Timothy Franklin
STR sub-to/ portfolio
1 January 2025 | 26 replies
I've only ever sent out an offer like that once, and that was to a preforeclosure lead that refused to discuss the property, instead telling me "that's not how real estate works, just make me an offer".
Tove Fox
Residential vs. Commercial Real Estate Investing?
5 January 2025 | 13 replies
@Tove Fox - Residential Real Estate InvestingPros:Lower Entry Costs: Easier to get started with less capital required.High Demand: People always need homes, making demand relatively stable.Easier Financing: Mortgages are generally easier to secure with favorable terms.Simplicity: Easier to understand and manage, especially for beginners.Flexibility: You can use it as a personal residence or rent it out.Cons:Tenant Turnover: More frequent turnover leads to vacancy and more management.Lower Cash Flow: Income potential can be modest compared to commercial properties.Emotional Buyers: Residential prices can be influenced by emotions, leading to price volatility.Maintenance Burden: Landlords often deal with repairs and maintenance, which can be time-consuming.Commercial Real Estate InvestingPros:Higher Income Potential: Stronger cash flow and higher returns are common.Long-Term Leases: Tenants often sign longer leases (3-10 years), reducing vacancy risk.Professional Tenants: Business tenants tend to take better care of the property.Valuation Based on Income: Prices are based on the income the property generates, not market emotions.Shared Costs: Tenants often cover property expenses like taxes, insurance, and maintenance (via triple-net leases).Cons:High Entry Costs: Requires more capital or partnerships to get started.Complex Management: More expertise is needed; you may need a professional property manager.Economic Sensitivity: Commercial properties are more sensitive to economic conditions.Challenging Financing: Securing financing can be harder, with stricter terms and higher interest rates.Zoning and Legalities: More complex regulations compared to residential properties.Key Differences:Risk: Residential tends to be lower risk, while commercial offers higher rewards but with greater risk.Management: Residential is easier for DIY investors, while commercial properties usually require a team.Scalability: Commercial properties are easier to scale, offering more potential for significant cash flow increases.
Hayat- Hyatt Barron
New Jersey Investor Seeking to Build Passive Income—Let’s Connect!
4 January 2025 | 12 replies
However, if you're a W2 high income earner or business owner, I can't imagine it makes any sense to flip houses, mail mass post cards, wholesale, or build lead gen websites with the value of your time being better spent other places (such as learning about real estate and increasing your income through proven means), such as at your 9-5pm or growing your business, and your real estate is a long term process and you don't need "home run" deals to qualify or make it work.
Otis Clayton
How do closing agents fund private money deals?
15 January 2025 | 15 replies
UBIT is generated two ways.
Ramsey Doumani
Investing in a condo vs townhouse as a traveler
12 January 2025 | 8 replies
Many of my customers who are traveling nurses buy condos or townhomes in Florida as vacation homes, then rent them out when they're not in town.This system has proven to be very lucrative, as it allows them to service the mortgage debt and generate a good cash flow.
Victor Yang
Taking a small loss to save on taxes?
17 January 2025 | 6 replies
Right now, the best offers around me are for some 1.3-4 million, that only generated around 100k per year gross, so there would be a high chance of not cash flowing, and paying money, especially with a commercial loan (these buildings have more than 4 units).I was thinking that although the rental itself does not generate money, I would be able to deduct the mortgage interest, and depreciation from my personal w2 income and would be net positive.
Makan A Tabrizi
Apartments.com Providing Residentscore
3 January 2025 | 11 replies
However, that will likely lead to increased turnover and increased vacancy time in between tenants.
Pranav Patel
22 with ~$50K saved up, is it too soon to start?
16 January 2025 | 9 replies
I was interested in something like owning a rental property as a way to generate some additional income.
Aaron Provencal
Note investment that generated $100k in 2.5 years!!!
26 December 2024 | 2 replies
Investment Info:
Mobile home note investment investment.
Purchase price: $64,250
Cash invested: $12,000
Sale price: $175,000
We purchased this mortgage note and ended up foreclosing on the proper...
Lorenzo L.
Buying my first property (NEED ADVICE)
15 January 2025 | 39 replies
The additional cash you have due to leverage put into more hard assets and the cash flow generated put into fixed income/equities after reserves.