All Forum Posts by: Jedd Braunwarth

Carlos Diaz love this question and reading the responses so far. I am at the high end of your criteria being 30. I started investing at 28. I have always been entrepreneurial so this seemed natural. My career has been outside sales for the past 8 years, I think that has helped me in all avenues of business. I currently own 2 duplexes, 1 sfr, 1 small commercial and am closing on a 6 plex in July! My investing strategy has been to find properties that need work, buy cheap, put in the work and build equity into the property. These have cash flowed tremendously so far. 1 duplex is getting about 300/door net cashflow! This strategy is a lot of work but it has been very successful. The 6 plex is a preform closure that doesn't need as much work but I was first to the table and the bank accepted.

@Brie Schmidt Very inspiring! Congrats. Do you remember your milestones at the end of each year such as how many properties/units you acquired owned at the end of each consecutive year? I am assuming it snowballed as you generated more income and could reinvest that buying more rapidly.

@Ray Mulli I use my local Realtor (MLS), loopnet (sorry) and Craigslist. For all other types of RE I use the same as previously mentioned but add in the common big RE websites (trulia, zillow, realtor).

@David Pendergraft what type of financing have you looked into? If you set up an LLC with your family for this property and purchased the property via the LLC with a commercial loan this should work. My conventional lenders will not let me own property under my LLC but I recently switched to commercial lenders and they have no problem with me purchasing property under my LLC.

I will be expanding and bringing on outside investors with this strategy. The commercial lender will/may still need tax returns, financial info, etc. from all members of the LLC. They lender can go to each individual discretely so all financial info is not shared with all members.

Terry Free how would you envision this game to work? I have thought about this too as their are stock market games but I have struggled to figure out to make this a dynamic game with risk and finding deals. Seems to cumbersome. Real estate already has some pretty good analysis spreadsheets with less variables as compared to the stock market. Thoughts? To me these spreadsheets are as good as they get to analyzing and learning the real game.

Robert Cornish without thinking about the risk, possible outcomes, scenarios or anything and I asked you "what do you want to do with your life?" How would you answer that? Whatever your answer is do that now. Now is the time in your life when you have the least to lose, go for whatever you want. If your answer is not to be a cartographer or a builder then do neither of those but plan on quitting anyway and pursue whatever it is that comes to your mind first when you answer the question.

Crystal Sipin no money down is tough. You may find one but they are rare, you just have to find the right seller, quickly build the relationship and ask for seller financing with no money down. I think it is even more difficult currently as the market is hot. Why would I seller finance for no money down when I could sell 100% now for top dollar or seller finance and still ask for 20%, selling is easy today. Keep looking for those and maybe you will find one. In the mean time start saving as much as you can anticipating paying a down payment. You mentioned that you have been studying for two years, have you been saving for REI for two years too? Another option with low money down would be buying a multi family to live in (house hack) this way you may get by with 3.5-5% down!

Maxwell Shipp the quick answer is that you are not missing anything and that you definitely will be building equity. It is the same as most people in the country who just buy and live in their one single family house. It costs them money to live there but are building equity. The reason that this is looked down upon by the real estate investor is that we are looking to make as much money as possible on our investments. That profit can help find the next investment. Why buy something that loses money per month or breaks even when there are plenty of properties that will make money each month? You and your brother could buy a 4 unit building and live for free while renting out the other units. This would be a better investment than the condo as it makes you monthly income plus you are building equity. It is all about the rate of return!

Carrie Giordano I grew up in a family owned well drilling biz in Minnesota. I do not know how deep the wells are in your area but 8k would sound about right for worst case scenario. The tank and fittings is easy but if they find the pump is bad then they will have to replace that which will be a couple grand more. Finally, in old wells the casing can be collapsing and the pump will get stuck when they are trying to replace it which then requires them to drill a new one. I'd recommend finding out how old the current well is buy finding who the well company is that drilled and serviced it. You could also cal your local state authority for drinking water and they will have records of the well too, ie department of health. This should give you a good idea on the risk.

@Jeremy Collins this sounds like it could be a good one! Do you know how long the current owner has owned or how much equity they have in the property? Odd that the other units are not rented if they have owned it for a while and still have a mortgage. I think that asking for owner financing is always worth a shot. Just make sure you figure how much you can still put down and what % interest will still work. Most owner financing works when their isn't a mortgage on the property but that doesn't me you can't ask.

If you can't make it work please let me know where this is at. I may be interested myself. Or if you have any ideas maybe we partner and I can help you out. Unless this property is on the East side of DSM....