All Forum Posts by: Account Closed

I have a lot in Canyon Lake and am looking for a builder that can take on a modern stucco bungalow project. Any suggestions?

I realize the importance of having a brand when syndicating. However, when just starting out and haven't syndicated a deal yet, what does a brand look like? Should it focus on personal qualities/attributes or other accomplishments in REI and/or professionally?

@Pete Harper That's great to hear! Is it a C class property or D class property? Cap Rate seems low for a C class (6.1% to 7.2% range @ 5% Vacancy and 50% expenses). I could be wrong though. 

Hey everyone! I briefly looked into RAL a little over a year ago, but am getting more serious about jumping on board with it. I know Gene Guarino is THE AUTHORITY when it comes to RAL, but before committing to the hands-on workshop in Arizona, I'd like to dive deeper into the numbers and address a few questions I have. Does anyone have an excel cash-flow analysis of a RAL facility they can share? Also, here are some of the various questions I have:

1. How many bedrooms are typically needed to maximize income?

2. What is the typical ratio of caregivers to residents? Do these caregivers need any special designation such as RN?

3. How many total employees are needed per RAL Facility? How many hours are expected in total (i.e. man hours) and of each worker? 

4. What is the typical pay for each worker type?

5. Is it feasible to outsource the whole operation, including staff, and still earning on the business side? If so, what do margins look like?

6. If more of these facilities are going to appear in the future due to demand, is there concern that competition will drive monthly bed rent down?

7. I see 'Private' and 'Semi-Private' bedrooms for rent with the price spread somewhere around $5k/$4k, respectively. Would it make more sense to focus on Semi-Private placement as you earn more per room?

8. What are the distinguishing factors that will set a GREAT RAL Facility from a Decent one?

9. How much is typically needed to get started on a single RAL Facility?

10. How quickly do RAL Facility bedrooms fill up after initial launch?

I am filing a 'No Franchise Due' report for my SDIRA LLC; however, Texas requires a NAICS code associated with every LLC. I am not quite sure what I should choose. Thoughts?

Hey BP Community! A friend and fellow investor suggested I approach local banks to leverage commercial lines of credit instead of using high-cost Hard Money Loans. I'd like to reach out to several of the local banks via Email but am unsure as to what specifics I should address in it as to my background and what I am looking for? Any suggestions?

@Jorrin Crow House Hacking on an income of $25k will be a bit difficult but not entirely impossible. You will likely want to look into an FHA First Time Buyer home loan. They will typically only require up to 3% down; however, you will still need to pay closing costs as well as a Mortgage Insurance Premium (MIP - not sure if it is up-front or monthly). The MIP alone can be anywhere from $150-250 extra per month. Your best bet would be to buy a house that needs some work (undervalued to market of course), rent the rooms out to offset your payment, and save cash to rehab the property in steps over the course of a year or two.

Keep in mind that once you sell the house, you cannot take advantage of the First Time Home Buyer loan program again for a period of time (2 years not owning a home I believe)

I know the city of Houston has a program to help those with low income purchase a house. They will grant you a significant amount to put toward the purchase. I cannot recall the name of the program or the qualification requirements but it is definitely something to look into. 

@Ian Goodstein Your agent is likely working off of Pro-Forma numbers. Ask to see the numbers. Always ask questions. 

@Daniel Lynch Be careful here because it will set the precedent for the rest of your relationship. IMHO, a relationship is a partnership and should be treated as such in many respects. If you are both working, committed adults then it seems perfectly reasonable for her to pay her portion of rent and living expenses. I would consider your income and her income added together, and calculate the ratio of both your incomes to your total income and apply that to your living expenses to keep things fair (i.e. if you make more, you pay a bit more of the expenses and vice versa). Also, do not put her on the deed/mortgage to the house and make sure she understands she is paying rent and not investing in the home with you. 

I actually looked into this. It seems fairly simple enough. You will need to become a licensed notary (which is pretty easy to do IMHO). The hard part is you will need to network like hell with title companies so that they call you when these are needed. I think the fees typically range from $200 to $300 per closing and you can expect to spend about 2 hours total on the closing (printing/reviewing documents, gathering signatures, scanning/faxing to title company, mailing originals). Definitely not a get rich quick sort of job but could be very lucrative nonetheless.