All Forum Posts by: Andrew Davis

@Joshua Lyon, great idea!

As long as you intend to occupy the property initially, you should be in good shape.  Double check with your mortgage broker though, he/she should be up to date on all that.  If you need a referral for a good one, let me know.

Great advice from @Suzanne Mark, certain areas, counties and municipalities have restrictions on vacation rentals and air bnb's, so you or your agent will want to do some research before purchasing.

As a general rule, Osceola county is much more friendly for vacation rentals than Orlando, and you should do better down there anyways as you'd be closer to the parks.

A company that does vacation rentals very well is vacasa:

https://www.vacasa.com/usa/Central-Florida//

They are extremely knowledgeable about all the local regulations, and have great advice on how to best furnish and equip your vacation rental for max profit.  (I have no affiliation, just impressed with their business model).

Best of luck Joshua!

Hey @Angela Kriv, I believe that the final judgement amount is the amount owed on the property.  With the homes that have been foreclosed on in recent years, banks (plaintiffs) almost never get the judgement amount.  

For example, I recently helped a client close a deal where the judgement amount was nearly $300,000, and my client was able to purchase the property for $95,000.

So to answer your question, it's always a 3rd party (end buyer or investor) that gets the property unless the plaintiff (bank) changes their mind and doesn't go through with the sale.

On many of the auction sites, the plaintiff (bank) can set a minimum bid, or amount they're willing to accept for the property, but again, this is almost always less than the judgement amount or amount owed on the property.

Hope that helps!

Also, since you're new to BP, here are a few tips to help you get the most out of the site and kickstart your investing career:

Start here. You'll get a wealth of REI knowledge and learn how to take full advantage of Bigger Pockets (including how to connect with other local investors).

Listen to the podcasts , get active on the forums & set up key word alerts to be notified when people are discussing topics you're interested in.

Check out the webinars, they are very informative, and there’s usually a new one every week.

I'm an agent & investor in the Orlando area, so reach out anytime. 

I wish you all the best Angela!

@Michael Kim, I think all those things you mentioned are good things to look for in an investor friendly agent.

I've interacted with a lot of retail, or end buyer agents, who simply don't want to work with investors.  As @Kris Mcfarlane pointed out, or I guess as @Taylor McMullen pointed out, working with an investor can be quite difficult. The numbers have to work, so oftentimes several offers, if not more, get rejected before you actually land a deal. Then you have to consider, especially if you're working with a buy and hold investor, that you're going to be looking at lower price point properties, generally $150k or less. So on average, your commissions are going to be less than when working with a retail buyer who's looking at higher price points and isn't considering factors like COC return, the 50% rule, etc...

I, personally, would never expect an investor friendly agent to discount their commission, at least on the purchase side.  We definitely earn it.

I have offered discounted, or limited service listings to my investor clients when they get ready to sell their flips.

Just my $.02.

@Account Closed said, not necessarily.

Since you've found the deal and will most likely be managing the property, a passive investor should not expect to receive an equal stake.

However, it's a bit more complicated than just raising the money and paying them interest.  Your investors will need to know their interests are secured, either with a lien against the property or with an equity stake in it.

There are a lot of nuances, and if you seriously intend to purse raising outside capital, I'd definitely recommend speaking to a real estate attorney.  I imagine you could find a referral for one right here on BP.  Let's try it...

Are there any Real Estate Attorneys based in Houston, TX that would be able to offer Arlen some advice properly structuring a private capital raise?

Hey @Account Closed, if it's a really great deal, consider bringing in private money partners to minimize your cash outlay.  Maybe you put in $50k, and offer half to another investor?

Hey @Roberto Costa, welcome to BP!

A few suggestions for you:

- Read @J Scott's books on flipping houses and estimating rehab costs: http://get.biggerpockets.com/flippingbook/

- Read @Brandon Turner's book on 'Investing w/no and low money down': http://get.biggerpockets.com/nomoneydown/ - he gives some great tips for finding excellent deals.

You've probably already done some of this, but since you're new to the site, here are a few tips to help you get the most out of BP and kickstart your investing career:

Start here. You'll get a wealth of REI knowledge and learn how to take full advantage of Bigger Pockets (including how to connect with other local investors).

Listen to the podcasts , get active on the forums & set up key word alerts to be notified when people are discussing topics you're interested in.

Check out the webinars, they are very informative, and there’s usually a new one every week.

Lastly, I would suggest that you consider partnering with an experienced and reputable flipper in your area on your first deal or two.  Maybe you bring the capital via your own cash combined with a hard money loan, you figure out a profit split and in return you get first hand experience flipping a home.

I wish I had started that way, it would have saved me A LOT of headaches and money.

I wish you all the best Roberto!

Hey @Darminquell Brown, welcome to BP and the Central Florida investing community.

Having a mentor is a great thing.  The best way to find and work with a mentor is to bring them value, the two best ways to do that are to bring a good deal or funding for one of their deals.

These links should help you in the process:

Start here. You'll get a wealth of REI knowledge and learn how to take full advantage of Bigger Pockets (including how to connect with other local investors).

Listen to the podcasts , get active on the forums & set up key word alerts to be notified when people are discussing topics you're interested in.

Check out the webinars, they are very informative, and there’s usually a new one every week.

I wish you all the best Darminquell!

Hey @Carlo Pilia and @Joshua Lyon welcome to BP and the Central Florida investing community!

You've received some great feedback from @John Rogers and A LOT of great advice from @Thomas Franklin.

I would heed Thomas Franklin's advice on REIA's. My experience is that the general meetings are very pitchy and not heavy on actionable content. However, I'll developed some great relationships through local investor associations, you just have to find the one that works for you. I've also found the smaller county chapter meetings and topic specific groups to be quite a bit more informative and a better setting for networking.

Since you're both relatively new to the site, here are a few tips to help you get the most out of BP and kickstart your investing career:

Start here. You'll get a wealth of REI knowledge and learn how to take full advantage of Bigger Pockets (including how to connect with other local investors).

Listen to the podcasts , get active on the forums & set up key word alerts to be notified when people are discussing topics you're interested in.

Check out the webinars, they are very informative, and there’s usually a new one every week.

Hey @Tina S., welcome to BP!

It sounds like you and your husband have a great foundation for an investing business.

Since you're new to the site, here are a few tips to help you get the most out of BP and kickstart your investing career:

Start here. You'll get a wealth of REI knowledge and learn how to take full advantage of Bigger Pockets (including how to connect with other local investors).

Listen to the podcasts , get active on the forums & set up key word alerts to be notified when people are discussing topics you're interested in.

Check out the webinars, they are very informative, and there’s usually a new one every week.

@Joseph S. a couple things:

There are a lot of nuances and rules to 1031 exchanges, specifically regarding converting or exchanging a rental property or properties for a personal residence, so that would be something you'd want to have a good handle on.

There is demand at that higher rent level, but it's just far less (obviously) than the $1k - $2k range.

You'll want a great prop management company on your team who are experienced with higher end rentals.