All Forum Posts by: Brian Ellwood

Welcome! I wouldn't worry about where you live and where you invest needing to be the same place. Live where you want and invest where it makes sense. I live in CO and invest in TN, AL, and AR. 

Welcome! What do you feel is the biggest thing you need in order to pull the trigger on your first deal? 

Welcome! What's the biggest thing you feel like you need in order to pull the trigger on that first deal? 

Nice! Let us know if there's anything you need help with! 

The short answer would be - get in touch with the owners of those properties and ask them if they will finance it. 

The ways to get to the owners are: brokers, wholesalers, and my favorite, direct to seller marketing. 

What's your long term goal with investing? 

Hi Jeffrey! If it were me, I'd skip right past wholesaling and fix and flip and go straight to buy and hold. The first two are very much a day job, whereas buy and hold is a mostly passive investment.

When you do BRRRR, you're essentially doing fix and flip, you just keep it instead of selling it.

Another question for you is "how involved do you want to be on a day to day basis? How many hours/week do you want to put into this?"

It looks like you have a nice chunk of cash. You could invest that in multifamily now via a syndication (I have someone I can connect you with)...and do absolutely nothing and make a nice return on it...

Or you can go out and find your own single family deals, renovate them, and end up with a much better return (but more work).

I live in CO and buy houses in the southeast. I might buy something for 40K, put 10K into it, and rent it for $800/month. ARV 75K, so I created 25K in equity along with the monthly cashflow. I like doing the extra work of finding the deal and renovating it myself to create that result.

Kind of throwing a lot at you here...is this helpful? 

How much do you owe on the townhome now? If you can pull the cash out and do better with it than what it will COST you (i.e. the extra amount it adds to your mortgage) then the answer is yes. 

I wasn't sure exactly what you were asking in regards to your other couple of questions.

I'm sure you'll do fine with that deal, but  if it were me, I wouldn't want to scale/own a large portfolio in a town that small. Just too much risk of the town declining/not finding good team members or tenants/low demand. I'd want to be in towns with 50K people or more, ideally. 

Hey Jon! I'd definitely keep 3 (or better yet 6) months of expenses as liquid savings. Beyond that, I'd be comfortable using the $ to invest.

The BRRR deals I do in affordable markets only usually require maybe 5K of my own cash. How much cash are you thinking you'll need to buy a rental?