All Forum Posts by: Account Closed

@Travis Sperr

How did you go about finding a reputable coach? I've pondered getting coaching as well. I've done a few deals and read a few books on real estate. However I'm still learning and am progressing I'm wondering if a coach will help me get me proficient faster.  I'd love to hear your experience.

Jack Oregon I cannot stress enough what others have already said. Be patient! Now that you've advertised how much money you have people will come out of the woodwork to ahem "help you", it would be better to be tight lipped on the amount of capital you have to invest. My first "deal" I almost got taken for 350k. The guy is in prison now. I would first define your goals and work backwards. Do you want to stop working and eventually live off the income the 600k throws off? Do you want to continue to work and have the 600k supplement your current lifestyle? That will determine your strategy. I live in a high cost city so I private money lend in Southern California and other than the first deal it's gone well. However I can't tell you the number of people that have reached out to me from bp to "fund thier projects that are guaranteed to make money". Whatever you do make sure you have a real estate attorney you trust look over the deal. Even if you spend 10k it will be money well spent! Good luck

David Krulac When you mentioned "real estate limited partnership" where you referring to a syndication or something else that went bankrupt? Good discussion

@Ken Martinez

Sorry I hope this doesn't come across as condescending. I don't know how many real estate transactions you've done or in what capacity.  I'm in the business of lending private money. When you're a new investor and have 350k to invest and don't have the experience you're an easy target. How do I know? Someone tried to defraud me off all my hard earned money. I don't know about you or your income bracket but to me 350k was a lot of money for me to lose. I had to hire an attorney to get it back. And you know what my attorney and his team were busy with numerous other cases involving real estate fraud. It cost me a 100k just to get my principal back. The guy was arrested by the FBI and is facing federal jail time. Please do not speak to things that you are unaware of. @Charlton Thiedeindicated he has similar funds that I have and is a rookie. I'm trying to prevent him for making a similar mistake! I had lunch with a developer last week who got scammed 3 times once for 25MM.  If you're in this game for any length of time you're going to run into unscrupulous unethical people. I would heed @Saul L.advice be careful who you trust!!

@Charlton Thiede

What you invest in will depend on your market. I'm in a high cost city so rentals for cash flow is hard to come by. However investors are making a killing flipping homes. So I invested in their projects via private money lending. If I were you I'd start out with rentals perhaps skipping single family and buying a small apartment building. It will teach you the real estate market firsthand  and generate cash flow.  As for 100% financing why not get a loan? Money is cheap right now. As for getting a mentor I think it's an excellent idea. However the caveat is being careful of people's ulterior motives. Your an easy target. A new investor with money. Assume the majority of people are there to take your money and you'll be ok. Nothing wrong with a small dose of paranoia. 

Good luck

Ian Ippolito How have your returns been vs default rate? Not trying to hijack the thread. Was wondering if you could expound on your experience. What type of loans what interest rate what's high frequency software Thanks

Scott Winnie I'm a rookie investors myself living in LA. Here's what I did. I met a few reputable rehabbers and did a few loans to them. One was debt and the other JV. Both have worked very well however I had some major stumbling blocks and my first "deal" I lost 100k. The person I was involved with is facing prison so I understand losing 90k. I personally am not a fan of turnkey however you have an advantage due to the fact you know the Kc market. I would first identity what your goals are. My goal is to create wealth in the shortest time possible with safe and profitable investments. Therefore out of state rentals won't get me there. However if your goal is cash flow Kc may get you there. One thing I would do prior to investing is have at least at 3 months in savings. It seems like if anything unexpected comes up it would hurt you with paying your bills. And if anything is certain it's investing in real estate things can and will go wrong. Good luck

Russell Brazil I hear ya! I think there are a lot of factors to consider such as great deals move you forward more than average deals. I'm in a position where I ponder do I wait and invest in a home run (as you say) or invest in an ok but profitable deal now. However if the difference is $11 a month that's a bit petty

Jeremy Kenter I'm going to tag a few people for you perhaps they can offer some insight. I don't invest in syndications so I have no first hand experience. However I've been on the sight for a while and read a lot of the articles and forums written by the guys that invest in syndications. At this point if I did invest in syndications I would reverse engineer it and reach out to a select few. My understanding is most buy in amounts are around 100k just FYI. One thing I would do prior to investing is run the deal by my attorney to make sure everything is above board. Good luck Joel Owens Jay Hinrichs

@David Marzullo

The answer is there's really no answer.  It's whatever you and your friend agree to.  I lend at 13% plus 1 point.  I don't like rentals because it ties up my money for too long.  There's a finance concept called money velocity. In other words how quickly can you deploy your money, have the loan pay out, and put it into another project.  I don't know what your exit strategy will be.  Perhaps your friend will refi the rental and pay you out but the exit strategy is just as important as the terms of the loan.

Good luck