All Forum Posts by: Gene D.

Hi, I'm looking for anything from turnkey cashflow rentals to funding your next flip, land rezoning opportunities, etc.

This can be a joint venture to a simple transaction.

My main concern is ROI. Anything in and around south Florida, Boca, Ft Lauderdale, Miami, Broward, Dade, Palm Beach, Orlando, Tampa, Ft Myers, Jacksonville.

@Lesley Resnick

@Jeremiah Hilliard

Curious, what type of ROI do you project in your region over lets say the next 5 years, including both just cash flow and also including an exit with any projected appreciated for the types of properties you work with?

I am not too familiar and its always interesting to hear local perspectives. Thanks in advance for your insight.

@Will Wong

The property is in Midwood, very little opportunity for new construction, very high demand and population growth, high paying jobs (30 min B train to mid-town), safe, family oriented, etc. Also, the Condo market has outperformed the single home market significantly over the last 5 years.

I do most definitely agree with you that any population loss due to migration gets replenished and then some via immigration, tons of people moving from the flyover states, etc

@Lesley Resnick

@Jeremiah Hilliard

@Allan Glass

@Jeff T.

I think the varied advice comes from varied level of risk each of you is willing to accept. I skew more to Lesley and Jeremiah, while Alan and Jeff T would rather hold on to a safer bet with a lower yield. Very similar to what you’d find with investors in blue chips that kick off 2.5% annual yield, the stock grows EPS at a rate of 5% but isn’t going anywhere. Other investors may feel they have a longer investment horizon and are OK with the potential downside. I hope I understood correctly the main reasons for the diversion in advice and am not missing a key component in valuing each opportunity. Please do let me know if my line of thinking is off.

I simply look at this as an arbitrage opportunity due to regional market differences in the current cycle, no attachment to either personally.

BTW, interesting viewpoint Lesley, as I wouldn’t make the purchase now in the current market I am in and am interested in FL, taking this step back is helping me see clearer in which direction I may want to head.

Hi @Allan Glass and thanks again for your input, I definitely appreciate it.

Im still grappling with your advice though, as I see the potential transaction as simply rebalancing of a portfolio from an asset that has outperformed and I feel is fairly to overvalued into one that is actually undervalued and has a higher chance of appreciation.

My sale of the NY property will also allow me to escape a taxable event (as I actually resided there for more than 2 years, the expected tax benefit of which is $45k)

With that in mind, do you still recommend sticking with the property in NY long-term?  

I am very intrigued by the suggestion of potentially pulling equity out and theoretically using that as my capital base of the next acquisition.  

@Angel Rosado There's a real estate investor tip for ya;)

@Allan Glass @Jeremiah Hilliard

Jeremiah, I think Allan is saying to focus less on rent roll and more on the actual return of the investment after exiting.  I wholeheartedly agree, though I still dont necessarily see the math working in favor or holding the asset as oppossed to selling and reinvesting in potentially a more attractive asset.  Allen, can you help me understand what I am missing here?  Thank you.

@Jon S. "cash out refi to pull out cash tax free and acquire additional investments" - any further detail on how to best proceed with this approach?  anything I should be specifically aware of as part of this process?  Thank you.

@Valerie Enlow @Bill Exeter

Thank you both for the great info, much appreciated.