All Forum Posts by: Andrew Jones

Your correct Joe. It seems the commercial loan prime rate in Spain is almost 3 times that of the USA's.

http://www.biggerpockets.com/forums/32/topics/63553-how-much-do-you-set-for-reserves-

Here is the current thread on cash reserves.

The news won't have as a big an effect such as storage wars. Its a big diference between willing to lose $200 on a storage locker and lets say $20,000 on a properties downpayment. Yet, I am also worrried about more and more investors flocking to real estate.

Buying all cash reduces your ROI because your investment is much larger than if you were to leverage (get a loan) the property and only put in 25%.. With interest rates as low as they are right now I think buying with cash without a plan to pull out equity down the line is a poor use of capital.

Congrats

Great post J Scott.

Becky, I just don't see anything good coming from buying a 600k 4plex. Even at 4% your loan payment would be around $3500 including property taxes.

Yes, the end buyer would be buying at 110k. If the end buyer repairs there credit witching 3-5 years than they should qualify for financing.

HOA fees in the San Fernando valley area can be $350+. I have two friends that live in condos and their HOA monthly dues are $372 and $385. One is very maintained and the other is just ok.

If an association has many people stop paying their HOA due to loss of income or foreclosure than HOA dues will be raised or even an asseesment may be issued.

I pay a flat fee of $50 a door. For tenant replacement I only pay advertisement costs that are usually under $50.

If you cant find properties that make good investments on the mls then you'll have to create your own leads. One cheap was is to Drive the area and write down the address's of properties that look vacant. Then go to city hall and check if the owners address is different from the properties address. If it is than Mail them a piece of paper saying I would like to buy your home at (property address).