All Forum Posts by: Damaso Bautista

@Sharlene Burch

The basic numbers you provided look good.  If these are long time rentals that this owner has held for a long time, I would really dig deep into the deferred maintenance.

The numbers you provided make sense, but if you buy them and then immediately need two new roofs, two havac systems, updated plumbing and wiring, this could change the numbers significantly.

Always remember just because a rental is rented, doesn't mean that the location is up to standard.  

Now if after your inspection all of your major systems (capex items) are in good shape, then go for it.

Some other things to consider: type of neighborhood A-D (self manage or property manager) and are the current renters paying their rent or you going to walk into an eviction situation right off the bat.

Good luck!!!

 @Alex Verdugo

The key word in your comment is "DEAL".  When that statement is made the deal means there is alot a meat on the bone where money can be made from the purchase.  

Without numbers given by the OP there is no way to tell if this is a deal or not.

Just because the OP was going to buy it does not mean it is a DEAL.

My opinion

@Elin Trinh

You need to get a lender that lends in the state you are looking in.

I live in California and I found a lender in Indiana when I bought a rental there.  Everything was done remotely.

I actually got a lender recommendation here in BP and then made contact.

Good luck!

@Ryan Dunton

The only way I would advise a young person not to go to college is if they have a trade skill or W-2 job that can make them a great salary. 

I say this because realistically to start in real estate you need to have money and a way to get financed.  

This comes from a job, great credit and savings.

If you can achieve this without college then great.  It has been my experience that you get a higher paying job by going to college.

My two cents.

@Matthew Forrest

Hey Matthew,

Did you build your ADU here in the South Bay?

Also could you give some details about the type of ADU you did. Garage conversion, stand alone. What were your all in costs.

You can PM me if you would like.

Thanks!

@Shianna A.

Do research on your rental price because I think they are low.  Depending what part of Torrance you are in obviously.  

Have a strong lease and pick someone you are comfortable with.

Like suggested above charge at the high end of what it costs to rent a room and do a thorough background check.

Good luck!

@Angelo Franco

Many people do this and they fly in and out every morning and every night.  Southwest has commuter flights from Arizona to LAX all the time. 

I personally know a guy who has his house in Idaho and works in Anaheim, Ca.  

He flies in at the beginning of his workweek and then flies home on his days off.

@Chad Rocke

Nice Chad! If you can repeat this over several years before you know it you will have a nice portfolio.  

Good luck in your continued success!!!

@David J.

I always look at spending money in this light.  If it doesn't make me go bankrupt or hinder my ability to provide a warm safe home for my family and to put food on the table.  I have no problems spending money.  As long as it is something I want to spend it on. 

You look like you have done well for yourself.  My advice buy your new car.  It will be just like everything else in life.  

It looks great from afar but once you have it in hour hands it isn't as spectacular as you imagined.  

Good luck!!!

@Jesse Krall

OK that makes sense now. Not impossible but very stressful.  Good luck!