All Forum Posts by: Anthony Gayden

Ari Goldschneider I love reading about investing in expensive markets. Putting 1.6 million into a 4 plex seems odd to me, but I imagine that in your market, that is the biggest multi family you could get with that amount of money. Anyway good luck. I imagine this as more of an appreciation play than anything?

@Brandon Schlichter

I like a lot of what you are doing. Specifically, I like that even though you aren't going large multi-family, you are scaling up to a large number of units. I also like that you have your goals set on at least tripling that number.

I do strongly believe that you need to have employees. If you are the piece holding everything together, it could be a nightmare if you were to get sick or injured. Also I think it would give you time to expand.

Originally posted by @Matthew Fitzgerald:

We are new investors in California and our goal is to create cash flow to replace our w-2. We are looking out of state and we have a 20 unit property in escrow. It fell in our lap thanks to a great realtor. 500k with rents @10600. Meets the 2% rule so far so good. Also I have done a full work up on the numbers and they work. We should make roughly 150-175 per door not a slam dunk but not bad for our first deal. We are in talking with a lender and they seem to think we should fund (loan is with under writer as of today) here is my concern. We had found a PM group that we really liked and I have been communicating to them about this property. They seemed to be on board then suddenly got an email this week stating they will not be able to manage this property because of the location and possible tenants, section 8. I'm looking for a new PM. I don't want to be a slum lord. I'm fearful that we are biting off more then we can chew for our first property. Any thoughts

 I like that you started with a 20 unit, I would have done the same if I had the money at the time. Keep looking for a good property manager. There are those who specialize in lower income tenants and will be willing to take on the property. Where is it located?

@Ingrid J.

There was a lot of flooding here in certain places. The storm itself was powerful, and being from Kansas I have seen some very powerful storms, but what struck me was how long the storm lasted. That was the first time I had ever experienced a hurricane/tropical storm.

Wayland Willingham We are in a similar position. I own 4 properties in two different states and a total of ten units. I've been listening to and reading a lot of Grant Cardone's material and I have a desire to grow much larger. I've specifically been looking at 5+ unit multi family and was able to get pre approval from a local lender for a commercial loan. The terms are harder to make work than residential and it requires far more money down, but I believe it's worth it.

Originally posted by @Matt K.:

learn the credit card game... it's not that hard and can take you far. If you are smart enough to invest in real estate you can easily maximize your stays. Like househacking here it's travel hacking.

I have heard of travel hacking. It is an interesting concept, but it goes against some of my hard rules.

A few years back I got out of debt using Dave Ramsey's plan as he described in the Total Money Makeover. I got into RE investing after that and decided to break his rules. Since then I swore to only use credit to buy things that will make me money. My only debt is the mortgages on my properties.

I have very good credit, 800+, and I already have credit cards. I honestly don't like the idea of opening more accounts because of the negative effect it could have on my score which could make it more difficult to borrow to buy real estate.

The rewards are cool but not necessary and I see them just as an added bonus, not as something I should spend a lot of time and effort to earn.

Originally posted by @Tiffany S.:

Originally posted by @Anthony Gayden:

@Stephanie Lo

Your whole post reads like an episode of Judge Judy.

So you have these people living in a rat infested garage paying you $300 a month? Is this a serious post? That is some crazy stuff.

You need to seriously reconsider being in the landlord business.

 Mice were getting in through a vent. The issue has been resolved. She is "house hacking" essentially, a way a lot of REIs get into the business. Some constructive feedback to a newbie would have been appreciated. We all make mistakes. 

 She admits to multiple mouse infestations, tenants paying rent through a hole in the screen and living in a garage. The whole thread is about a tenant threatening to go to the media

If that is the kind of thing you want to talk about fine, but to me it should remain on Judge Judy.

Matt Katsaris I will definitely check it out. I'm also Gold on Hilton Honors. I have a lot of miles on airlines, but unfortunately I travel using so many different airlines that I don't get any rewards. I'm also not willing to sign up for any credit cards to get points.

@Stephanie Lo

Your whole post reads like an episode of Judge Judy.

So you have these people living in a rat infested garage paying you $300 a month? Is this a serious post? That is some crazy stuff.

You need to seriously reconsider being in the landlord business.

@Nick Stageberg

I know there are others here who remember the dot-com bust of 1999-2000.

The companies that have found a way to make money are great, but the ones who have been bleeding money since they were born are destined to fail unless something changes. Twitter and Uber are big names, but how much money do they actually make?