All Forum Posts by: Alexander Alguire

A great reminder! Thank you!

Thank you @Patrick Moody! Your beak down makes a lot of sense, more so than i could make of it myself. 

I need some help reading the Brrrr calculator results. For the cash flow it says $729, but when i click on the 50% rule option, the cashflow drops to $271.41. Does the Monthly expenses part not include the Mortgage? This may be a silly question but as i am severely new to this I am unsure. I am including a picture to help you help me haha. Thank you. 

Thank you Carter! That is some solid advice, I will do a lot more research, I would like to try it at some point and would like to eventually use it to help fund other deals!

I am curious as to how the whole sale process works? I have found some properties that I am not entirely sure (being extremely new to the real estate game in general) are right for wholesale or not. They are extreme fixer uppers a process that i do not wish to deal with, but they are priced extremely cheap and one has an estimated worth of about 10x that(according to the Realestate agent selling it though, do i believe this or is there possibility that this is a lie). I would like to use proceeds from whole selling to help me start up with multi families, fourplexs to be exact. Now that I have some deals i am looking at, who do i reach out to and talk to and how do i ensure that I get paid for such findings?Is there a way to do this with out me actually purchasing the properties? Such a being a connector in a way?

John Leavelle thank you so much for the insight! I would like passive income in the mean time but would like to purchase at discount. Thank you for the list of things to do though as well! When I said a tad, I do mean more. I would like to rip out most the kitchen in all units and update severely honestly. Other updates as well but primarily that.

Brent Coombs I am waiting on more numbers from the agent, and can't give a completely FULL picture quite yet. But once I get those numbers I will provide them! That is very smart to use an escrow company rather than direct, something a newbie like myself wouldn't have thought about so thank you! All info helps as I am basically building my sales pitch on my terms as to how I want the deal to go down, so the more concrete I can get that, the more true to my numbers I can get. I know that 3 of the units as of now rent for $620,$620, and $650. But for 2bd, 2bath. That is pretty low it seems. I would like to raise those rents closer to $850, but would also like to make some improvements to the units.

Brandon Turner coined the term "2% test" and stated that it is considered a rule of thumb but not concrete and always applicable. In other markets across the US, the 2% test is applicable. But California already has one of the most expensive markets in the country, and given how much housing costs, even with super high rent prices, I would guess that closer to .5% would be more realistic and even pushing it in some areas.

I am looking at a 4plex in Phoenix as an investment property with the plan to buy, update a tad and then sell 2-3 years down the road with a good chunk of added equity. This would be my first investment property EVER, and I am searching for advice from those of you who have invested in MF properties. I currently do not have lots of money but the agent I am working with said it should qualify for a 203k loan. What financial barriers do you see coming my way? Starting money past a down payment is what I am mostly concerned about. Also, the seller wants a 10% down, I would like to get that down to 3%, what strategies would you recommend in helping me do so??? If any of this seems wrong, please let me know, I am extremely new to this but VERY eager to learn.

I just read through the article, it honestly sounds like they are charging for convenience and because they have such large capital they are allowed to suck up a good portion of the available market, would saying this be correct? I am very new to real estate. It does seem rather lazy to do so though, sounds like instant gratification