Ken Cooper
Refi to invest?
9 April 2014 | 15 replies
Months later a lot of borrowers that came to me did have their HELOC"s frozen or modified downwards since the collateral value that backed the loan was rapidly diminishing.
James H.
Make extra payments to mortage, pay down debt or save for down payment?
1 September 2011 | 6 replies
People make the mistake of believing all debt can be wiped out through a bankruptcy and this is not true.I know you didn't mention this I am just throwing it out there for other people.I would get rid of and pay off your high interest rate loans.This will shift away the bad debt and free up more funds for the good debt that is working on producing income instead of taking it away.Not a fan of paying extra to the mortgage.You would just be trapping equity that would not be growing at the pace of inflation thereby diminishing the value of the equity.Instead if you put that money to work buying properties in one of the best buying cycles ever in real estate you can work to create long term wealth.You don't want to over leverage but you also do not want money sitting on the side lines.Where people mess up is to not buy correctly and over leverage themselves in a bad way.I am very conservative.I do not want to hold something that was supposed to be a flip,wholesale whatever because it was a mistake and now I am stuck with it for awhile.I would rather keep throwing out what will seem like to any seller (bank included) a low offer.Then over time build up a QUALITY portfolio and not a QUANTITY one.You can get quality and quantity if you are patient and make good decisions.The problem is many hit a home run and then go overboard and get strike outs.A few bad properties can almost sink the good ones or at best make you break even when you should be cash flowing like a monster.Watch equity firms that raise capital.They know what they want,how much they will pay,and they do not deviate from it.Over time they build a quality portfolio that can weather many storms that happen in the real estate cycle.If you buy incorrectly and the margin for cash (if everything goes right) is small you are asking for a disaster when the market takes a turn.I see mistakes daily as a commercial listing broker and an investor from other people.I always try to learn how they made a mistake and what happened.I only have one property a 20 unit currently.I am looking for more but only under the right conditions.I have looked at property for years.
Kelli Van Doren
4 plex offer advice
29 February 2012 | 11 replies
This way you as a buyer know the bank will already accept at that price.It is important as well knowing that the bank will not pursue a deficiency against the seller.Sellers have squashed these deals before when the bank will not give them their terms.In that case you can try to buy the note at a discount and then give the seller what they want in terms in exchange for signing over the deed.You just have to know timelines and foreclosure costs for your state to protect yourself.The condition of the property is critical along with lease agreements in place.Your returns can be severely diminished over time if you do not allocate for immediate repairs needed and the reserves needed for capital items down the road.Example you plan on holding for 15 years.Based on building inspection the roof has another 5 years left max before replacing.So you factor in a cost in year 5 for the replacement with an estimate on what labor and materials will cost at that time.Short sales can be great deals if most of the work is already done upfront.If not you can spend up to a year in some cases and the deal not work out.Good luck
Armand Farr
Any luck with mailers here?
21 January 2017 | 12 replies
Is there a point where too many attributes diminish the quality of the report (i.e. how many is too many)?
Darius Parsia
The future of RE investing - 5 and 10 year outlook
27 September 2023 | 111 replies
You are diminishing the magnitude of challenges right now.
Michael Seutin
HERE IS MY IDEA
28 September 2010 | 34 replies
You have to be prepared to offer terms that will attract that capital even if it means a diminished return for you in the short term.
Will Barnard
A real way to learn RE investing?
9 December 2009 | 44 replies
If every Joe Wannabe starts putting up their webinar that could kill it for me, and is this going to diminish the quality of content from more well known members?
Susan Clark
Smoking and tenant issues
8 December 2021 | 6 replies
They're violating the terms of their lease for smoking inside the property but also diminishing the quality of life for their fellow neighbor so this is grounds for termination of the lease.
Matthew Schmidt
New to REI and BP
11 March 2023 | 5 replies
The challenge is scaling up with SFR - it's easier to scale with MFR.Also, traditionally, it was more labor intensive to scale with SFR and at a certain point, investors ran into the "law of diminishing returns".
Scott C.
Investing in Binghamon, NY
1 March 2018 | 4 replies
as an investor, my returns will diminish.