All Forum Posts by: Account Closed

@Sang Yi Look on the bright side. If they have to sell, many Americans would kill to have your parent’s problem. Your parents are almost millionaires without ever trying to be.

@Bill Brandt 1.1 million is a 3 bed 1 bath 1,300 sq feet. They’d have to leave LA completely to find something under 500K that wasn’t in gang territory.

I have a love hate relationship with this state. I rant about the “libs” and the way the state is run. I rant about the prices, and the taxes. But at the end of the day I’m not going anywhere. There’s a reason this place is so expensive. Ever been surfing in 80 degree weather, and looked into the distance at snow capped mountains?

I can only give input on the markets i’m in. I have two properties. One in Indianapolis, and one in South Bend, Indiana. Indy is a very solid market with lots of projected growth. Unfortunately this makes it very competitive and is appreciating making deals harder to find. But if you can get something, I think it’s likely to continue appreciating. 

South Bend is a smaller city, and doesn’t have the economic outlook that Indy has. Population is projected to grow but very slowly. It’s not declining, but not really growing either. It’s strictly a cashflow play. Although prices have been rising because of the lack of supply caused by covid. But I don’t believe there’s much fundamentally that can sustain the growth. It’s less competitive, but still a sellers market for sure. Rental rates are comparable. 

Have you considered buying smaller 2 bedroom SFR's? This is what I like. Both of my properties are 2/1 sub 800 square feet. They are not as desirable, because most investors think they won't be attractive to tenants. But, I've found just the opposite. Some small families are in the market for a 2/1 apartment, because they're on a budget. Then when they see 2/1 house with a yard they're willing to pay a couple hundred more for it. It's never taken me longer than 3 weeks to find a tenant. If you're trying to get something under $70,000 in a solid neighborhood, a 2 bedroom will be more realistic. Also less square footage means less CAP EX. Cheaper to buy, and cheaper to maintain. I love small houses.

@Eli Webb The Great Lakes region (AKA Rust Belt) and the Deep South. $50,000 - $60,000 can be done, but if it’s not in a war zone it will go fast, and usually to a cash buyer.

This kid has a lot of drive but he’s itching for the fast money. He needs to pump the brakes. If he can save $1,000 a month than that’s the obvious answer to his problem. $1,000 a month means he can buy a single family rental in the Midwest in about 2 years. He knows what he needs to do but he’s thinking “there has to be a faster way.” There isn’t. Getting rich is just like losing losing weight. There’s only one thing that works, and it sucks.

@Michael Grigorashenko I sold a property in Seattle in 2018 because of “the crash.” Wish I hadn’t. Hindsight is 20/20. If you hold for the long term it will all come out in the wash.

2016 Kia Rio for me

2011 VW jetta for the wife

I generally enjoy maintaining the cars myself. Although the newer cars get the more out of my pay grade the repairs become. I’m seriously considering buying a classic car. No depreciation and super easy to fix. I’m thinking an early seventies Chevy C10 truck. I’d keep that thing running till the day I die. Even though I drive a Kia, I love nice cars, but I just can’t bring myself to buy one. A classic has the “cool” factor while still satisfying my obsession for personal finance.

@Avery Rustad

Universities serve the purpose of producing individuals with employable skill sets. They aren’t meant to teach people to become wealthy. Think about it. How many economics or finance professors are wealthy? How is it possible to have a doctorate degree in the subject of money itself, and not be rich? The reason is because that isn’t what college is for.

@Jessica Piff

Pen Fed Credit Union does HELOC on investment properties. I have one with them. That's the only bank I know of that does them.