All Forum Posts by: David Roberts

You can get a 30 year fixed with a property in an LLC, you just need to find a lender that will issue a resolution affidavit (I think that's what it's called).

Or you can do what Mr. Garrett said...just stay current with the loan so the lender never has a reason to check up on who owns the property.

Early on in this thread the OP mentioned buying stocks in the market.  I just want to make a comment about this.

Absolutely never will I leave money sitting in an investment if I don't have to, ever again.  I've lost 10s of thousands in the stock market, because I'm a buy and hold type of person.  I don't like to trade, and I don't like to speculate.  Times are different today than they were even 20 years ago.  It seems like cycles move much faster.  You only need one "talking head" to come out on TV and say something to make a stock move significantly.  To me this is ridiculous, but it is what it is.

Real estate is unique in that it offers the opportunity to cash out all of your money and let you keep the asset and have that asset keep paying you.  

Joe saved me from a bad investment. I didn't know what the heck i was doing. I wanted to get a rental so bad initially and so I found a fully updated, very nice house. I got the owners down a few thousand, so I was paying about 95% of ARV, and I was planning to start with a conventional loan. The house needed paint and carpet, that was it, and even at that it was only because I like to over-rehab. Could have just put the for rent sign out in the front. I would have started with 20k down, plus 3k rehab, and would have generated about 300 a month without a PM and after all bills. Assuming I never had to pay for a city inspection, and nothing broke, it would have taken me 6.4 years to just get back my cash. Since I wasn't going to ever sell it, or at least not for 20 years, what a bad idea.

It's also a lot more fun buying very distressed houses and restoring them.  It is fulfilling.  I still have to get over the idea of never selling anything, but at least my cash is out or very close to out, and ready to go on to another investment, whatever that may be.  

It's so wonderful to talk to experienced investors, especially ones that have been in the game and have filed bankruptcy, and still got back into the game.  ALL of the investors I've talked with that have major credentials like this do not use their own money, and if they do, it's for a very short period.  Gee, I wonder why that is.  I think the sooner investors grasp this, the stronger/safer they become.  Just my opinion.

Now, paying off a rental with your own money is different than leveraging 5 rentals and then using the tenant cash flow to pay down those rentals over time.  I don't think there's anything wrong with that if that is your goal.  That is not your money, that is tenant money.  You still have all your money in a bank account safe and sound.  

If you're going to pay houses off, pay your own house off, then open a HELOC (preferably an interest only one) so you can always access that equity.

Some of you guys are pretty deep. That's good stuff

We supply used appliances and do not warranty them and offer to remove them if they wish.  We try to buy good used ones that work well and aren't very old so that it isn't a case of supplying a piece of junk.  If one of those appliances were to break and it's too expensive to repair in the first month though we find another one at no charge to them.  Don't want to start off the relationship on a bad footing!

It helps to charge the top rent.  In my markets it seems that in most cases the appliances are provided.

In this day and age nobody wants to do anything and wants it handed to them.  I think it goes a long way in helping with that.  But new appliances are so damn expensive. 

Appliances have to be the fastest depreciating item there is! 

I will bite because I actually am interested to know if others feel this way.    Im petrified when i have to commit 100% on a deal.  The final day of my get out of jail free inspection period is the most stressful day ever,  on every deal.  I probably experience every feeling in that day and i change my mind 100 times on if I'm doing the deal or not.   Every thought on what could go wrong and blow the numbers up goes through my mind.   A friend had to "text" me off the ledge on the last deal and i am glad he did because it has been my best one so far.   All the numbers made sense but there's always some weird problem with every house that I'm not sure how to handle.

Being an engineer and investor i hate risk and i hate unknowns.  Nasty thing,  unknowns. Ive lost a lot of money in the stock market and when you get punched in the gut like that,  it really makes you self doubt. 

I'm naturally a little neurotic but since real estate is very emotional it just fuels the fire. 

I worry about everything,  every detail.  If i have another investor counting on me it stresses me out even more because i want to do the very best i can for them and they are trusting me to keep them out of trouble.  I enjoy having the answer for people. 

Im scared to death to borrow money from others.  It's one thing if something happened and i lost my own money,  but its another to lose someone else's money.   I literally couldn't sleep if i lost someone money.   I know real estate is an other peoples money game but it just scares me. 

 I feel like even though its clear as day at times that im doing things right,  i feel like everybody else is doing better than me or has it better than me.  And some days i get depressed and just want to quit, for no good reason either  I have everything i want other than that elusive million dollars,  yet i still feel that way.  Its crazy. Like, if i am not investing at all to make money,  im stressed im not making money or trying.  If i were to spend it on a vacation or nice car,  id be pissed i no longer had the money.The goal is to live without money as a stressor,  but how the hell that happens i don't know.   I don't like the way money makes me feel if thar makes any sense, or dollars

I feel like if i sat down with a therapist i would depress the therapist lol.  I tend to look at situations like "how can i get F'd" and typically pay no attention to the good side.   It takes people reminding me of the good side to remember it.   That's pretty much engineering though,  always focused on problems.    I also tend to do that for clients because i want to protect them and i want to feel very good about helping another succeed. 

If only i could turn my mind off sometimes. 

this is great! 

bump :(

http://www.complexcapitalmortgage.com/home.html

I'm trying to vet them out before actually giving them any personal information.  The person that contacted me is actually a member on this board (just looked him up) but doesn't look like he's active.  

They have some pretty good options for financing that I know will benefit myself and several other investors that I'm connected with.

If anyone has any information or has used them, I'm looking to gain some confidence and trust with them before sending my information.  

oh ok thx