All Forum Posts by: Adam Moehn

It would probably be near impossible to accumulate that much just investing your own money. You would need to create value with other people's money on a large scale to get the magnification needed to reach $100 million. 

A way it might be possible with real estate is to be good at finding and improving distressed large commercial properties, such as 100+ unit apartments. You'd get investors together to buy the property and give yourself a cut for putting the deal together. Then improve the property, increasing it's value by millions or tens of millions of dollars. This would increase the equity for your cut by hundreds of thousands to millions with little to no of your own money invested. Now repeat a handful of times a year for many decades while reinvesting your earnings and you could probably hit $100 million.

The interest rate will be whatever the going rate is at the time when you lock it in, which will typically be after you have an accepted offer. It could be higher or lower than the rate now.

Keep in mind that just because you have a prequalification or preapproval from one bank doesn't mean you couldn't decide to use a different one when it comes time to actually get the mortgage if you find a better deal elsewhere.

 Both great books. I have them on my book shelf.

That's a good point about depending on local code, @Peter MacKercher . I'd certainly get multiple quotes before having the work done. But I don't actually have a house needing it right now, I'm just trying to get an idea for reference since many prospective investments may need it.

Any local Cedar Rapids, IA folks have experience with updating electrical?

Thanks for everyone's input. Sounds like most people would update it, but some might not depending on the situation and if they're doing other work already.

Quite the range on estimates, looks like $2,500 to $11,000.

@Adam Drummond  Right, if it was just the receptacles those would be a cheap fix. I'm assuming most of the time these outlets don't have a ground already. Looks like I'm underestimating cost if your rates are applicable here.

@Peter MacKercher Thanks. Being from Missouri I'd guess the cost your seeing would probably be similar to Iowa.

@Jeremy Tillotson I know my insurance guy has mentioned a property is hard to get insurance for if it's not at least 100 amps but I don't recall him saying anything about fuse boxes being an issue. 

@Steve Babiak The city does do rental inspections here, but I don't believe rentals are required to have a circuit breaker instead of a fuse box. I do think GFCI is required in kitchen and bathroom though. I'll have to look into those things to make sure.

@Sam Leon Right, I'd guess most 2 prong outlets aren't grounded. I'm not familiar with using EMT conduits to ground. That'd save money if new wires don't need ran though.

I think it's a great idea. More transparency in who is good or bad would be good for both investors and the good providers. Biggerpockets has enough name recognition among investors to make it at least plausable it could pull it

When I'm looking at houses to purchase as rental properties, a decent percentage still have fuse boxes. Many also have all or mostly two prong outlets. I feel like a lack of 3 prong outlets is impractical for modern life and fuse boxes are a pain to deal with. I know they would have been a deal breaker for me when I was a renter, particularly the 3 prong issue. 

For reference, I'm looking mostly at SFH in middle class neighborhoods, not low income but not high end. I've been estimating that I should budget around $3,000 to update these in a typical house, but haven't actually done any yet. So here's my questions for you:

1. Do you update to a circuit breaker and 3 prong outlets for your rentals?

2. What's a ballpark price to expect that this would cost?

Interesting, it's more exponential than I'd have expected.

Welcome @Mogen Keene ! The keyword alerts are handy. I was notified because you were talking about Iowa and Cedar Rapids.

Welcome to BP @Mike Ewing !