All Forum Posts by: Alex Olson

congratulations. Looks like you did your research and you overcame your hardest objection - analysis by paralysis. Great work! What is your next step?

@Corey M. Research and referalls are the best source of information. A broker's reputation is everything. Calling around to 3-5 different ones will tell you a lot about him or her. 

 Based on what I have seen in the past there may be a small dip in occupancy but with the new product being filled people will still want to live in the area and your place will do well. It will also appreciate it. Nice work!

 I really like this book a lot. He made a lot of good points. There is so much that I would like to implement. I think the parties and gatherings aspect is great if you are that type of leader. I am not a rah rah leader and I show appreciation in different ways. But if you think you would enjoy doing it then you

I would take a simple approach. Look out of state for your investments. Read David Greene's book on out of state investing. It will help you jump start your process. You need a good local broker, a PM that knows the market and can help with rehab, and a lender. These will get you started. 

I would suggest running the numbers and looking at total cash returns for both scenarios. I would rather make more money on a cash basis each month than less money and higher appreciation, but that is my way of living. You can look at cashing out and refinancing but then like you say you have a hefty HOA and it may not cash flow well and you won't be able to get much for the refinance. Getting into something that does cash flow will allow you to save that money and buy more or brrrr. Hope that helps!

@Eric Kulling I am a kansas city real estate investor and an agent. I am happy to speak to you about anything you need to know. I have closed deals all over the metro and know each area well. There are certain neighborhoods and towns I would maybe stay away from but depends on your requirements for returns. I have a good team here that can help ensure a sound investment. Hope that helps. 

@Corey M. My recommendation would be to sell your condo and either 1031 and or tax defer any gains you had on the property into an investment property that cash flows. The CA market is pretty tough for that but you can do it in the midwest. You can also do it with long distance investing. David Greene's book on Long Distance Real Estate Investing is an excellent resource for starters. You need to find a really great team on the ground in the market you select. Of course I am partial to KC as I have helped a lot of out of state investors, in particular, CA get what they need out of their investments - from lending and PM to attorney's and insurance. Hope that helps with your decision!

@Kevin Tyra If you sell these investment properties (assuming they are investment properties) you will owe the gain in market value, depreciation, and a few other minor details as part of your capital gains which will then be paid at rate that is dependent on your total income. However, if you roll the purchase price of the properties into another property you will defar all of your gains into the new property. You can then cash out and refinance on your new property, paying no income tax. You will pay interest rate, however this is lower than the actual taxes you pay on the property...and you get to keep an investment that continues to gain in value, generate income, and cash flow. What a great way to build wealth! Hope this helps!

@Caleb Christopher Yes you can rent out by the room. Make sure you have a separate lease for each person and a roommate agreement that everyone signs. This is the best way to make sure that everyone understands what everyone else is responsible for. Also they have leases so that they feel comfortable that they have a place to live. I have done it and I know people that still do it. Hope that helps!