All Forum Posts by: Aristotle Kumpis

Hi Brandon. The more conservative way to build wealth through real estate is buy and hold. Simply buy a property every year or two if you can. You will get some cash flow, appreciation, and tax benefits along the way. Then when it makes sense, pull money out or 1031 into something new. But if hold on them for awhile and pay them off, then your family and kids and enjoy the income they produce.

If you flip properties, then you never really own anything. You are just earning some income. There is nothing to pass down to your kids. The power of real estate investing is owning the asset. Hope that makes sense.

Depends on what your goals are. 1-4 units are still residential, so it doesn't really matter how you start. But if your goal is to leave your day job soon, multi family will offer more cash flow typically. If your goal is to have a bunch of properties for retirement, then either one will work. 

San Antonio is a growth market. And unless you go into some very rough areas, you won't find double digit cash returns. However, you will see much more appreciation than Cleveland in my opinion.

Remember, that you don't build wealth with cash flow. You build it with appreciation. If you buy a high cash flow property in Cleveland, over 5-10 years you will most likely break even on the cash flow or just be treading water. The appreciation could be 2% per year on that low price point property. So by the time you sell it and deal with tenant issues, you really do not get ahead.

Hey Jadan. I have a builder in San Antonio that offers a 4.75% interest rate on their duplex's. They cash flow positive and are in a good area. Happy to send you more information. SAT is a fast growing market too.

Whoever created the trust should be able to help you with that. Hopefully. But the reason for a living trust is to avoid probate. So yes, you should put property into it. But you should have the rental in an LLC first, and then put that into the trust. But you need to structure it the right way from the beginning.

My guess is that they will stay the same.

Putting down $200K to get $300/month net cash flow is not very good. Your monthly payment would come out to roughly $2400/month including HOA, taxes, and insurance. Now if you could put down half of that and get the same cash flow, that would be a different story. You could do better in my opinion. For example, I have a newer duplex I am selling for $435,000. If you put $110,000 down, you would get about $900/month cash flow. And you still have money left over to buy another property.

Many people have a license, yet they know nothing about the process. They have no clue about disclosures etc. They have a very high risk of ending up in a lawsuit if you ask me. Just because you have a real estate license does not make you an expert. And if you want to represent yourself, you must be licensed in the state where you are buying/selling. 

We have a two year old duplex located near downtown Cherryville North Carolina, only 48 minutes from Charlotte. Fully occupied. The builder is giving 2 years of free property management. And they are offering a 5.99%, 30-year fixed loan. Cash on cash return is very high, over 9%. Here's your chance to own a new property with high cash flow. 

-$439,000

-3 bedroom/2.5 bathroom each unit

-Gross rents are $3,300/month (both units are currently occupied)

-1-car garage for each unit

-No HOA

-Estimated cash flow of $900/month with 25% down

Real estate commissions have always been negotiable.