Focus on investing and managing well, not protecting yourself from the boogie man.

Hey everyone,I’ve been diving into the world of distressed properties and foreclosures but have been focusing on doing it all remotely.

Our buy box specifically focuses on vacation destination accommodations - including boutique motel/hotel, campgrounds, treehouses, cabins, etc.   

This is where your focus should be, not buying section 8 rentals or focusing solely on increasing your portfolio by 2x, 3x etc.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Something like practicing math homework at home, but with a focus on real estate instead.My pleasure, man.

It feels like the focus has shifted from creating value to chasing quick payouts, with little regard for the end buyer.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

The money partner on these deals will bring in about $35,000 to $50,000 for each deal and the expected IRR is around 25%-35% each year for the 3 year period essentially doubling their money in 3-4 years.So rather than focusing on picking up a couple of coaching clients this year, I think I am just going to focus on finding money partners to buy deals with.  

Hi Everyone, I work for a investor focused Real Estate Team (Morrow Wargo Group) based around Allentown.