All Forum Posts by: Jim Zatko

Originally posted by @Brandon Bohland:

@Jim Zatko Great question.  I'm a wholesaler in the Toledo market and have been buying homes that give my end buyers a 30%-50% profit (in one recent case a 100% profit).  These are all in good school districts (Anthony Wayne, Sylvania, Perrysburg, Maumee, Springfield), and in the better parts of Toledo. One option to consider to reduce risk is to do your numbers by planning to sell them doing a lease-option with 20% cash flow for 2 years, and a balloon profit of 30%-50% at the end.  

 So basically your suggestions buying a house, offering it as a land contract...Where someone would put some money down and then their lease payments would go the principal and some to me?

Originally posted by @Ryan Pyle:

@Joe Villeneuve that's what I do here with multifamilies. But before I made that suggestion to the OP I wanted to get his take on wanting to be a landlord. The comes that matter of capital preservation and making sure he buys in good areas that will hold their value. He could also do the same with commercial properties and do NNN leases with a lower return but a much more hands-off experience.

What is NNN Leases?

I built 2 homes for myself and sold for a profit after 2 years, ( to avoid capital gains). I am thinking about getting my home builders liscense. If I got that I would be able to spec build. So what do you do in real estate Ryan?

I would say my goal is for good returns, like flipping, or building a real estate buisness. Ie built 2 homes in south east Michigan, so I have a decent amount of experience and connections contracting work. Even though I work full time, I do have time to commit to a flip, I just wouldn't do all the work myself.

I have a question for some of you people that have long term success in REI. What angle would you start from if you were in my shoes? I work full time and I have about $72,000 cash on hand. I am near the Toledo, OH area. I have some experience with home rehabbing and home building. Homes in my area go for 10k-100k. Just curious if you ha I start all over again with my situation, what you would do.

I have a close friend who starting flipping houses in the Toledo OH area. He mentioned that he is trying to find investors that will finance his flipping projects, and receive a return on their cash. If I decide to invest in a flipping project, how much should I expect/ or request as return on my money. For instance, If I finance the purchase of the house and finance the whole remodel project, should i expect 50% of the profits.  I understand that the house would have to be in my name to protect myself, and check to make sure he has a track record of success.

Hey Gentleman, 

I walked through the twinplex last night, and I had some reservations. The tenants were the biggest concern. The both smoked in their units... They both only been in the units for only 2 months, and one of them is already moving out.  So my search continues. Thanks guys.

Hi Andrew, thanks for the feedback. I'm going to look at this house today So most of these questions will have answers. But since it has renters I assume it doesn't need too many repairs. I will also be asking the current landlord some information on the tenants. My Goal is to buy and hold along with extra cash flow. Thanks again.

Hi I'm new to BP. I've been involved in real estate for a few years, building our own house and selling it for a profit 2 years later. We did that twice, and we have a lot of equate saved. We opened a home equity line of credit for $74,000. It's good for 10 years and it's interest only. and the rate is 3%. Super cheap. So i'm looking to put my equity into good use buying a rental. I'm currently looking at buying a Twinplex that is already occupied. One unit is renting at $500 and the other at $400, so $900 total for rental income.. The list price is $65,000. I am considering offering around $60,000. Taxes are about $1,000 per year. Is this a no-brainer type deal? What word of caution would you give me? Thanks Guys (and ladies).

Jim