All Forum Posts by: Andrew Davis

@Jordan Hamilton - my pleasure man!

Why would someone overpay for something? Well, I don't have a PHD in philosophy, human behavior or economics, so I just don't feel qualified to answer that one! But seriously, people overpay for things all the time, especially real estate. Confirmation bias, emotional decision making, fear of being priced out of the market, moral hazard...

Honestly, as you'll hear from experienced investors, the best deals in this environment are off market. Don't be afraid to knock on the door of a distressed looking property, send out a handwritten note or do some light internet stalking to track down a potential seller. The absolute best deals I've found have been off market.

Bets of luck!

Hey @Jordan Hamilton,

Congrats on getting in the game! Your analysis is correct, as an investment that property is severely overpriced, however, in this market, I bet someone will pay 550 or close to it.

In your mortgage payment calculation, did you factor in mortgage insurance? That will increase your monthly payment at least $100 (all depends on your credit score).

Other than that, you analyzed it well, $300k would be a good price to pay for that property - depending on the area and current condition of course.

Keep looking and analyzing, and you'll find a good deal!

Hey @Deep Johal,

How are you planning to partner or structure your partnership? Something to consider as (to my knowledge) you can not take a 203k loan in an LLC.

Re: the green card question, I have no idea.

In terms of a specialist, I'd start here:

https://www.hud.gov/program_offices/housing/sfh/le...

This shows lenders that have actually closed a 203k loan in the last 12 months. Most lenders will say they can do it, but I know from personal experience that these loans can be complicated, and you want to work with someone who has actually gone through the process and closed a 203k, ideally more than one.

Feel free to reach out if you need help!

Hey @Tracey Murphy, welcome to BP!

Jacksonville is a great market to invest in. There are lot's of folks on here investing in Florida, if you use the network tab at the top of the page, you can see whose nearby and if there are any events coming up.

I'd recommend visiting your local Real Estate Investors Association as well.

I wish you all the best in your investing journey!

Hey @Britt Amirh, I'm sorry to hear you've had that experience with lenders thus far.

You should definitely reach out to @Jorge Magana - he is an investor himself - very knowledgeable and professional. Let him know I referred you!

Hey @Julian Joseph, @Caleb Heimsoth is correct - what do you need the attorney for?

I work with a number of good RE attorneys in the Orlando area. Feel free to reach out with any questions.

Hey @Brian Barcelona,

First - congratulations on saving $20k at your age, most Americans don't have more than $1,000 in their savings account, so that in and of itself is quite an accomplishment.

I would concur with @John Warren, find something that cash flows and get into it! However, something to be aware of is that your credit score affects not only your interest rate, but also your mortgage insurance. If you're putting less than 20% down, you'll have to pay mortgage insurance. If you want to play around with what your mortgage insurance would be based on your credit score, you can use this tool:

mgic.com/ratefinder

Again, really impressive Brian, I wish you all the best.

Hey @Justin McFarland - I've done this a few times for investments in Florida, with both local and out of state investors, and each LLC has been structured a bit differently. Certainly talk to a competent attorney and have an idea of what you both want out of the partnership.

@Brandon Turner wrote a great post about things to consider as you form a partnership, it's definitely worth a read:

https://www.biggerpockets.com/renewsblog/partnersh...

Good luck!

Hey @Robert Kirkley, welcome to BP and the Orlando REI community!

1. Kudos to you for learning about RE investing at the young age of 23. I'd strongly recommend listening to the podcasts about house hacking and how you can buy your first investment property for close to nothing down (or nothing down if you get creative!).

https://www.biggerpockets.com/renewsblog/2013/11/0...

https://www.biggerpockets.com/search/podcast?term=...

2. As for REI books - @Brandon Turner put this list out a while ago, and that would be a great place to start:

The Best Real Estate Books For Your Investing Business

I'm an active agent + investor here in Orlando, feel free to reach out anytime!

@Patrick Philip, trying different types of postcards, mailers, whatever, to see which is more effective amongst a given mailing list.  If you spend some time on the BP forums, podcasts and books on wholesaling, you'll find plenty of discussion and info about it.