All Forum Posts by: Bradley Buxton

@Dominic Richardson

Everyone's market is the best for them and every investor / agent will tell you their market is the best. There are some markets that are will have more cashflow and more appreciation.  Then you'll get the depends answer.  Investing locally you can self manage. Out of state you can have more variety of options on price and strategy.  I moved out of CA to Nevada because it was too expensive in CA.  CA is still a good place to invest and I will likely buy there eventually. 

Nevada is a landlord friendly state, 4th lowest property taxes, no state income tax, limited housing supply with tech and manufacturing jobs moving to the area from CA. It will take more capital to invest in the Reno Tahoe area over the Midwest. There is very strong appreciation over the last few years even with the high interest rates.  Look for a market that works for your time, money, energy that moves you closer to your goal of why you are investing in real estate. 

@Sam Booth

Millionaire certainly use debt to their advantage.  Many bought in cash and then refinanced the debt when interest rates were low. The statement is lacking some details.  Many businesses take on debt to make money did these millionaires benefit from business debt but never personally took out debt. Also is he referring to consumer debt (credit cards, payday loans etc..). Real estate investing is another type of business.

Rates are what they are and will change. If you can make an investment work with 7% then the business plan works. We are also getting creative with rate buy downs and DSCR loans. Gone are the pre-2020 gold rush days of low rates and huge appreciation. Many success stories have come from that time. Now is a time to create your own success story.

@Shakil Ahmed

HOAs are all different and there are advantages for landlords. In SFH neighborhoods with HOAs they are generally lower cost and keep the property values up by not allowing "yard art". This is an advantage for an investor. Larger condo associations are more problematic. There are usually a vocal minority that has the time and energy to be on the board and can push anti-investor NIMBY policies. Where I live in Lake Tahoe, Nevada there are HOA associations have been poorly run, multiple insurance claims from snow damage, and as a result are increasing fees to cover the low fees of the past and capital expenditures that have been put off for years. Are all HOAs bad? No. I advise my clients to look at the financials and recent meeting minutes. IF possible talk with other owners about what is going on. What I have found is the smaller the HOA the better for the investor.

@Josh Edelman

Thanks for the info Josh.  Northern Nevada is not as hot as Vegas. Temps in Reno, NV are still in the 70-80s through June and on average don't punch into the 90s until July and August. 

It'll be interesting to follow the high-speed rail project. 

@Chris Lamm

My biased suggestion is bit closer to CA in Tahoe Reno, NV.  There is a lack of new building and with the Tesla semi-truck factory opening next year the pressure on the housing market is only going to increase. It's the closest city outside California and with the 4th lowest property taxes in the Nation, no state income tax, and landlord friendly NV is a great environment for investing. Happy to share more market data.

@Sunil Oleti

What obstacle is preventing you from taking action?  Many of the investors I work with have a healthy fear of making a wrong or bad decision. It's important to have some concerns because investing is a risk and it pushes you to be diligent. Doing your homework will give you confidence to invest and you'll have to do it scared. What is scary is not doing anything and watching equity grow in properties you should have bought. 

@Kelly Beck

When you are developing your strategy on where to invest you can Google the individual states that fit your investment strategy and goals. While CA is generally view as tenant friendly people are still investing there and making money.  I'm in the Rent Tahoe Nevada market and we are a landlord friendly state with low taxes. Other states are landlord friendly and have high taxes. 

@Dave Meyer

RE will continue to be a tangible asset and people will always need a place to live. The stock market is getting more volatile as more companies that don't make products continue to dominate the market (Meta, Google, X, etc).  Combined with CEO's that can drop their stock prices when they decide that driving cars in space or publicity mud wrestling is the best way to elevate their companies value. Boomers made money with stocks when they were dominated by manufacturing with consistent returns. There is still money to be made with stocks.  I don't think it should be a big part of a wealth building strategy. Regardless if the numbers the stock market seems to be more of a VC casino than a wealth building strategy.  

@Evan Alexakos

1. Talk to a local lender to know what you can afford.  

2.Research how to do real estate transactions, get a good RE lawyer or find a good investment knowledgeable agent. (every agent is friendly).  Ask the lender and the local title company for recommendations on agents working with investors. Look at comps in the area and walk the neighborhoods at various times of the day and week.

3. Then you can approach the seller or have your agent contact the sellers. You can use the lawyer draw-up seller financing contract if needed.   

@Sarah Ali

You're never too old to get started, that is someone projecting their own fears on you. Ignore them. If you can house hack and buy a property every year for the next 5 years in areas with strong appreciation you'll be well on your way to building equity. You don't need to pay off the properties to cash in the from equity.  One option is sell 2 of the properties pay off the other 3 and now you have 3 cash flowing properties that will still continue to gain equity. Then keep buying a property until your in your late 50s and repeat.  I was living in SLO, CA and moved to the Reno Tahoe area because it was more affordable and still had the CA outdoor lifestyle. There is strong appreciation in this market with tech and manufacturing jobs. Late 40s is the new 30s and you can still build wealth with real estate.