All Forum Posts by: Mike Terry

@Tatiana Viviano I am an investor here in Cape Coral, my wife and I have started a short term property Management company. We have used Peter Davis and he knows the Cape very well. There is also a realtor here who specializes in full service STR purchase through management. Her name is Rhi Gard. I can get you both contact names if you are interested. Best of luck in your endeavor.

Mike

Thank you @Scott Trench.  This a quite a thoughful and compelling discussion. What is the economic projections of extended 7+% mortgage rates?  I presume a stagnant market, with only necessary sales (death, divorce, downsizing, and relocations).  Do investors become defensive and hunker down reducing aquisitions, because few deals pencil?  Do we see any event where rental supply sharply increases lowering rents?  Obviously variable commercial debt will put pressure on margins and profits.  It all seems pretty pessimistic for housing.  So I guess we are in a slowly declining market with low transacations, lower econonmic activity, increased unemployment and a gradual moderation in rates. I am stacking cash and it is paying a reasonable return and keeping my eye out for an outlier deal.  Thoughts?

hey Sam,  

I am a Canadian also.  My wife and I have lived for for 25 plus years here in the US.  We became real estate investors about 15 years ago.  It's been a good ride.  We are in Florida.  Let me ask you.  Why Reno?  What about the  market has you set on starting there? I'm just curious.

Mike

Quote from @Nate Hammond:

Quote from @Joe Villeneuve:

3

Do the math.  ALL of the math.

 Short and sweet lol. I like it! Thanks for the input. 

 to elaborate a little,  your current mortgage rate is soemething to consider.  If your goal is to build wealth giving up a low rate by paying off a mortgage may not be the optimal decision. Using that capital to leverage positive cash flowing properties, albiet at today's higher rates, is the math you need to do.  If you use the calculators plug in the properties and all the finaicial particulars and evalute the result. Be sure to factor in all expenses on rentals, vacancy, repairs, cap ex, debt service, taxes and insurance.  The good news you are choosing between two very  advantageous scenarios. Paying off a debt is always the safest decision, but with years of compounding could be an attractive choice.

Alva is on the river.  If you are new to Florida educate yourself on flood insurance and insurance in general.  We are going through a transitionary period that will require some government action to settle the current insurance "crisis" here.  Any time you are relying on the government to come to your rescue you could be in trouble.  Although, I suspect they will have to come through with some solution or the lack of a state income tax that is attracting so much migration will be negated. Insurance costs could easily eat up a good portion of any cash flowing property.   Food for thought and good luck in your search.

Mitch,

This is why you are the best!!!! No One can predict the future. This is a very confusing time. My best gauge on where things are going is off more than 50% of the time. I am learning not to predict and just use solid fundamentals. The longer rates stay high the greater risk of downside surprises. I think we all need to prepare for a long haul at 6 plus percent. I am pretty sure the world won't end, so invest conservatively with low LTV positions and hopefull your rents and underlying value we will rise with inflation.

Hi Vincent.  I am a Florida Investor.  Sebring is tin the middle of the state in Lake Country.  It is popular with snowbirds and comes with less risk of hurricane damage and floods.  There are a lot of trailer park, mobile home communities.  Some of these communities in the corridor from Lake Placid to Haines City have some cute small towns with older homes.  There is definately opportunties out there it is just a different pace and lower demand than the busier Coastal cities on each coast.  You can find some rehab projects, there would be short term rental demand in season.  If Florida continues to draw migrating boomers  and state tax refugees it should be a good market.  Good luck!!!

Hi I am a Canadian investing in the US. I have lived my entore adult life here. We started investing in real estate about 15 years ago but greatly accelerated our journey in the last 5 years. I would be happy to be a resource for any Canadians that want to collaborate or just want a contact stateside. Please feel free to reach out and connect.

Hi I am a Canadian investing in the US. I have lived my entore adult life here. We started investing in real estate about 15 years ago but greatly accelerated our journey in the last 5 years. I would be happy to be a resource for any Canadians that want to collaborate or just want a contact stateside. Please feel free to reach out and connect.

Hi I am a Canadian investing in the US. I have lived my entore adult life here.  We started investing in real estate about 15 years ago but greatly accelerated our journey in the last 5 years.  I would be happy to be a resource for any Canadians that want to collaborate or just want a contact stateside. Please feel free to reach out and connect.