All Forum Posts by: Danny Day

Corporate owned disclosure could possibly mean foreclosure. Sometimes listing agents will put corporate owned if a major bank / corporation owns the home.

The questions you need to be asking (and posting here) are:

1. Whats this home worth fixed up? Comparable homes in size, year built, sq footage, and bed/bath are selling for X. This is called the After Repair Value (ARV).

2. What kind of repairs are needed, and what is the cost for the repairs?

3. What is the comparable rental rates for a home this size, bed bath, etc?

Post up those numbers and we will discuss more in depth

Don't buy a house without at least knowing those 3 things.

REIT (Real Estate Investment Trust) is a fund that you buy into.. like stock in a company. It is managed by professionals. It is also considered very hands off.

I think many would agree on here you could park that money in something fairly passive (SFR) and might come out better than investing in a REIT (also have more control - always a good thing).

What are you looking to accomplish (investing goals)?

Welcome to BP

Going to college is a great "insurance" policy on your future. You might find that you love working in real estate and make it a full time career one day.. and one day you might find you need to "fall back" on your degree.

Study hard.. have fun in college.. and keep reading on BP. Many people here work 9-5 day jobs and 6-12 real estate. Its something everyone here has a passion for. You're in the right spot.

I wouldn't assume repairs price per sq ft unless you know you're going to be doing something measured per sq ft. Ex: flooring, etc.

Doesn't sound like a deal if thats the ARV

Cool idea

Get rid of him fast.. had this happen many times before and not worth dealing with.

You will need to run a split a/b variable test. This can be done with 2 websites and Google Analyitcs.

only change 1 variable each time you run a split a/b test.. let it run for a few months and see which one converts better.

Find a realtor who will run comps for you off the MLS

Dive in head first!

Ramsey has some great advice, but his advice is also hurting his followers.

For example one of my good friends not buying his first home 2 years ago (everyone knows what the market was doing 2 years ago). He could have got FHA financing.. 3.5% down.. under 4% rate on a 30 year note and sold today.. and made $20k+ without throwing away rent.

Instead he is putting all his money into savings, losing money every month due to inflation by not leveraging the banks $$$.

I don't agree with Dave at all on paying cash for properties. Doesn't make sense for ROI. You actually get a negative ROI if you pay cash and rehab, etc.