All Forum Posts by: Jeffrey Holst

Definitely too late for 1031. Personally I'd reopen LLC and keep same name if possible. You already file taxes on that and you never know there will be a time where a business loan might make sense

@Jenna Crye Lacy has started a nice little meet up that might be worth watching for.  The first one was a great time.  

@Zachary Stoll @Chris Seveney is correct this isnt a great play.  You need to look for properties that at least meet the 1% rule which is to say the rents at the min need to be 2850 a month on this deal and even then its really tight.  I'd pass.  I know you say you want to get in and this deal is better than others (this may be true) but if you cant find good deals then getting into the market is a mistake.  Keep looking and find a great deal.  Also if you are confident you can pay off 75K in 2.5 years at 10% Thats paying  like 2700 a month.  Start banking that 2700 in a investing account now so while you look you are gaining cash for the down payment on the great deal you find. 

Sometime I buy 3 deals in a month and other times I dont buy for 6 months in a row.  You cant chase these deals if the numbers arent right then walk.  My best guess on your deal is you need to get it for less than 250K for it to make sense.  

I wish I could be more helpful but I dont really spend time worrying too much about those fees in my projections.  I wouldnt buy a break even cash flow property though.  

When we buy we know about what the closing costs etc will be but on deals of your size we would just assume a higher number for our projection ie 5K closing costs to buy and then usually just the 6-8% on the sale.  The key here though is if I had 50K to there is no way I would buy a house that breaks even.  Go find something that will give you at least a 12% cash on cash return which with 25% down leverage should be fairly easy, then you have an extra 6K a year to add in which will more than cover the fees you are worried about.  

@Chatree C.  Thats an impressive amount of searching to create this list.  Nicely done. 

Basically anything that sounds appealing.  Such as a lLarger earnest money deposit,  quicker close,  all cash

@Omar Khan  I plan to

@Philissa Gilliard welcome.  I started this post late January so there is precedence for starting late.  Great goals by the way. Last year I read 62 books about 40 of which were audible.  If you hit 120 like your goal suggests you will have killed me.  This year I am focusing my listening time on podcasts so I expect a much lower book count something like 20-30 total.  Good luck with the flipping and house hacking.  

Great update everyone keep them coming.

Welcome to Chattanooga I have been here 7 years now and we love it.  Maybe we will see you around sometime.  The Happy Hour meetup was fun you should definitely watch for the next one. 

@Omar Khan I might want to talk with you about that.  We are working on syndicating a 48 unit so a little below your target market but we are moving on up.