All Forum Posts by: Forest Wu
Forest Wu has started 6 posts and replied 71 times.
Quote from @Marcus Auerbach:
Cash flow is a poor metric by itself. Pick better neighborhoods, consider a small negative cash flow a forced savings account or just leverage less so you are break even or positive - long term you'll be way better off finacially. Run it througha BP calculater, you'll see.
I know that is not what anyone wants to hear, but REI has returned back to normal - the unicorn years after 2008 have finally dried up. It is still a great investment, but the cashflow for zero down magic is gone
Definitely this! Finding better neighborhoods and maybe putting a slightly larger downpayment just to breakeven is a good strategy to consider. Cashflow is just a bonus - not necessarily a requirement anymore
Quote from @Samuel Diouf:
I am finding plenty of off-market deals in Columbus, OH. I think Columbus is a great option to consider. Multiple, billion dollar companies are investing into our area, such as Intel, Google, and Amazon, due to reasons such as lower costs on land, great tax abatement opportunities, and an attractive cost of living for employees.
The cash-flow won't be as high as Cincinnati or Cleveland but in return you will see those high gains in appreciation.
Nice! Which neighborhoods do you like in Columbus? Would love to try and snag an off-market deal over there.
Quote from @Benjamin Aaker:
Just consider also that while you don't want cash flow to be negative. Equity build can still be done. It might be worth it for some investors to maximize equity. High cash flow areas usually mean C markets (as you say in your post). These require a larger investment in time or money. I always recommend to invest near your home. Failing that, my vote is Ohio and Indiana. Midwest is often a good way to go.
Post: Don't Get Comfortable - Mortgage Rates Could Very Well Rise in 2024
- Posts 72
- Votes 43
Quote from @Carlos Ptriawan:
Quote from @Forest Wu:
Latest inflation rate report shows that it's still too high. I doubt rates will be dropped that quickly or that much this year unfortunately.
Look If milk is $3.0/gal or $2.8999/gal it doesn't really make differences.
Fed has failed, even if the inflation goes down to 1%, because the 1% is calculated by YoY.
Now it's about, do you want the patient (company) to die or not with Fed rate of 5%. It's as simple as that.
inflation number is meaningless these days
Um, I'm not sure what you mean. I would not consider the inflation number meaningless since unfortunately it has an outsized impact on REI. Interest rate (based on inflation perception or reality) changes affects everything (e.g., mortgage rates, insurance rates because of bond positions etc.)
Post: Don't Get Comfortable - Mortgage Rates Could Very Well Rise in 2024
- Posts 72
- Votes 43
Latest inflation rate report shows that it's still too high. I doubt rates will be dropped that quickly or that much this year unfortunately.
Hi folks, hope that you're doing well. Kicking off a discussion to see if people have ideas of where to invest in 2024. Because of high interest rates (as well as soaring insurance premiums), I think cashflow is near impossible to achieve for long-term rentals. Best strategy is to look into rougher neighborhoods, get creative with financing or find off-markets.
That being said, I still find these cities interesting:
Detroit, Michigan
Charlotte, North Carolina
Cleveland, Ohio
Indianapolis, Indiana
Birmingham, Alabama
Any other ideas? Let's set some goals and crush it!
Post: Property Manager and Handyman in Columbus, Ohio
- Posts 72
- Votes 43
@James Wise - I'm guessing that neither one of us have heard any updates on good property managers or handymen lol
Is there a good way to connect with wholesalers in the Colorado area? I'm specifically looking around the Boulder/Denver area around US36. Markets like Broomfield, Lafayette, Westminster, Erie, Thornton etc.
Happy to cash-buy but would also prefer doing something creative (e.g., subject-to, seller financing)
Post: Looking for reliable contractors/handyman in Columbus Ohio
- Posts 72
- Votes 43
@Remington Lyman Investor interested in Columbus Ohio but need to find the right handyman team
I'd love to connect as well! Investor interested in Columbus Ohio but need to find the right property manager and handyman team