Reinvesting your profits quickly can lead to a compounding effect on your returns, compared to the slower growth from reinvesting your own cash after each project.Opportunity Cost: By using your own cash, you might miss out on other investment opportunities or market trends.

Unlike cities like Phoenix or Las Vegas, where there is ample undeveloped land, Worcester's development must work within existing constraints.Currently, some of my clients are effectively participating in Build to Rent by default.

In this scenario the buyer effectively pays you, and you then turn around and pay the bank. 

a lot of work to likely start with a negative equity position and negative cash flow.Best wishesAgree that this wouldn’t pencil with the 20-year HELOC at 9%, but the idea would be to refinance at completion with a conventional mortgage (30-year at 7%) which would effectively reduce the monthly payment to apprx $1500/month (again this depends on total cost of build).

Upstate is a huge and somewhat ambiguous term for areas in NY.How are we going to effectively use this forum?

This effort led to a successful sale on 12/03/2018 for $199,900, demonstrating the effectiveness of our renovation and marketing strategies, resulting in a substantial profit.

Effective age on the appraisal report is 18 yrs versus actual 39-year age of the unit, with a C4 condition rating. 

Repeat and trust the compound effect.

I’m considering cashing out my 401(k) and IRA funds to invest in more real estate and would appreciate any advice or insights on whether this idea is viable.Current Financial Situation:Significant savings in 401(k) and IRA accounts.Additional funds in a taxable brokerage account.Age: 40, with a relatively high effective tax rate.Limited emergency fund.Existing Duplex:Mortgage with a 75% LTV ratio and a high interest rate.Modest annual cash flow.Withdrawal Scenarios:Scenario 1: Withdraw everything today at age 40, resulting in a 35% loss to penalties and taxes.Scenario 2: Withdraw at age 60 with growth scenarios ranging from 1.3x to 2.3x the initial balance.Proposed Real Estate Investment:Purchase two additional duplexes with a 75% LTV and 6.635% interest rate on a 30-year term.Projected outcomes include appreciation, cash flow growth, loan amortization, and tax benefits.Comparison of Real Estate vs.

So while some rules only affect potential residents, they can have the effect that investors in land like us will have trouble finding buyers.