All Forum Posts by: Jaron Walling

@Jamieson Duff Thanks for sharing the article! That was great read on American history and how our government can really mess things up. 

I'm reading and learning as much as possible about the Federal Fund Rate. It's interesting to see the connection with a boom (today) and bust (unknown yet) cycle for real estate markets. Can someone explain why the fund rate climbed to nearly 20% in the early 1980's? 

Depending on the quality of the property, location, and tenant history I would consider upgrading to ceramic tile. That quote seems reasonable but for a little more you could upgrade to more durable flooring that's water resistant and easy to repair. 

The interest rate doesn't look bad considering it's purely an investment property. My bank offered a rate of 4.625 on my primary residence. Can someone explain the difference interest rate and APR? 

Anderson, IN has been stagnate for the most part (on the appreciation side). A lot of people commute to Indianapolis for employment. They end up moving there or find a place in the countryside with property. I lived in Muncie, IN for 5years and know Indiana well. 

The market has already slowed in Indianapolis and it's mid September. I agree with @Jason D., spring/early summer is the best!

Sign the contract and lock in the price you agreed on. It's a non issue if the property fits your investing criteria. After inspection you can back out if you have a contingency. 

I would not pursue a commercial loan unless you have a lot properties (a strong portfolio). Conventional financing will have better rates and allow you to lock that rate for 15 or 30 years. Commercial loans also have balloon payments. I would speak with a lender you already bank with. They want to keep customers in house and will offer great interest rates if you have good credit. 

What is your exit strategy with the property? 

@Philipp C. Dukatz No problem man and that's wonderful to hear. I love Indianapolis and the diversity that it's attracting. The market is starting to cool right now as I'm noticing properties sitting much longer. I looked at a SFH last week but it was over priced (by at least $20k) and the sellers have no offers. The property will most likely be foreclosed by the lender, and sold to the highest CASH buyer. That's how you flip houses in Indy. 

I've read The Book on Flipping Houses by J. Scott, Rich Dad Poor Dad, and What every real estate investor needs to know about cash flow by Frank Gallinelli. 

https://www.biggerpockets.com/renewsblog/20-books-...

Here you go man. I've read 3 of these books and it opened my mind to real estate.

I'll say my first book (if you want to call it that) was "Rich Dad Poor Dad". It was a game changer for me because my parents were not great with money and only recently started understanding my plans for house hacking, renting, etc.