All Forum Posts by: Account Closed
Account Closed has started 75 posts and replied 5714 times.
Post: Real Estate Trivia-What % of Realtors own investment property?
- Investor
- Central Valley, CA
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Originally posted by @Adam Bartomeo:
I meant to say because a lot of investors get their license
For sure that's skewing the stat. if you get together with any 100 realtors with their ad in the paper in my areas, there would be at most 10 that own rental property. And doubtful that 33% will even own their own home. The stats on age, years in the biz and income of realtors overall don't support 33% owning rental property. Let's not forget that the best minds of more than one generation are working in the RE spin biz.
Post: Can I be forced to accept Section 8?
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- Central Valley, CA
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Originally posted by @Jeff B.:
To accept Sec 8, the facility must apply, be inspected and have your lease meet Sec 8 criteria.
I don't like their lease, ergo never applied.
When asked, "do you accept Sec 8", I can honestly, sorry - - I'm not qualified".
I'm thinking you didn't read the entire thread. Can't say I blame you. However, there is relevant info and case law references that pretty much nullifies your solution in some states. In one case, it was found that the administrative burden to the landlord to apply and schedule inspections, etc. for the S8 program was not onerous for the LL and found for the tenant applicant. So, not "qualifying" by landlord choice is out in at least one state. IMO the month to month lease solution is next, and will eventually be found to be discriminatory towards S8 applicants. Plus there are tenant advocate testers everywhere now, reading and calling on ads, for the purpose of going after LLs who think they have figured out how to eliminate S8 applicants.
Post: Should I file for bankruptcy?
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- Central Valley, CA
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Originally posted by @Account Closed:
Thanks, @Ken Sauer! I'm actually less than two weeks into unemployment now. I just was scared that I may end up losing that and not having a job. Then being forced to file anyways. And I figured it would be best to do it sooner rather than later. I'm going to spend the weekend calling all my lien holders and trying to come up with better ideas than filing. I also from the beginning of this thread thought that $20,000 was a LOT of debt, but everyone's responses has made me feel a lot better about the situation.
To be clear: you are never forced to file BK. If you don't pay your creditors they will either write off the debt and/or get judgement liens. The worse that could happen is one of your creditors goes so far as to actually get a judgement and then garnish your wages (assuming you have a job). It's just not that big of a deal. BK is overrated for people in your situation.
Post: Should I file for bankruptcy?
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- Central Valley, CA
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Originally posted by @Account Closed:
@Account Closed, I'm not set on anything. I'd never purposefully leave other people without getting there money based on my poor financial decisions. I just think if mathematically I'm going in the hole $200 every month, I should maybe consider filing. For now, I could pay and work things out. But then college comes up and I'm in the hole. So I felt like it may be better to file now rather than later with the same result. And just save asFu much as I can now. If I can make it work without filing, I 100% guarantee I will!
Filing BK when you are capable of working and paying it off IS purposefully leaving other people without getting their money back. File BK or don't. Go to college or don't. Work full time or don't. But don't kid yourself or others that it's not strategic. There is nothing preventing you from paying off the debt in a year. Delay your enrollment to January 2017. Get a job or jobs paying a total of $15/hr. Done.
Again, I suggest you don't say you'd never purposefully leave your debts unpaid if you file BK. Ch 7 BK is quite purposeful.
Post: Diary - Buying a non-performing note NPN from start to finish
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- Central Valley, CA
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Originally posted by @Mark Gallagher:
*Update*
Note investing sure isn't glamorous and you won't see a TV show about it any time soon! At this point the defendant has not yet been served by the sheriff, and the sheriff is still attempting service.
In addition, the servicer could not find a working phone number through skip trace, and as such I have downgraded their service from high-touch collection, to standard servicing. This will save money since they can't perform any collection activities such as collection calls. They offered a door-knocking service, but then told me they could only door knock on the subject property and since this is an investment property, they could knock on his primary residence.
In summary, a lot of waiting.
Pretty much following through on paperwork and waiting. But hardly onerous in most cases. As I mentioned earlier in the thread I haven't yet found a way to scale up on finding such notes. But if I could I prefer it to rehabbing for the same profit. Thanks for the update.
Post: Need suggestions to creatively wholesale a deal
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- Central Valley, CA
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Does the buyer agree to the $100K purchase price and can pay the rest later? Or are they working you with an immediate cash offer?
Does the buyer really have cash? Have you seen proof of funds? If they are using lender or hard money funds, it means even if you agreed to carry back the $15K difference, you likely wouldn't be in first position.
If it were me, I'd tell the buyer no deal without the $100K. You'd be surprised what happens when you walk away and don't act like a motivated seller.
Post: Help! 100 year old house. Need advice. Lead, Asbestos, etc.
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- Central Valley, CA
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Originally posted by @Brandon Stevens:
Well if nothing else, it will be a learning experience! I second @K. Marie P. , given the questions your asking, I'd say it's imperative you get a good inspector and structural engineer to look at the house prior to doing anything. The paint quote won't help you much if the tree trunks its built on give way.
To scrape and re-paint that siding the right way is going to cost you an arm and a leg, likely cheaper to replace with a product color of your choice. I'd say from looking at the few photos you could hit 200k pretty easily.
I do like Jeffs idea about student housing if it's that close to a college, doubt you could zone into a multi family but possible frat or sorority house? Obviously things you'd have to know before beginning rehab, maybe the school would be interested in purchasing it for something?
GL what ever you do, it won't be easy, but hopefully rewarding.
The house is priced at $80K for a reason. Even if the house was free it might not be a deal. 3500 square feet in that age home is SO much surface area. The ceilings are higher, there are stairways and many architectural features to deal with. There may be a Hysterical Society or local muni regs that govern exterior rehab so that you can't just slap something over the existing siding.
I would love to do a house like that, but to end at a $350K ARV with all the money and time it would take doesn't look like an investment. More like an owner occupant sweat equity or vanity project.
Post: Does a gumball machine profit more than the average SFH rental?
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- Central Valley, CA
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Originally posted by @Jesse T.:
I think the vending machine analogy is a lot closer to SFH buy and hold investing than most would think at first.
Both businesses are going to be very dependent on location for profitability. Both businesses generally are going to have low(or no) margins if you completely out-source. I think with the vending machine route it is a little more obvious that it is both an investment and job.
The people I know who have vending businesses don't do the stocking or do maintenance on the machines. They have very part time help for that. They do the ordering, and manage the help. Not that different from managing the PM.
Post: Does a gumball machine profit more than the average SFH rental?
- Investor
- Central Valley, CA
- Posts 6,037
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Originally posted by @JD Martin:
Originally posted by @Kyle Grimm:
When I was 7-10 years old, I saved up and bought 2 machines off of eBay for about 200$. I put one at my dad's office in the lobby, and another at a camp ground. I like to say it's what influenced my love for passive income! It was a great learning experience keeping track of my profits as well as buying bulk candy offline.
Not sure if it's as good of an investment as a SFH but it's a great learning experience!
Wow, man that makes me feel old - "When I was 7-10 years old, I bought 2 machines off of Ebay". At that age for me we were still using rotary phones, there were a handful of over the air channels, no video game consoles, and certainly no internet! Now I'm competing for real estate with guys who made their first deals as kids on ebay! Crikee!
I know. I was that age in the 1970s. Back when mail order seed sales seemed like a franchise opportunity.
Post: Help! 100 year old house. Need advice. Lead, Asbestos, etc.
- Investor
- Central Valley, CA
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Originally posted by @Cameron Price:
I want to respond to all the questions, but its been a crazy day!
@Account Closed I walked all through the house. Besides one room upstairs that looked like you'd fall through if you stepped inside, it was really solid. That is where the one BAD leak is... but is that such a big deal? What are a couple new joists? I dont see why you couldn't replace the water damages ones. Its just wood :) flooring in that room is ruined. Not sure what woud have to happen there.
I went under the house. It has a dug out cellar with an access door from inside. Everything underneath looked solid as well. I was impressed with the integrity of the home, even after sitting for so long. It must have been built RIGHT.
I'm assuming you are not an inspector. "Looking solid" is not what you base the purchase of a major 3000+ square foot rehab on. Get your inspections and listen to what they have to say. Always take their estimates or ideas of cost with a grain of salt, that's not what most are good at. What they are good at is looking for damage and many are good at recognizing potential code issues. Best $500 you will ever spend.
The listing on that property is hilarious. It includes 3 black and white photos from the 1960s. Way to sell it!