All Forum Posts by: Chris Allen

@Gayle Melnick I agree with your viewpoint. Every deal is a good deal at the right price, you just have to figure out what makes a good deal to you with the current market and your own risk tolerance. Just be more conservative on your numbers and like you said, have multiple exit strategies. While having extra cash on hand is a great idea to have going into a downturn, I believe that if you are a newbie, having the experience in buying at least one property is nearly as valuable as the actual cash. What happens when the market is crashing and you are trying to buy your first deal? Are you really going to be confident as a newbie putting down 20%+ down on a property when everything is actually falling? If very conservative numbers work as a rental, there is no reason not to buy now, you may have a little less cash to play with during a downturn, but you gain the confidence and experience. 

 While I do not have any experience in this, I am interested in this area of real estate/business. What are your investors looking for as returns? Are they wanting to be equity partners in the business or just get a return on their money? Equity partners can be very costly unless they are contributing more to the business other than money alone. Is the RE investor looking to own the property by himself and keep it long term and you just rent it or is he fine with you buying it at a later date?

The capital partner for the ALF I would just try and give him a set return on his money, no equity in the business. So depending on what he is looking for, you could give him anywhere from 7-12% (think hard money). 

As for the RE investor, I would say open an LLC between the two of you. He pays for the purchase and renovation of the property, and you oversee what changes need to be done for YOUR ALF. You can structure the equity vs cash flow however you would like. I would say 50/50 Equity partners on the real estate, and you can give him either all or a higher portion of the cash flow each month. Then you could just write the "buy out" terms in the operating agreement.

@Grace Esteban if you can convince your HOA for the travel nurse or other traveling professionals I would say that would be a great way to go. If I ever take a travel assignment in that area would love to stay somewhere that nice haha. But also, have you tried just posting your rental on FB market place?

Well maybe she can be convinced over time haha. I would say research the BRRRR method, it takes more know how but is a more efficient way to use your dollars.

Hey @Nick Pawlowski, I am a nurse as well, although I do not have an advanced degree yet haha. I agree with the above statements, but a few things. 

1) Do you currently own your own home? If not, I would say that a great starting point is to buy a small multi family or a single family and house hack, you can do this with a 3.5% down FHA loan. This will be a great stepping stone into real estate while also decreasing your living expenses and allow you to pay down debt and save up for the next property even quicker.

2) You have a great start on your "big plan", but figure out what you truly want. Do you want to replace your current job with another job? Do you strictly want passive income? Figure out what you want and different strategies may be better for your ultimate goal.

3) Unless you are actually wanting to replace your current job with another job, I would stay away from really getting into whole sale and flipping, I would steer towards buy and hold rentals. And I would say that one of the best ways to do this is with the BRRRR method. But depending on your personality, you may prefer to save up 20-25% to put on a move in ready investment and focus on paying down each rental.

4) The most important thing is that you just get started.

I am all for pets, just have a good pet deposit and right it in your contract. 

I think its like 67% of American families own pets. That's limiting your tenant pool pretty hard. 

And as far as the furnished house, just ask about the rental furniture. If you don't need it, just give it back. 

@Jennie Solis The way I see it, is we have a very rewarding job, but it can be difficult at times, and burnout is a big problem. I never want to be that crabby old nurse that hates their job and take it out on their patients and coworkers because they HAVE to go to work to pay the bills. I want to work as a nurse because I WANT to, not because I need a paycheck. And I believe that REI will allow me that freedom.

@Jennie Solis I was in the exact same position. My church did Dave Ramsey FPU my last semester of Nursing School, so when I graduated, I had every intention to just pay down my debt as fast as I could. But then I found out about Real Estate and I have completely changed my mindset. 

I agree with @Dion McNeeley; build up your credit, house hack, then do whatever else you plan to do. I bought a Duplex right at a year ago for 3.5% down, and since I have been living there, I have only had to pay $200 to cover the mortgage, and if I got a roommate I would be living for free. This has allowed me to increase my savings rate. I would rather make a 15%-20% ROI on my properties than focus more on paying down the 4% student loans.

 Could always come up a little north in the Temple/Belton area? Just a short drive up I35. Area is growing for sure; Major employers you have Baylor Scott and White Hospital, Temple College, McLane, University of Mary Hardin Baylor, and there are plenty of Military from Ft.Hood that live in Temple/Belton as well. I think its a pretty good "path of progress" for Austin and Waco. Salado is starting to get the Round Rock/Georgetown prices. 

If you decide to come up this way would love to help in any way I can and learn from you. 

I don't mind at all. I have thought about doing the same thing, but until right now, there just are not a lot of travel nurses coming to my hospital. 

But I'm not sure of an exact way to contact the hospital to find out other than just calling the hospital and asking to talk to maybe the House Supervisor or a manager or something. But typically the hospitals are not the ones finding housing for the nurses, it would be the Nurse Staffing Agencies.

I would try asking around your town to find out what agencies are staffing your area then just reach out directly to those agencies. There are a few "big name" agencies that staff all over the country, but there may only be 1 or 2 actually staffing your hospital.