All Forum Posts by: Shari Posey

@Mike--My folks used to live in Plainfield about 8 yrs ago. Taxes are high but those rents are really nice for a little over $100k. I'll check it out.

I'm looking at Vegas right now...the houses are cheaper, bigger & nicer than Cochello Valley but the rents aren't as high. Owner pays water bill if there's grass. I have to crunch the numbers look pretty similar.

Late last night I thought I read a post from ?? who said he was building new homes that met my criteria..where did that post go??

@ Arthur--To work out the numbers...What kind of interest rate are you getting for hard money and then the re-fi? Are the fees high? How long is the time between buying with the hard money and your ability to re-fi?

I've been thinking about Vegas...plus it's really a great place to check on your investments every so often and write off those expenses :) I would love to buy a few properties for $50-70k that rent for $1000! Is that possible to find just on the MLS or are these trustee sales, etc. Honestly, I'm an agent so my only experience buying properties is through agents. I guess wholesalers are the way to go but I don't have all cash.

I plan to hold a minimum of 10 years--forever really--so I would prefer cash flow rather than appreciation.

@K. Marie Poe--yes, I'm seeing investors who paid $90k all cash, flipped it and the new buyer is paying $140k all cash. That's crazy to me because these aren't even nice flips. I would consider paying $140k if I didn't have to go in to do more work just to be able to get the average monthly rent. That's why I'm considering other areas of the country where maybe there aren't such deep pockets.

Unfortunately, I don't have all cash to buy. I was planning to put 20% down at current interest rates. Help me see where being creative on the financing will make the numbers work--I guess I'm too traditional. I do see tons of flips that were bought for $80-90k but are now $140k and still need work like landscaping, new toilets, etc. Actually, I don't know how they are getting those for $80k today.

I think anything under $100k that just needs carpet & paint works if I could rent it for $1300 but I think that rental rate is pretty aggressive in Bakersfield...I talked to an investor there they other day and he said to plan on $1000.

I'm not moving from paradise and personally I don't think CA taxes are bad considering.

Chicago would be good because I have family there and go back once a year. Where specifically? The western suburbs, the southside? I grew up in Hinsdale but I doubt that has numbers that work.

In Texas, how about Plano? I used to live there a long, long time ago. Low appreciation but if the rents are high that can work. Actually, back in the '80s the rents were pretty high so I guess they still are.

Texas is a pretty big place. Can you be specific like a particular city and neighborhood?

I checked out that website--it's a law firm that handles tax sales in several states. Are you recommending their services?

I'm in So. Cal and I would like to invest near by if possible but if I must go outside my comfort zone I will. I own and self manage a few single family units here but I really want to add a few more now so they can be paid off by the time I'm ready to sit on the beach all day collecting rent checks in about 7 years.

I know prices are up in many markets and the deals are really hard to come by but where can you still make a decent return right now, today? (I would like appreciation but I won't count on it.)

I would also like to know from those of you who are investing in areas far from where you live if you are using turnkey companies to handle everything from purchase to management, or are you doing it piecemeal with Realtors and prop management companies?

For those Californians, I've looked at Riverside, Hemet, the Cochella Valley, Bakersfield but I don't see anything under $100k that rents for $1200+.

The cash-on-cash is about the same for Hemet and LaQuinta...I think I like La Quinta better because there are really good adjacent areas and I'm not sure there are any really good areas in Hemet. But just recently La Quinta seems unreasonably high...$140k for a crappy flip--compared to $115k just 4 months ago. I think almost everywhere is seeing this little spike in prices. I'll have to wait it out a little.

I don't like the idea of owning manufactured housing but maybe that's a little snobby of me and not thinking financially.

I kind of like the 55+ idea but I always worry a little about resale down the line since it's a limited market. Although I guess you end up selling cheap because you bought cheap for the same reason. Any personal experience with those communities??

James--You mentioned Dallas in your above comment as being one of those communities to double in 10 years or so. Is that 10 years something that is unique to this upcoming decade? Or is it something that happens every 10-year period? I ask this because in 1985 I bought a house for $95k and sold it in 1996 for $130k, certainly not doubling in value. (It was in a good area.) In my opinion, a place like the suburbs in Dallas don't appreciate much because there's so much prairie that you are always competing with new home builders.

I am quickly learning (the hard way) not to factor appreciation into a calculation; if it happens great, if it doesn't the numbers should still look good.