All Forum Posts by: Jess White

@Jay Hinrichs Hi Jay. it seems like every time I see your name come up, you mention not buying cash flowing real estate. To say most people are better off buying REIT’s is silly. Theres nothing wrong with that thought, I just find it interesting that you really don’t like rentals. The majority of people on BP are here because they want, or are already Real Estate Investors in income producing Rental Property. These readers arent like the mindless masses. Funds and REIT’s to me are hardly different than stocks and don’t offer myself near the benefit. The “headache” of owning tangible income producing real estate is forgotten with the right systems in place. Never create yourself another job, create a fortune.

@Meryl McElwain Says the attorney, So I would take Meryl‘s advice. One of the most educational threads I’ve read in a while. This is what BP is all about.

@Shanese Francis Step 1.) Don’t listen to Robert Kiyosaki Step 2.) Don’t listen to Robert Kiyosaki Remember the mantra, “Even a broken clock is right twice a day.” If you get a thousand gorillas in a room to flip a coin ten times, chances are, there will be a few In that room that flip heads ten times in a row. Does this make them a genius? No. Just because one guru predicted a downturn or recession once, that doesn’t make them all knowing. Economy’s go up, and economies go down. Make your portfolio bullet proof and you will never have to worry about this kind of thing. Like many have said before, find a deal that works in any market. I think getting a deal for 30% under market value is a great rule of thumb, however, it can be challenging- but that’s what makes it a deal.

Anyone able to find a good, real estate focused CPA? I'm looking for a long term professional relationship with a CPA. I need them to understand real estate, legal structuring, cost segregation, depreciation, etc. I haven't had any luck finding one yet. Any recommendations are welcome, I want to know your experience, and maybe even advice on what I should look for. 

@Mike Reynolds That's great! I've been very impressed with them so far. Do you do single family new construction?

Investment Info:

Single-family residence buy & hold investment in Longview.

Purchase price: $165,000
Cash invested: $5,000

Almost completed New Construction single family rental. Will rent for 1,650. Its located in Hallsville, Texas.
(First deal) and many more to come!

What made you interested in investing in this type of deal?

New construction is something some of my family has done, and they were able to mentor me along the way. Which is a huge help. I'm also very familiar with this market, and this is the area I grew up in.

How did you find this deal and how did you negotiate it?

Got the house plan from a family member, bought the lot in a good subdivision close to local family there (boots on the ground).

How did you finance this deal?

New construction loan. The bank (credit union in this case) appraises the plan, based on all your estimates, including land, construction cost, and permitting. The give you up to 80% of appraised value. The goal is to build each house for less than 80% of the appraised value that the bank is willing to loan you. Reason be, you can virtually do all deals with very little, to no money down.

How did you add value to the deal?

I brought money to the deal, as well as the will to learn everything I can.

What was the outcome?

House will be completely finished by the end of march.

Lessons learned? Challenges?

Building can be challenging, but it is not near as hard or difficult as people make it seem. There can be tons of money in new construction. Its essentially a reverse BRRRR deal.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

East Texas Professional Credit Union. They did great, I'd highly recommend them. Builder's name is Bob White from 127 Builders. He's top notch. The bank was happy to lend money knowing that he was going to be the contractor. If you'd like more information regarding his work or information I'd be happy to share it, or give you references.

@Roger Roth Bay Area is down 10+ %

@Ryan Kurth I really like that idea. This is what I do, if you don’t like it you can go somewhere else.

@Mary Mitchell Love this, so smart. Thanks for the reply

@Bjorn Ahlblad Asset Fondling sounds like a crime.. Lol.