All Forum Posts by: Dustin S.

Hi all I am getting ready to buy a multi family probably a triplex in the Inland Empire area of California, the area east of Los Angles. I am concerned I am overlooking some of the details. I am looking at primarly triplexes right around $250k with gross rents at about $2400/m. With 20% down PITI will be about $1400/m and managment, vaccancy and Repairs will run another $600/m. I've noticed that if the property doen't have tennant paid water it pretty much kills the profit but is there anything else I am over looking. I would love to get your thoughts and suggestions.

Thanks
Dustin

I was enlisted. When I started investing it was very easy to qualify as I aquired more property it got harder. When I go to aquire a new property now with a conventional loan I have to have 20 or 25% down plus closing cost and 6 months reserves on all non onwner occupied properties even for a $100k property I need to have close to $40k in the bank. Back in the day $23,25K would put me in a $100k property. As Elizabeth mentioned buyng property as an owner occupied then renting it is a very good way to start buying you can by 1 owner occupied every place you get stationed but make sure you can rent it cover your cost and make a profit. I actuly got into a little trouble with this on my first place. I over estimated Rent and underestimated cost.

I recent got out of the military after serving 10 years I would say first of all and not trying to be pessimistic or anything. But don't count your chickens before they hatch. After basic you will want to spend some of that hard earned money but if you have the right mind set and pay yourself first you can certainly save up to start investing just might take a little longer. Join a Real Estate Investment Club where ever you get stationed. As far as the living in the barracks and getting loans go with a military friendly bank USAA or Navy Federal are the 2 I know they understand. USAA is awesome I have used them for 3 home loans.

@jon I was afraid that was the case the property is in California so the state will also get a cut. My concerne on doing a 1031 excange is not being able to meet the 45day deadline to select a property and qualifying for a loan on the new property. I have 3 other rentals and my primary residence and would reserves on all those I only have about $20k liquid for reserves and to put into another property.

As far as the HVAC and such you may look into home warranty plans that cover that sort of thing I would assume you could get a home warranty plan on a quad for less than $1k/year.

Does anyone know how depreceation recapture works?

I am selling a home for the first time and have no idea how this works. I purchased this property in 2008 as a primary residence and turned it into a rental a year later. I purchsed it for $180K and expect to sell it for $210k. I have taken $21k in depreation over the time it has been a rental. I know I will have to pay capital gains tax of 15%/20% on the relized gain of about $20k after about $10k in commision. Do I have to pay tax on the deprecation I have taken as well? If so what percentage?

I would really appreciat some help on this I'm clueless
Thanks

@brandon turner thanks for showing me that I have read a few of those already and have a couple in the queue.

Hi all I am what I would consider a beginning to intermidiate investor. I Have 3 SFR rentals and one 4-plex will be doing a 1031 on one of the SFR and buying another 4-plex soon. I plan on moving in the direction of multi's and eventuly comercial. I was hoping to get some suggestions on books to read to increase my knowlege. A couple of weak points in my knowlege are coprate structures/ asset protection and taxes. Thanks

@ Rodney Thanks for the Welome
@ Brant my parents live in TN and I visit a couple of time per year I am only interested in out of state areas I visit often. Hawaii, Hampton Roads area VA, New Hampshire, Maine, TN and Northern Alabama

Hi everyone my name is Dustin I live in Ventura County California. I have been investing for 6 years primarly fix and hold properties i curently have 5, 4 SFRs and a 4 plex, I invest all over southern California and have a property in Nashville TN. Looking to do some flips to have some more money for buy and holds. Will be gearing up to buy my next property around April May time frame this year.