All Forum Posts by: Jason R.

The most recent info:

http://www.reviewjournal.com/business/nevada-supre...

Plenty of unanswered questions remain.

There have been two significant decisions thus far in Nevada for these HOA foreclosure cases, one for each side, and so we still must wait to see how it plays out...

I highly recommend Aaron Nann with Realty Austin. Feel free to message me for his contact info.

He's helped me out on some investment transactions there and has done a terrific job. I've been a licensed Realtor in Vegas for over 10 years and worked with plenty of investors, so I do have some insights as to what I consider a worthy agent.

On a traditional rental, I think the ROI could come from a lower vacancy rate. I agree that it's unlikely for a tenant to pay more in rent, but if you have an added feature that cuts down their utility bills without any additional expense to them, it differentiates the rental and could help it rent out quicker (and potentially keep tenants there longer). This would be more likely if you have actual numbers of what the power bill looked like before and after the thermostat is installed. If the monthly savings don't appear significant, market how much tenants can save over the course of a year. Seems well worth a $15 investment.

@Nnabuenyi Anigbogu Congrats on your success and new marriage! I love hearing about the power of partners.

I agree with @Demetrius Gresham hopefully you'll be sharing your story on a future BP Podcast.

@Michael Williams One more thing to consider. You're comparing a compounded stock market return to a non-compounded REI return. If you want to make a better comparison, you should either factor out the compounding from the stock market calculation (and pretend the returns are used as income) or you should calculate the return on real estate if the cash flow and equity is reinvested. In your scenario, you're assuming that equity and cash flow are never reinvested, but that's not likely in the real world. Adding to what Nnabuenyi said, if you make it an apples to apples comparison, his ROI would dwarf the stock market ROI in your example.

Looking forward to it!

@Account Closed Yes a few people and I was able to meet with 2 while I was there. They didn't have the JV opportunities I was looking for, but I still enjoyed connecting and I know there's always that potential for future business. Feel free to send me a direct message about anything in particular.

It seems like every year there are multiple publications that put Henderson in America's top rankings for various reasons. Last month, 24/7 Wall St. published Henderson as the 33rd best city to live. 

http://247wallst.com/special-report/2015/11/05/ame...

In case you want to look at Henderson data on the variables included in this determination, the above link has some interactive info that isn't included below.

33. Henderson, Nevada

> Population: 277,458
> Median home value: $243,600
> Poverty rate: 9.7%
> Pct. with at least a bachelor’s degree: 31.6%
> Amenities per 100,000 residents: 239.0

A suburb of Las Vegas, Henderson is one of America’s best places to live. The median household income in Henderson is $62,592 a year, and when adjusted for the city’s low cost of living, it is about $600 higher. Low property tax also helps keep money in Henderson residents’ pockets. Residents pay just 0.74% of their home value in property taxes, one of the lowest rates in the country.

Nearly one-fourth of the city’s labor force works in the arts and entertainment industry, and three casinos are among the top five employers. Henderson is also a fairly safe place. Just 165 violent crimes were reported per 100,000 people last year, more than 200 fewer per 100,000 than in the rest of the country. Located in the Mojave Desert, Henderson has a hot desert climate and gets about a quarter inch of rain per month on average.

Welcome to BP @Michael C Gregory.

If you are wholesaling and have buyers, the only funds you should need are minimal amounts for earnest money. Finding the properties is what you should now focus almost all of your efforts on. In order to be successful at that, I absolutely recommend taking @Account Closed's advice. Since you're retired, you should be able to learn at a much quicker pace than most people and be on your way to making deals.

Great to hear you're not getting discouraged by the naysayers! Now's the time to rotate between educating and implementing what you learn.

Here are some thoughts to maybe help be more specific.

He could get multiple hard money loans to purchase several (maybe 6) properties in the next 3 months, and utilize his cash & credit for down payments, rehab, and holding costs. I imagine it's feasible that he could then find a portfolio lender that would allow him to refi all these properties into a commercial loan so he could get his cash back and repeat the process (assuming at least a few months seasoning). Will this new loan hurt or help him when he goes to repeat this process?

I guess one of the main issues is that I'm not sure of is how his ability to borrow will be affected by outstanding LOC, hard money, conventional, and portfolio loans. If he purchases 4 properties using hard money, will this inhibit his ability for other loans/credit? Should he get the biggest lines of credit possible before he starts any of this?

The main things I want to know is, when should he apply for additional credit/lines of credit, and what's the best way to go about doing this?

I have a client with the following:

$100k/year income

Excellent credit

$40k liquid cash

Minimal debt, great DTI

Combined equity in properties is ~$100k

He's looking to utilize the BRRRR strategy (Buy, Renovate, Rent, Refinance, Repeat) to build his REI portfolio and keep recycling his cash.

I'm trying to help him figure out the best strategy to leverage his resources so that he can build up his portfolio as quickly as possible. The reason I'm having trouble with this is because I don't know how many loans/lines of credit he'll be able to get once he has several properties, and how they'll affect his ability to get additional loans/LOC.

I would like to know the best way to play this out if anyone has some input.