All Forum Posts by: Tim H.

@Matt Camilliere

Cash flow. And if two projects are the same, the one with the greatest chance of appreciation. You can’t rely on an asset going up in value consistently and there are too many factors outside your control.

@Sara Simpson

Wait 3-4 months. The market is about to soften dramatically.

@Brandon Corcoran

Email me, I have a strategy that we use to get 8-12% reply rates. Just don’t want everyone knowing about it.

@Victor Oben

Next time you’re in there run a search for the zip code and the last 365 days of sales. Work out what the average listing price per square foot is and the average sale price per SF as well. The raw numbers aren’t important. Use the difference to inform your offer. We have some sub-markets in Austin where sale price is reliably 92% of listing. And others where it’s reliably 105% of listing. Once you know your sub markets you’ll eventually (9-12 months) see repetition in the listing agents as well which can further inform your offers. Hope this helps!

It was more like 100% back in 2012 when I did it. Rent went from $3500 to $1700 and the house got twice as big. 

Do you have to invest it in LA? I'm currently fundraising for a new construction project in Austin. We're paying a 15% APY preferred return. Project timeline 12-15 months. Maybe a better way to go than trying to buy a Class D property with $60K?

If you're planning to build in Austin, I would highly recommend waiting until we have some clarity on the new LDC. It's with the courts right now. I wouldn't suggest moving on parcels or plans until we know whether it will go into effect and when. 

I'm not allowed to share links to the project participants here Simon so it's in your inbox as a contact request.

Vik - single floor Vs double floor is less important if you have a ground-floor master bedroom. I recently sold a high-end duplex with most of the private space (2nd master and 3rd bedroom / shared bathroom) on the 2nd floor. But because we had the master at the front of the house and downstairs, it was a much easier sell. Parents will often prefer to be on the ground floor with children upstairs. 

Hey Joe - that's correct mate. We used a hard money loan for the purchase and construction. But we were able to return over 50% to investors within 12 months. This was our first ground-up build but we're looking at 6-8 more right now.