All Forum Posts by: Account Closed

80% of 387k is 310k. 5k closing cost. 309k - 289k You owe the bank - 5k closing cost ===== 15k cash out Not much as a down payment to buy another rental. Currently, both real estate and rental market are very hot. Once I list the property for rent at a fair price, I always receive at least 20 to 40 calls easily. Usually, I'm able to find a qualified tenant within 5 days. Do not sell. Rent it out. Once you sell, it will cost you much higher price to buy it back again in the near future. We have a very low supply and very high demand now. The house price still have a very strong upward momentum. It is too early to sell it now.

Since the current market is very hot and still in upward momentum, it depends on how fast do you want to sell your house. Your realtor strategy is good only if you want to sell your house quick. However, if you want the top money and don't mind possibly wait 2 to 3 months to sell the house, I would stick with my own higher listing price. If she refuse to list the price you want to, work with another realtor who is willing to list your asking price. You are the owner, you are the boss. You have the right to determine the final listing price. In case your higher listing price really does not sell, then you can consider dropping the price 3 to 4 weeks after the listing.

Do not sell. Nobody can have 100% refinance. If you live there, maximum cash-out refinance is 80%. If you do not live there, maximum cash-out refinance is 75%. If I were you, stay in the place, get maximum of 80% cash-out refinance, then use it as a down payment to buy another rental property.

I have SFR, never own an apartment building before. I'm thinking about buying an apartment building , but would like to get more information before going to this route. What else advantages or benefits does buying an apartment building has (that buying a SFR don't have)? Why do we want to buy an apartment building instead of buying a SFR? Hoping to learn and hear more from you all. Thank you

Some google articles said (at least $1 million plus) apartment building is the best real estate investment.  

Why apartment buildings are better than SFR/Townhouse/Condo?

Is it because apartment building has better cash flow/cap rate?

If the SFR/Townhouse/Condo we purchase have the same cap rate as the apartment building, does it mean, buying the SFR is almost the same good investment as buying the apartment building?

If we can find SFR that have the same CAP rate as the apartment buildings, we can continue buying SFR instead of look for aparment buildings?

Thank you for your advice/suggestion/opinion.  

I currently manage 10 properties by myself. I really enjoy the property management job very much. I feel satisfied when put the property back to a good condition after the tenant move- out. I have a dream or goal to manage 100 properties in the future. Not sure if I will be able to manage all 100 properties by myself without hiring a property managers... Wondering, has anybody ever manage 100 plus properties themselves without hiring a property manager before? Thank you

Give them a 30-days move out notice. Do not let them stay. This is a business, not a charity. I would never rent it to relatives, friends, co-worker, not anybody who have a relationship, except free rent for my own parents and my own children. If you rent it to someone who has a little bit of relationship, disadvantage are: 1. You cannot raise their rent even though the rental market is pretty hot like now (and all other landlords are raising rent on their tenant) because they will get mad on you and lost the friendship if you raise their rent. 2. You cannot deduct anything (cleaning or damages) from their security deposit when they move out because they will get mad on you And lost the friendship if you do so. 3. You cannot send them move-out notice when you want to sell the house for a profit 10 years later because they will get mad on you And lost the friendship if you do so. We can only "rent" the place (for free) to a related person only if you are very closed to them and be prepared that they would not stop paying rent in the future and would not leave the place in the future. (Those closed people are own parents and own children)

Don't sell your primary residence. Get 80% cash-out refinance. Use the cash-out to purchase an investment

Agree with Brain. Sell now and invest elsewhere.

I start investing real estate by renting a house to a family. Since then, more and more... If I could go back to many years ago, and if my age is young like you, I would go through these steps: 1. Find a stable W-2 jobs, save as much money as I can. 2. After having 2 years of W-2 job history, purchase a 4-plex using FHA loan with 3.5% down payment. You live in one of the units, and rent out the other 3 units.