All Forum Posts by: Dustin Lavender

@Cody L. Hope your day is going well. If you don't want to be negative man, then don't be. Calling me "rediculous"=negative. I was never negative. Go back and read MY first post, congratulated and told the guy great job. 

To your point of "correcting" me , in MY market specifically, that is a "good" deal, but there are better ones all around and I stated why I felt that way in MY second post in response to someone else. 

I get that he is making a good return on investment. My point was in MY market I could, and have, made deals with significantly higher rates of return. That 20% down he spent could have been used for downs on 3-4 properties here with a 20-25%+ ROI cashflowing that much or more each. I know because I am living it.

Best of luck to you!

Stay positive! ;)

Mike Roy I don't see how you can know my cap rate based on only purchase price. Purchase price is not necessarily market value. I could probably do significantly better than that 20k a month with that 1.3 million. My previous comment was tongue in cheek, but since you bring it up, I purchased a 10 unit multi use property in December 2016 for 175k, appraised value of 480k. None of my cash involved. I leveraged other properties in my portfolio for the down payment. My current cap rate on it is 12.5% and i am constantly doing value adds. And I am in the process of purchasing a 250k commercial property with a 11% cap rate. If I used his 1.3 million simply for down payments, which is my biggest struggle currently, I could buy 30 properties. My apartments clear 3500 a month and the new property clears 4K. 30x (let's be conservative) $2500= $75k per month.

We bought this house 15 months ago and our latest tenant just moved out. This house has been a cash flow king for me, but this go around I think I am going to do some major repairs.

We bought the house for 17k, put in 8k in initial renovations and upgrades, including a new central ac. Since then, looking at my books my repair and upkeep costs have been $900 to this point. The house rents for $550 a month. Mortgage is $108 per month and insurance cost is $280 per year. Taxes $600. Been empty for a total of 2 weeks in the last 14 months.

The latest tenant trashed it pretty good but nothing beyond repair. Will post pictures shortly.

Congrats brother! I love to see young motivated individuals! 1.3million for 3000 positive cash flow doesn't seem that great to me though. If I had 1.3 million I'd buy 4 properties here in Arkansas each cash flowing 3-5k per month and I'd be set for life. Lol. Different markets I guess. Best of luck in the future.

Joseph Duenas , Brent Coombs is right. I have done this often and roll the financing charges into the new loan. You could also open a line of credit on your equity and use it for your down payment.

Dude you have to Nike up and just do it. I am doing it with a full time job and 4 kids. It is a lot of work and commitment to where you want to be 10 years from now. You have to work for it.

I have found many leads through cold calling. Not for MHP but in general.

Could also be a code enforcement officer or could be county appraisal time.

@Cory Cox sounds like you are well on your way to having it figured out man. Are you planning to buy and hold this house or sell it? I'm not that far away from you give me a shout if you need anything or have questions. I am definitely not an expert but have made enough mistakes and know just enough to be dangerous.

No matter when you purchase it the seller should be giving you prorated rent for the time that you own it and the tenant lives there whether it is 30 days or 1 day.