All Forum Posts by: Hughston Thackham

Hey All!

I am just curious about out of state / out of country investing. I would love to learn if there is anyone who is engaging in that? What are some of the difficulties that you consistently run into? What are the successes that you are finding? What benefits are you learning you have over local real estate investing? What are some tips that you would suggest?

Thank you!

Quote from @David Krulac:

@Hughston Thackham Here's what I did for myself. After buying my first real estate property (the story is in Bigger Pockets Podcast #82) I first house hacked getting one or two roommates to pay my mortgage, then I rented the whole house to long term tenants. I kept the house for 24 years before selling for about 4x of what I paid.  I refinanced multiple times to both get cash out and lower the interest rate.  The initial rate was 9% fixed for 30 years. When I refinanced I always used the cash take out on real estate, never vacations, toys, cars etc. The next property I bought was a 3 unit rental property held long term and the next personal residence I bought turned into 17 new houses built in my back yard.  I strongly belive in the powe rof buy and hold, long term rentals, only cashing out to fund more real estate, and the power of Section 1031 Tax Free Exchange.

David Krulac

Bigger Pockets Podcast #82

 Thank you very much David. I also like the idea of buy and hold. 

Quote from @John Mason:

Yes but does does not hurt to network now right and build your connections?

Who knows 2 years down the line you may buy a  2 million dollar home which is funded by a private lender whom you know for  2 years in Facebook  or who has met you many times over the 2 years and trusts you

 You are absolutely right! I didn't think of it that way. Thank you for taking the time and providing me with insight. It is very appreciated. 

Quote from @John Mason:

Did you try Facebook or Meetup groups in your area?

I find that you can get private lenders or Joint Ventures easily and scale using those connections 

 To be honest, I have not. I am a member in the Facebook groups in my area, but I have not made that leap yet. I hesitate on using someone else's money as I begin investing. We do not plan on buying (new primary) until next summer / fall. So, if by this time next year, we don't have 15% saved for a down payment, then I will need to reevaluate our options. Such as a private lender.  My hope is to begin the investing journey with using as much as our own cash as possible. I don't know 100% if this is the smartest decision or best decision long term, but that is why I am here trying to learn and understand. 

Quote from @John Mason:

Best to loo at the posters history and number of posts here on the forum and judge

 Understood.

Quote from @John Mason:

Never a good idea to tell someone who is advising on this forum that they have mis conceptions about goals.. they are trying to help and may have misconstrued your post

Anyway your plan is solid and I think you will will get there alone or using a  Joint  Venture investor  for sure

Amazing! It was mentioned that it was suspected that I don't have goals. So, I was just curious what was meant by that. Didn't mean to ruffle any feathers. 

Quote from @Nathan Gesner:

Quote from @Hughston Thackham:

People see their equity and start to salivate. Think of all the things you can do with that money!

The truth is, most people will squander it. The best thing you can do for your future is leave it right where it is. Don't sell a property unless you have a solid plan to invest that money in a property that will produce better results or move you closer to your goals. I suspect you don't have any goals, which is why it's difficult to give you advice.

I recommend you keep it as a rental. You can buy a primary with just 5% down, so it's much easier to get into a new primary than it is to buy a new investment.

Thank you very much for your insight. Just curious, how are you determining that I don't have any goals? " I suspect you don't have any goals." 

The current goal is to save 15% of the down payment for the new primary, so we do not have to take any of the equity out of the current home. From there, I hope to buy a second rental through the rental income earned along with what we can continue to save. I would like to avoid touching the current equity. 

Again, I am brand new at this and value any insight. 

Hello all, I am brand new to Real Estate Investing and I am in a situation that I believe could be promising. I would like to hear further opinions. Currently, I am paying $942/month w/ $232 of that going towards my principal. The interest rate is 3.375%. The home is a 2 bedroom/1bath - 816 square foot home. The home has a newer roofer (7 years old), New Furnace (2 years old), Newer Windows, and New Electrical. We currently owe $113,000 and if sold today, we could sell it for $185,000.  The home could (hopefully) rent b/t $1300 and $1500 a month. 

So, now I am trying to think through what would be the best decision for my family. Would it be smart for us to sale our primary, take the equity, buy our family home, then begin saving to buy our first rental property? Would it be smart for us save 10% to 15% percent for our new primary, then rent out this house. Or lastly, save money for new family home, take some equity out to put towards our down payment towards our family home, and then rent out the house? Or are there options that I haven't thought of that you could share?

Please let me know your thoughts. I am eager to begin investing, but I want to make sure I am making the right decision to assure my family remains financially stable. 

Thank you everyone.