All Forum Posts by: Eric Janson

It sounds like you have made your mind up on this. However, I never advise anyone to buy a property with negative cash flow.  It puts you in a higher risk position. Appreciation should be icing on the cake, but not something you count on.  

I would say for you first one, you should have some good cash flow to minimize your risk.  Keep looking, there are deals out there. 

You don't need a license to if you are only going to invest, unless you want to become a Real Estate Agent.  You just need to hire the right team.  With the right team, you can focus on investing and let you team take care of the rest. 

Your agent shouldn't feel hesitation asking if the listing agent will accept seller financing.  It is a pretty easy question.  The worst that will happen is they will say no.  I would say that it is highly unlikely to find this on the market today with low inventory.  

I would keep her rent the same since it is only $100 low.  You just have to cautious on this especially with possible law changes.  In St. Paul, MN, where rent control was passed, landlords can't raise rents above 3% per year no matter how far they are below market rent.  So, for all the landlords with good tenants that have been in their properties for years and years at a lower rent are in really bad shape and may never get their unit back up to market rent.  

I would be upfront and not hide it.  They will eventually figure it out on their own and then you have lost trust with them. 

 I think it is a bad idea to buy a property with negative cash flow.  If values go down, then you can really get in trouble because you wouldn't even be able to sell it if it became a money pit.  I would say to be patience and keep looking for a deal where the numbers do work and where you have cash flow. 

There might be a crash in the next year and there might not be.  You might wait a while and instead of waiting, you could get your feet wet and have a few properties under your belt. Then you will be better prepared for a crash.  Just remember to make sure the property that you buy has good cash flow and you will be fine.  

I would agree with the above.  Either he does not have the right to sell it and therefore there is nothing you can do or he does and you could choose to sue for non performance, but do you really want to.  I would say to just move on.  Some deals just don't work out, but there is always another one out there. 

Hi Danny!  I would love to connect.  I work on the Encore Investment Team her in Minneapolis/St. Paul area as a Real Estate Agent.  Feel free to reach out. 

I would do both, but you will usually find that you are more focused and serious about the program that you purchase.  You have skin in the game and you don't want your money to go to waste.  Free information is great, but it can cause people to much more passive in their learning.