All Forum Posts by: Taylor Dasch

 This is a great way to look at it. I have had some deals go bad as well. I think the knowledge of the specific market reduces risk but also deal flow. Just trying to come up with some ways to build capital - one of the lessons I learned was doing way too much too fast and not having the reserves to support it. Which is the reason for even thinking about flips, but it is definitely more risk and could 100% end up in a loss with the wrong deals. 

Yeah that makes sense, I have dabbled in a few flips. 

You did yourself a huge favor by starting here. I wish I would have house hacked starting out. Good luck! You will definitely learn a lot. 

Hey guys, I just wanted to post this on here and see what yall thought. I have been thinking about my strategy for investing and realize I need to change it, so pretty much right now I do dollar cost averaging in real estate lol, so I am not concerned with timing of the market, when I get the funds to buy, I buy ( and sometimes I buy even when I dont have the funds). This is all good but I dont believe it is the fastest way to grow my portfolio. 

Some strategies that I am considering are: 

Flip with HML then buy at auction - build capital to around 100k, then buy at Pre-foreclosure/tax auctions and flip the house for a larger profit and less work. The risks are obviously placing a big bet on a PF home and then taking a loss on the money I had acquired to begin with but with the higher risk, the reward to me seems like it would be greater as well. The plan would be to do about 10-15 flips within the next 3 years with the end goal being to purchase a larger MFH for cash flow and leverage the $ that I saved from the flips with either the one MFH or multiple properties. Has anyone done this?

Hybrid: Flip two properties then buy and hold one - this one would be more rewarding in the short term in my opinion because at least I would see my portfolio build which is my end goal anyways, but I know that I would have at least 25% equity tied up in the property that could be going towards the big push in the other strategy. 

Continue to just buy and hold - Less risk and I am pretty sure I can reach my goals within 5 years, I just feel like that is not the most efficient way to do this. 

Do yall have any thoughts on this or is there anything I am not thinking about? 

If you are going to invest in another market, I believe a good realtor is imperative, It will save you quite a bit of time learning the market and if they are investor friendly, they can also send you off market opportunities, connect you with HML, and provide you with ARVs / Rental rates.

 PS Temple/Waco is just down the road from you ;)

You are in the right spot! Good luck starting out. Tax liens can be pretty good, You will have to go to the county clerks office or website I believe. I went a while back and they gave me a site that had like a .csv file that was extremely difficult to navigate through, but knowing what I know now, I could have put it into google sheets and spend an hour or so getting the data I needed from it. 

Have you looked into this? I looked a while back and the properties were extremely expensive there, even as a STR I dont see how they could make much money.

It will have to be a good buy and hold when you move out. Thats all that matters to me. Even if I have to pay some, as long as it cash flows when I move out - I would then look at the cash flow and cash on cash return and make the decision based on that. 

For flips I just take the return that I would like and work backwards from there. But also, I will initially offer a little lower (for a higher return than I would actually need) and then have room to negotiate. 

Great job, how do you find the heirs and whats your process in contacting them ? I feel insensitive when I try to do this after their family member died, but often I find that they dont file for probate until a while after their family member passes.  Any tips on this would be greatly appreciated! 

Looks like you did a great job and bought at a good time. I had a similar scenario, if I could go back, I would have taken out a HELOC prior to moving out. Once you get into it a little more, it definitely helps to have something liquid to scale your portfolio and you dont have to pay interest unless you are using it.