All Forum Posts by: Engelo Rumora

Reading all these posts are making it more difficult. If anyone can suggest some help I would greatly appreciate it. If you just want to shame me, well I’ll doing enough of that myself. And once I share this with my family… not sure what will happen. Any help out there please keep me in mind. And in your prayers. 

Quote from @Chris Seveney:

@Jay Hinrichs

It is up to the GP to verify accredited status. Sec has a lot of language about reasonable steps as guidance to be taken.

Most of our accredited come through an investment advisor who verified it. If it is someone “retail” the way many do it is require documentation from them such as a w2, letter from cpa, tax returns or if it’s net worth then backup to provide that confirmation.

Just someone saying they are accredited does not fly.

Ok I guess the ones I saw that were just simple one page question that you attested to did not fly then.. I know the few investments I have made I did have to have my CpA write a letter stating that Ms. Lori and I meet the  criteria.  

Quote from @Chris Rosenberg:

What a great position to be in! I don’t know the rest of your financial picture but if you are a realtor and have $1 mil cash to put into real estate and no other assets I would diversify a bit into other investments. If the real estate market crashes you lose your job and your wealth. I personally prefer to not be over leveraged but I have at least some type of leverage on every property. If I were you (and there are many things I don’t know about you) I might put half into cash flowing real estate at 60-70% leverage (to get depreciation, loan pay down, cashflow, and hopefully appreciation) and invest a large portion of the rest into something else. And also keep a nice chunk of change in reserves or very safe short term investments. But the very last thing I would do is put the whole $1 mil into real estate if that’s all you have. If you have lots of other wealth in other buckets then disregard my last comment. Hope this helps!

 Thanks for your response dude, I just invested $300k into a syndication deal in Vegas, I am looking at a quadplex in Toledo for $380k'ish that I would probably pay cash for and cash flow to gross $4250 a month, and keep the other $300k'sh invested with my manager.  I could either take a heloc out against the property down the road when rates drop and buy more properties or get a SBL to buy more.  definitely want to be diversified, may look into 2nd trusts deeds but i need to make moves soon and generate some cash flow. 

Thanks everyone for the input, i spoke to my money manager yesterday, she mentions a Secured Bank Loan as a line of credit borrowed against my investments with them. 

It would be an adjustable rate starting at current rates about 7%, with rates hopefully coming down through the next year, if I bought a quadplex in Toledo that i'm currently looking at for $380k, it would be grossing me $4250 a month with a payment back to Chase of about $2200, still in the green after insurance, property taxes and management fees, and the money i'm borrowing against will still be invested HOPEFULLY continuing to grow with the current stock market.

Anyone ever bought a property with an SBL?

Check out beautiful Toledo Ohio. Plenty of cash flow and appreciation. Truly the land of milk and honey. Also remembered to play the long game, the entire southwest of the country will have no water soon and there will be mass migration to the Great Lakes bordering states.

https://www.realtor.com/research/top-housing-markets-2024/

The excuses people make to invest at the most casual level is appalling.

I'm not going to sit here and compare lives, but trust me folks with 20x the amount of stuff on their plate can go out there and invest properly in RE by doing their diligence. You don't need a turnkey headache through a broker company. Go do the job yourself, go find a market and find a house. Buy it, form a team, and let someone manage it and grow properly. Don't buy turnkey when they are already factoring all the headache cost to you, and there's no guarantee a future headache won't happen.

Having a 5 year old, a W2 and living in Cali is nothing. So many of us have a lot more on the plate and get it done. Trying is failing, doing is going right.

Quote from @Engelo Rumora:

Quote from @Lily Wong:

Quote from @Engelo Rumora:

G’Day BP folks,

A fellow Toledo investor started a Facebook group revealing all local scammers.

Mostly contractors.

10+ years of investing in Toledo and stopped counting at $1m in losses.

It’s just the nature of the beast and the cost of doing business in my eyes.

Unfortunately, Toledo is notorious for bad operators and poor quality of workmanship in many industries.

Maybe this group will help you not loose the same amount of cheese that I did $$$

You’re welcome 😇 

https://facebook.com/groups/786864700099337/

Thank you for posting this! Much needed. Do you have a contractor that you would recommend for Toledo? The one I used was the worst workmanship I've encountered and didn't complete the job either.

Sorry to hear about your troubles but not uncommon.

You will find recommendations in the group.

As you can imagine, we keep our trusted contractors close to our chest as we give them volume and need them working for us.

All the best 🙏

Thank you! I also just listened to your podcast episode! Very insightful on vetting with your elimination question. Hoping to learn more from your youtubes!

Quote from @Engelo Rumora:

G’Day BP folks,

A fellow Toledo investor started a Facebook group revealing all local scammers.

Mostly contractors.

10+ years of investing in Toledo and stopped counting at $1m in losses.

It’s just the nature of the beast and the cost of doing business in my eyes.

Unfortunately, Toledo is notorious for bad operators and poor quality of workmanship in many industries.

Maybe this group will help you not loose the same amount of cheese that I did $$$

You’re welcome 😇 

https://facebook.com/groups/786864700099337/

Thank you for posting this! Much needed. Do you have a contractor that you would recommend for Toledo? The one I used was the worst workmanship I've encountered and didn't complete the job either.

Quote from @Jon P.:

UPDATE:
....How do others interpret this?....

Complete and utter insanity that anyone would ever have "invested" into such a bonkers thing. 

Because it all reads as legit, as all this was baked in from day 1. Which is NUTZ! 
I can't wrap my head around the fact that people bought into such a thing..... 

It's as if everyone purchased bear-trap underwear because it was trending and ignored that it's giant steel teeth wrapped around your........