All Forum Posts by: Stone Jin

@Justin Windham and @Brian Eastman

Thank you so much for the feedback.  Last question, if I wanted to leverage and get a mortgage using the 401K, is there a limit to how many I can do?

We are looking to open a self directed 401K to invest in more real estate.  There has been lots of posts on BP about the benefits and how to set it up.  However, we are looking for information on what happens after you open a 401K.

Question1: Can the BRRR method be used with houses owned by the 401K

Question2: Is there anything different about buying insurance for the home?

Question3: Once the 401K account is opened with checkbook control, do you need to open a bank account?  Does someone typically just write a check from 401K to bank account to fund?

Question4: If a bank account is required, can a debit card be used.  I read somewhere that credit cards are prohibited.

Question5: If a bank is not required, is there a way to get a certified check from the 401K?  

Thanks in advance

Stone

@Engelo Rumora

Thanks mate for the heads up on PM.  I grew up in 43615 and am targeting a few specific neighborhoods.  Managing out of state is a concern for us, but I have boots on the ground so we'll see how it goes.  If it goes sour, I'll just sell the house to you. :)

LOL @Account Closed, I've been using a local realtor's site for MLS searches and received a call from one of the agents. So I asked him for rental comps for a specific house, and he suggested that he would look in the local paper to see what's all available. So yes, I'm aware I have to do the analysis myself but just looking for a realtor that is responsive and willing to work with an investor.

@Chelsea Ziss

I'm currently looking for someone to run sales and rental comps for properties I'm finding on MLS. Our target properties would be Multiplexes and SFH in B neighborhoods in Toledo. Looking for properties with a 12+ CAP.

I'm looking for a realtor that has experience working with investors.  Any help appreciated.

I believe the Maricopa market is still saturated, similar to the Queen Creek/San Tan market.  I doubt you will see much appreciation in the next few years.  You are almost better trading your house for something a little closer in town.  You will at least command a higher rent and more demand.  The rental market in Phoenix is on fire right now.  There are still lots of houses comparable in price to yours in c+/b- neighborhoods that would rent for 1100+ a month.

The appreciation for the Phoenix generally has slowed down, not like 2012-2014 anymore.

Best of luck,

Stone

Here is the language from my lease.  Best of luck.

INDEMNIFICATION. Management shall not be liable for any damage or injury to the Resident(s) or any other person, or to any property, occurring on the premises, or any part thereof, or in the common areas thereof, unless such damages is the proximate result of gross negligence or unlawful act of Management, its agency, or employees and Resident agrees to hold Management harmless from any and all claims for damages no matter how caused, except for injury or damages for which Management is legally responsible. Resident shall be responsible for obtaining fire, extended coverage and liability insurance with respect to the contents of the apartment and must provide proof of the same to management. Resident understands that Management’s insurance does not cover Resident’s belongings from losses not caused by Management’s negligence and Management encourages Resident to obtain an all-risk policy in addition to marking all valuables for “Operation Identification”.

Basically the title company won't record til the funds are received.  Once all the money is at title, then title will record and once it records you will get keys.  I won't want to hand over the keys to a house I'm selling unless it has recorded otherwise if you get hurt while I still legally owned the property....