All Forum Posts by: Michael Glaspie

Absolutely personal preference. A paid off property allows greater cash flow, opportunities for higher HELOCs and allows you to finance more properties in your personal name. 

Financed homes allow for more leveraged initial investment (potentially higher ROI), and allows you to use any additional earned capital to invest in other assets.

No wrong answer. I would say start with the end in mind. What do you want to achieve through your portfolio and when do you want to achieve it by. That should lead you in the right direction

Adam just be sure you understand the refinance portion when it comes to commercial. Commercial value is dictated by its NOI and CAP Rate. So you have to purchase it underperforming and then increase performance and stabilize prior to refinancing. If you went conventional financing from the jump you could still do it, just ensure there are no prepayment penalties.

I would consider doing an owner financing at an appropriate market CAP rate based off of the financials provided. But call around to lender first to understand how long a property needs to be stabilized prior to them financing it at said value. I think it's a great strategy you're going in with I just wanted to make sure you weren't under the impression that SFR are valued in the same manner as commercial.

I agree with the comments. Attorney-client privilege is a thing. If they want an attorney they can hire one. You can inform them of such and keep all documentation of your notifications and communications with the tenant. You can also prep conversations with the attorney, sheriffs department, and any other party involved with an eviction process in case it extends that far. 

Now, that's a good post. Invest in college or mentorship. I've done both and I would tell you the speed in which the return on mentorship paid off was substantially greater than college. Most go to college and don't even secure jobs in their respective fields. OR, the go to school for 4 years to get a degree in a language......that they speak.....(no offense to anyone with language degrees). But if your intent is to scale a business, become financially free or independently wealthy I don't believe college is the right choice. 

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Fayetteville.

Purchase price: $215,000
Cash invested: $1,450

House Hacking a triplex while using the VA Loan to secure the property at 0% down. Negotiated for $3000 in closing and $8500 in repairs with both additional units occupied on closing.

What made you interested in investing in this type of deal?

Living mortgage free while acquiring an asset is the way to go. I will continue to use this strategy as long as the VA is around.

How did you find this deal and how did you negotiate it?

An off-market deal was brought to me by my amazing teammate. I was able to negotiate with no other competition.

How did you finance this deal?

I used the VA loan and negotiated for majority of the closing costs.

How did you add value to the deal?

I am house hacking. I also purchased it $10,000 below the appraised value. I will do interior renovations as the property appreciates over time.

What was the outcome?

A great deal! Rinse and Repeat

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Five Pillars Realty Group located in Fayetteville, NC has every piece of the puzzle for turnkey investing. Property management, attorneys, contractors, lenders, and the most amazing agents. I put my money where my mouth is (shameless plug)

Congratulations Brian. Many more to come!! Stay the course

Hey Zachary,

I am originally from Houston, Tx myself and still visit quite often. I love what you're trying to do and like to see if I could help. Feel free to review my profile and see if I would be someone you are interested in talking with. I have a few connections in Houston that I may be able to connect you with down the road once you start taking action. 

Johnathan, this is my EXACT INVESTING STRATEGY and we educate our military clients in the same manner. Absolutely using the VA is where it's at for acquiring properties that are completely leveraged. When looking at IRR you are realizing the money saved on tax, the principal pay down, the CoC and potential appreciation. Essentially you are only in $5,000, to begin with. That is the basis all of your returns are focused on. If you would like to talk more about how we educate our clients on the VA possibilities and how you can do this over and over again reach out to me and we can talk.

GREAT JOB!!! Action steps will get you in the right direction. No time is ever right and if you don't jump now then you will always make excuses. So, with that being said FHA into a small multi-family if possible. Duplex, tri-plex etc. Get that mortgage covered if possible. Put your hard earned money to work on that small debt and get moving on bigger investments. I love the mindset and I applaud it! Let me know if I can help in any way.

Awesome story