All Forum Posts by: Frank Geiger

Congrats on your success! Can you post some of the numbers?

Don't take it out and get penalized. Just use a self-directed IRA. I believe there are a bunch of rules that come with it though. Like not being able to turn units or perform construction yourself. It may help you not work in your business and delegate work more.

Looks like you’re missing some expenses like insurance and lawn care. Make sure you can find a PM for 9% before making that assumption.

Overall, looks like this is one of those perfect BRRRRs with infinite returns after some adjustments

It’s a numbers game. Hard to tell when no interest rates are mentioned or opportunity cost of deploying that cash one way or another. 

I imagine your credit cards are high interest so there’s a start. 

@Artur A. is that the location the property is too? 

@Jonathan Smith where are you getting all those materials for 3k? The cabinets alone are probably around 2k.

@John Matthew Johnston your labor costs are a bit high though IMO. From a contractor perspective, he probably only makes around 5k on this job when it's all said and done. 

We always replace it. Sometimes investors have a hard time getting insurance with knob and tube. Your estimate seems quite high (depending on the SQFT)

Since they are completely different businesses, they should be separated. You can have a bunch of LLCs. They aren't that much to register.

You will save yourself a bunch of money using all of your own cash. Inversely, you maximize your risk. You can easily save a few thousand in holding costs and points by avoiding a HML.

I would look into the rent vs price of the area. Less than 100k in a lot of places isn’t the best. But Kansas City is an awesome market and you can find some good options there.