All Forum Posts by: Micheal Waldrup

It's not from a TSP. It's just cash / relatively liquid savings. I won't be touching my IRA for investing right now. When I get more experience I may look into it though. Thanks for looking out!

 Great to hear! I'll be looking into contractors here shortly also. It's on my list in case a wholesale deal that comes across makes sense for me as a starter rehab. Thanks again! Hope you guys do great!

Thanks for the answers!

I don't mean to ask what should 'I' do so much as 'what would you do?'.  

I've certainly thought about the wholesaling start, I'm actively learning the many steps in that process as well as creating some basic systems to start. I've already chosen 3 zip codes in my area to farm and have begun looking into the lists in my area. I am also building a simple website for it as I reply here. Already in motion @Walt Payne as far as that goes.

Thanks @Mark Cruse for your service as well. I know first hand how difficult it can be. 

I'm currently comfortable with using $50k - $70k of my savings to invest for maximum cash flow. I have to add that caveat (cash flow) since I'm due to get out of the Navy here in 7 months. I'd love to not have to go back to Nuclear Power when I get out. I hope to only maintain a job for a year or so after discharge to move into real estate and investing full time. I'm already so passionate about it, my wife is tired of hearing about it!

My question: How would you use $50k - $70k to try to replace a normally $5k - $7k / month income? Is it even possible realistically?

I'd just like to get a feel for what others here think. I've been devouring the forums and all of it's resources since I joined (1 month ago i think). I'm open to any options, lending, SFRs, Flips, etc. I'd prefer to do it locally (Virginia Beach or northern NC), but that's not a must. 

Just getting a feel. I'm not looking for someone to point me in a direction. I'm perfectly capable of solving the problems on my own, just wondering where those of you with expertise in this would start. 

Hope I didn't come off as totally helpless. There's a certain amount of that feeling I get with every question I ask here.. haha. Thanks everyone! 

The special assessments they're referring to is an action taken by the HOA to ask for more money than the usual fees. Usually for things like upgrading the pool / clubhouse, adding tennis courts, etc.. The amount varies greatly but will always come straight out of your cash flow since it's so random when they occur for many. Using conservative numbers should usually cover it, but still annoying I'd bet.

 Looks like we were posting at the same time. 

Any tips here? I know of an area right now like this. I've already seen for example, a $35,000 home gain $6k in the last 6 months. Are we just talking standard market appreciation here, or something different?

 Wow Jay, all good info. If this is the case, how would you recommend these newer investors with money start out? I have no interest in TKs, but I do have money, and more and more of hearing all this makes me ever more nervous about it. The natural fear is fine, I can get through that and have before. 

Is the ONLY way to get started now sourcing properties from FM-FM-HUD or self-directed marketing campaigns? You painted a terribly grim picture there, or more likely, I made it worse in my own head. (typical) Where's the opportunity?

@Haider Zaman 

It depends on the specific contract you used, in typical wholesale cases you'd end up losing your deposit with the seller. Just all depends on what the contract you use says. Just looking in the BP filevault, there are 10 or more contract examples that could be used for wholesaling. Find a basic contract you like, and have an experienced investor and a lawyer take a look at it, make changes that match your goals and concerns before you use it. It's worth the money in the long run to have all of these sorts of questions answered by a professional. 

 So simple, and a step I haven't yet taken. I'll be setting this up tonight. Thanks for sharing!

 I'm familiar with stories like this. 

Sounds like the previous seller's agent was awful motivated to get out of the picture. Probably knowing that if an inspection was done the string would be pulled on how 'legal' the addition was. 

EDIT: In addition, I would assume if a permit were actually pulled that an inspection would've pointed out the unsat foundation issue.