All Forum Posts by: James Sinclair

Some people have indicated that they have good success with low end rental property. I would like tips on how they manage to do that. The property managers that I have talked to won't even accept property that does not rent for $1,000/month. They don't advise people to buy property at the low end because any positive cash flow you might get will most likely be used up repairing the property, cost of evictions, other legal cost, etc.. The issue seems to be that the difficulty of getting a good tenant that will pay the rent on time, not tear up the property, and be stable year over year.

I have had a couple of rental properties over my life, not ones I planned to have, but because of personal moves. I never had a good tenant in either of those properties. I would like to consider rentals as an option but only if I can get to the point of them really being a good investment and not a cash drain. I don't see how $100.00/month free cash flow is worth the head aches? So how do you make it work?

bump for views.

It takes money to make money in every deal I have seen. If you don't have the money then you must convince someone else to supply the money. If you talk someone into supporting you and you burn them with a bad deal it will probably be the last money you get from them or anyone they know. If they make some good money working with you then you will be able to get more backers for new projects.

From what I have seen, in my area, a lot of wholesalers and new people are pushing garbage deals. I am new but have studied quite a bit and have dodged some garbage. So my suggestion would be get to the point where you can put together a really good evaluation package on cost in, rehab. cost, and exit plan. You will then have something to show friends with money.

Coffee and networking meet-up at the Randalls Starbucks #2477, 3300 Bee Caves Road (2244), at 10:00 a.m., Wednesday February 12, 2014. We had a great first meeting in January so come on back and help make this an opportunity to meet and network in the South Austin area. The hope is that we can grow this group into one that will help us all meet our real estate goals for 2014 and beyond. Open to all, take a midmorning break and have a cup of coffee.

Mike posted a picture of our first meeting so you can see it is a good time for all.

I don't know anything about duplexes in Santiago but think it is great to hear from an investor in Chile. Best wishes for your efforts.

You indicated in your first post that you wanted a line of credit to purchase some homes. You will need some assets to pledge as security for the line of credit. If you are asking about an unsecured line of credit to purchase some homes I don't think you will be able to get that from a bank or any where that I know of. If you find such a place, please share, there will be a line of people in no time.

Bryan, we are going with the second Wednesday of the month at 10:00 a.m., so the next one will be February 12, 2014.

Our first South Austin "Coffee Talk" meeting was a great success exceeding Mike and my expectations. We had at least 12 people attend the meeting, with round table introductions, and some great discussions. Most attending stayed for close to two hours and seemed to really enjoy meeting the other investors.

Looking forward to our first meeting and it should be a little warmer than the last two mornings. :-)

I am not a landlord and not sure if I ever want to be. The issue to me is it worth it to spend the money, take the risk, and be responsible for so many issues. I would guess that the money is just not there to spend. Even in a good situation a bad tenant can easily cause enough damage to eliminate two years of positive cash flow.