All Forum Posts by: Greg P.

Recently, I chose a handful of stocks mostly large cap that I that I liked as a company (for fun). Then I went on Yahoo Stocks and did a 1 year search on all of them and noticed I would have doubled my money for the year if I would of made the decision 1 year ago. I wouldn't want to lose that kind of opportunity again! Thanks.

I'm looking for a service that I can pay for but they wouldn't mind if I chose my own brokerage to invest with. I'll be more than happy to pay for this type of service, I just want to invest on my own through my own trading platform

Hello all, does anyone know where I could find a service where someone could help me find stocks and go through all of the options without paying a broker fee? I'm looking to invest on my own but need some assistance doing so. Not looking to work with a broker as they want me to invest through their brokerage and I would rather invest through a platform that I found on my own. Is there a place for this type of service?

Thanks

Ok, lets say you have a project manager to find a new tenant because you want to be hands off. Don't you have to pay the PM about a months worth of lease to get the place leased? Sounds like a lot of headache and not enough money to make it seem worth it. But, I guess I have to try to find out. My buddy who is a landlord always complains that he is not making money and he would rather to rehabs instead.

Yes, Rob, I have bought 5 houses in a month before and I know how you feel. Which is the reason I am saying if you buy 2 houses per month, the stress of 5 at once would be less. Rehabbing isn't easy but it does get easier.

My estimates are most likely wrong because I come from the rehab mind set. But, I would say, Paint, Carpet/Flooring, Fix Misc so maybe 3-4k? My point is, with taxes, insurance, misc repairs during the lease, possible evictions, and then the tenant turnover process (repairs), is it worth it?

Jon, how you see I need a dozen crews? I would see that I need 2-4 at max.

Each crew usually finishes within 1 month, then they move into the next ones. 4 would be the most and that would be for back up.

Hello, I have thinking hard about making the move into rental properties from doing rehab flips. From my understanding, owning rental properties can be beneficial but the returns can be very low as well.

Here's what I am thinking:

Let's say you own 1 rental property and bought it for 50k and put in 10k and now you have a decent rental property rented for $1200/mo. The yearly gross would be $14,400.

Let's say the tenant signed a 1 year lease and you expect to make $14,400 gross.

Now, the tenant leaves, and the house is in need of rehab. Considering the tenant didn't trash the place, lets say it costs $7,000 to get the house remodeled again for the new tenant after year one. Basically you would break even after the 1st year if they leave.

The returns seems very low considering you have to find another tenant and fix up the property for this new tenant.

Yes, I understand you get a security deposit, but even so, $7,000 would be the estimate if the tenant didn't trash the place, and if they did trash it, then it would be around $10,000.

Doesn't seem like a good investment to me. Contract for deeds sounds better.

Any thoughts or advice would be great.

Thank you.

Thanks for the responses. To answer Jscotts question, on why I dont just do flips, is because eventually I would like to live off of just rental cash flow. As Jon mentioned, the taxes on flips would be very high and with rental properties, I would guess the rental properties would off set some of the tax burden on the flips.

Jon, I see your point on doing hard money loans while the returns may be lower the work would be significantly lower. The reason I think I would choose rentals is because of the tax benefits, cashflow and long term appreciation and someday refinance them with no taxes paid.

Jon, could you specify why you would suggest the hard money way lets say doing the strategy I mentioned above over 5 years compared to doing hard money loans for 5 years?

And Nick, yes I would use the lump sums of cash from the rehabs to reinvest into more rehabs/rentals and the same with the cashflow from the rentals

Hello, this is a strategy I was thinking about and I would like to hear opinions and/or advice from the experienced members here. This would be all cash strategy though I would consider refinancing.

Here's the breakdown:

Buy 2 houses to rehab a month
Buy 2 houses for rental a month

The 2 houses for rehab would cost approx on average $250k for both houses and this includes rehab costs.

The 2 houses for rental would cost around $140k for both houses rehabbed.

So I figure that for the 2 houses that I would rehab would net $70k for the month.

And, for the rentals using the 50% rule should cash flow for 2 houses I would net approx $1200 per month

Now, for the year, it would be 24 houses rehabbed and sold and would net $840k

And for rentals by the end of year 1 there would be $14,400 (50% rule) cash flow coming per month which would equal to approx $172k year 1.

After 3 years, the cashflow would be tremendous and would have enough cash from the rehabbed houses to buy these rentals.

2 houses per month to rehab and 2 houses per month for rental it doesn't seem too much does it?