All Forum Posts by: Julien Jeannot

@Mike Boss

Couple of thoughts:

- Duplexes behave much like single family residential units, the price will be set by comps and willing buyers as opposed to the performance of the property from an investment standpoint.

- Wether or not someone is willing to pay all cash is not something you can control.

- Listing too high will turn off buyers and it will sit on market, they are all keenly aware of property values given all the data out there. You'll have to reduce the price and in the end, the list high/ make me move pricing strategy nets sellers less due to buyer psychology.

- Sounds like you are looking to justify a higher value then what the property is worth in the market in order to break even.

- Regarding cash on cash return, take into account principal pay down as well as the tax benefits from depreciation for a complete analysis.

@Rahul Pasunuri

T-Square

 For professional with a demanding career, I would recommend:

- The multi family house hack

- Become the money partner

- Syndication & debt funds

@Harshraj Thakor

At your stage, I would recommend an excel spreadsheet or a Quicken.

My advise is not to overcomplicate things. Track the following:

- loan interest, Taxes

- Utilities

- Repair & maintenance: Plumbing, electrical, turnover, appliances, cleaning, ect.

- Capital expenses: roof, siding, large expenses, improvements, etc.

- Professional services: CPA, attorney etc.

- Property management

@Carol Hu

How much are the HOA dues without the special assessment?

Generally keeping the HOAs dues as low as possible is better for marketability and qualifying for loans. An extra $7k on a 30yr loan doesn't add much to monthly payments.

@James Wesley

Sounds like an interesting opportunity.

When it comes to partnership or a contractual relationship between two businesses, if you have not yet done so, consult an attorney who is savvy with that sort of thing. 

A few, but certainly inadequate list of things to consider: be clear of on role and responsibility, what happens in a variety of events:

- Divorce

- Bankruptcy

- Required capital injection

- Sale

- Ect...

On the compensation side of things. Equity tend to be more valuable upon the exit due to the sale price multiplier.

@Havan Surat

Lots of great information in prior post. Given your situation, it will be difficult to find a hard money lender to fund 100% without having any experience.

@Joseph Traskaski

Welcome!

I always recommend house hacking to my first time home buyers clients who are looking to get started in REI. in the meantime:

1. Educate Yourself:
   • Read books, articles, and blogs about real estate investing. There are many resources available that cover various aspects of the real estate market, investment strategies, and financing options.
   • Attend local real estate seminars, workshops, and networking events to learn from experienced investors.
2. Build a Strong Financial Foundation:
   • Focus on building good financial habits. Save money and establish a solid financial base.
   • Learn about budgeting, managing expenses, and the importance of saving for future investments.
3. Understand Different Investment Strategies:
   • Familiarize yourself with various real estate investment strategies, such as wholesaling, flipping, rental properties, and commercial real estate. Each strategy has its own risks and benefits.
4. Network and Build Relationships:
   • Connect with local real estate professionals, investors, and mentors. Attend real estate investment club meetings or join online forums to expand your network.
   • Building relationships with experienced individuals in the field can provide valuable insights and guidance.
5. Start Small:
   • Begin with smaller, more manageable investments. This could involve saving for a down payment on a property, partnering with others on a project, or exploring crowdfunding platforms.
6. Learn About Financing Options:
   • Understand the various financing options available for real estate investments. This includes traditional mortgages, private lenders, hard money loans, and creative financing methods.
7. Explore Real Estate Markets:
   • Research and analyze different real estate markets. Look for areas with potential for growth and positive cash flow.
   • Stay informed about local market trends and economic indicators that can impact real estate values.
8. Develop Analytical Skills:
   • Learn how to analyze real estate deals. This involves understanding property values, rental income potential, expenses, and overall return on investment (ROI).
9. Consider Real Estate Education Programs:
   • Some educational programs and courses are specifically designed for aspiring real estate investors. Consider enrolling in such programs to deepen your knowledge.
10. Seek Guidance from Professionals:
    • Consult with real estate agents, financial advisors, and legal professionals to gain a comprehensive understanding of the legal and financial aspects of real estate investing.

@Ryan Smith

Welcome!

A note on waiting to see if rates drop: nationally we have the lowest inventor on record, per my lender for ever 1% rate drop 1MM people will jump into the market to buy. Supply and demand dictates prices will raise accordingly. Run the math, with lower rates and higher purchase prices, your monthly payment will likely be large and require a bigger deposit.

@Jasmine Hicks

Sounds like you have a great foundation.

Mentors tend to be extremely busy and guard with their time as there are a sea of folks looking for mentors. I would recommend figuring out out how to position yourself as a person worth their time. Here is what I look for when I take on a mentee:

1. Enthusiasm and Eagerness to Learn: Show your mentor that you are genuinely passionate about investing and eager to learn. Demonstrate your commitment to understanding the intricacies of the financial markets and investment strategies.
2. Research and Preparation: Before reaching out to a potential mentor, do your homework. Research their background, the industry, and any specific areas of expertise they have. Come prepared with thoughtful questions to make the most of your time together.
3. Respect for their Time: Acknowledge and respect your mentor's time constraints. Be punctual for meetings, keep your discussions focused, and avoid overextending your requests for assistance.
4. Proactive Communication: Take the initiative to communicate regularly. Provide updates on your progress, share insights you've gained, and seek guidance on specific challenges. Proactive communication demonstrates your commitment and keeps the mentor informed about your journey.
5. Implement Advice: Act on the advice and guidance you receive. Show your mentor that their insights are valuable by incorporating them into your investment approach. Report back on your experiences applying their recommendations.
6. Networking Opportunities: If you come across relevant networking opportunities or industry events, share them with your mentor. This can be a way to reciprocate and contribute to their professional network.
7. Feedback and Reflection: Be open to feedback and willing to reflect on your experiences. Share your successes and failures, and discuss what you've learned from both. This kind of self-awareness can lead to more targeted and valuable guidance from your mentor.
8. Offer Your Skills: Assess your skills and strengths, and see if there's a way you can offer assistance or support to your mentor. It might be in areas such as technology, research, or even social media. Your unique skills could complement their expertise.
9. Long-Term Commitment: Demonstrate that you are committed to a long-term relationship. Mentorship is not a one-time event; it's an ongoing process. Show that you value the relationship and are willing to invest the time and effort needed for mutual growth.
10. Gratitude: Express gratitude for your mentor's time, insights, and guidance. A simple "thank you" can go a long way in fostering a positive and appreciative relationship.