All Forum Posts by: Daniel Lichtenfels

@Eric Piccione in a very simplified example, that would most likely be correct. Assuming your rate and term stays the same. But to go back to your original example really quick; know that the 1k the tenant would be paying for the mortgage for that year would mostly go towards interest and not the principal mortgage. So the debt would not only be 88k on the property. Also, most banks do not lend on the full value of the property. Ill send you a PM with a better example for you to try to help grasp the idea better.

@Ryan Hanrahan someone was talking about this on an episode of the BP podcast i recently listened to, but since i don’t listen to them in order i cannot remember which one. But whoever it was, they said an approach they found effective is to first ask the seller about his or her current situation. If they are desperate and need to sell now, they most likely wouldn’t be interested in seller financing. However, if they are just generally selling, it is effective to break down the benefit to them if they were to seller finance vs not. (I.e the tax savings of monthly payments vs receiving a lump sum and also the benefit of the monthly income and interest). I’m probably forgetting some of the other details, but that was the general idea. Hope this helps!

@Daniel Lichtenfels * the refinance would be based on the 150k value. *. -Sorry. I hit post instead of back-

@Eric Piccione I’m kind of confused by the wording of the question. However, since youre talking about refinancing it,

@Art Perkitny Hello. I am really interested in using the information in the pictures you provided, but im using the app on my phone and it will not let me save it or zoom in and the screenshot is way too blurry. Do you mind me asking where you find information like that? Thanks!

@Sammy Weinstein i had less than 10k in my retirement account from my high school/college job (A mix of Roth IRA and traditional 401k contributions). When i finished my associates and quit that job, i just pulled that money out to help pay for my bachelors. I had to pay a 10% penalty for the early withdrawal, as well as the taxes on the 401k (but not the IRA, since that is taxed at deposit). The taxes and penalty were deducted before they distributed the balance to me. However, as someone above pointed out, you shouldn't have to pay the penalty for the early withdrawal, since you're over 59.5 years old. I don't know your situation either, but the ordinary tax you would be paying on the withdrawal of such a high amount would be wasteful.

@Tim Herman that makes sense. Thank you!

@Sebastian Michelsen Hello! My first (and main question) is do you have a family/social life you’re missing out on with working? Personally, a few years ago when I moved a bit away from my hometown for work, I worked the later shift that paid better because I didn’t have anything i was missing out on since i didn’t have any friends where i was so I just wanted the money. However, now since i’ve moved back, I take the more traditional hours because have more things i can do after work.

Hope this helps!

I plan to purchase my first investment, either a duplex or triplex, in my area in the fall, once i graduate from college to house hack. I started to analyze properties in different areas near me to get a good understanding of what to expect and look for. I have been reading books and listening to podcasts, but one thing i haven’t found is what to look for and expect as far as how much to expect to cash flow (if any) while living in one unit.

For example, if i have a duplex that i live in one side and rent the other, should i be running numbers in anticipation to just have the one tenant pretty much just pay my mortgage? Or should I be looking to also cashflow still?

Hope my question is clear!

@Tanner Kier They did help with some things, like building a team and working with them (assigning and delegating certain tasks etc.) which could help when it comes to building a real estate team to work with. A specific example i found really helpful in one of my managerial classes... i had a project where we had to create a fake business proposal with realistic numbers/projections/research to present to the bank. I saw another member mention public speaking, which was a mandatory class at my school, and i would recommend taking that as well, if its available!

Overall, the business classes were definitely useful, but i personally do not feel i got enough out of them that id pursue a major in it. However, i am glad it was offered as a minor, and i would recommend getting a minor as well, assuming you have the time for the additional credits while working.