre Dame?

It can be considered a loan portfolio. Just depends on the set up of the bank.

IMHO, you best bet is to get in tight with a community bank of about $1B in assets. Big enough to do the big deals, small enough to be subjective about the deal.

Go to a smaller community bank that keeps their loans in house. If they have an experienced commercial lender, you should be fine because they don't sell their loans on the secondary market. The terms might not be as attractive but it will still be better than trying to pay cash or not doing the deal at all.

I can't see myself ever completely retiring. I saw what happened to my grandfather who retired, didn't really have any hobbies, and lost his purpose in life. Its really a sad situation.

Im just trying to get to the point where I can choose to work only as much as I want. I strongly desire a flexible schedule that keeps me engaged yet doesn't inhibit me when I want to do something. Something like a part time instructor at a college, oversee the real estate holdings, travel extensively, and never miss a family function.

This is why Ive always said that raising the taxes on the rich is an incredibly short sided idea. These people are usually rich because they are dilligent and financially savy. They aren't just going to get stuck with a big tax bill. There are legitimate ways around paying the taxes. All of this is technicall on the up and up.

The two things I look at are:

1. What is my competition doing? Is my rental being out classed by similar priced rentals and what is the market for the rental

2. How well the rental is functioning? I almost always go with more durable amenities over style. Usually they are one in the same but the most important things for me when I upgrade a rental are will this upgrade be safe & durable and what is my return on the money Im spending. I would much rather add a bedroom or bathroom rather than get more stylish carpet. I try to give the tenants a blank canvass to customize with their furniture, ect.

I basically try to have my rentals be versatile, efficient, safe, and durable because its what my market responds to.

Im in Bismarck. Let me know if you need any info.

The market has been crazy but it has started to plateau which is welcomed.

Im looking at possibly selling some of my single family units because I want to get into duplexes and 4 plexes. You can charge $1500-$2000 easily for SFHs but I would rather go after young couples and charge around $1000/ mo.

There hasn't been a legitimate multifamily complex for sale in 2-3 years.