All Forum Posts by: Nathanael Giovanni Opoulos

@Race Ostler

I've slowly been coming to this realization. In fact it's a world shattering paradigm shift. I've had trouble sleeping due to the fact that my mind is now rife with possibilities. I gained a new comprehension of equity on these very forums the other day and all the sudden the evil spectre of a mortgage wilted away into something more benign, even desirable as a tool to improve my situation.

I'd like to thank each of you 

@Joe Villeneuve 

@Sevy Bialke 

@Patrick Liska

@Pat L.

I learned something from each of your comments albeit in alternate ways. It has solidified my comprehension of equity rather well I feel. I think it has also minimized the reluctance I was experiencing over the last several years about getting a mortgage to buy a home. I just saw mountain of debt and a total interest around 60% of the value of a home over time. Not that appealing in such light.

I can't seem to figure out how to search the biggerpockets forums. If someone else had already covered this question elsewhere I was unable to locate it.

It had only been a few days since I began learning about real estate. I have a cursory understanding of equity. My comprehension amounts to this example.

120k home purchased. 100k loan + 20k down. Equity starts at 20k and increases as 100k loan is paid off.

I.e. Equity = appraisal amount - remaining mortgage balance

I'm trying to determine if this is correct, and If so, is the calculation based on remaining principal or does interest factor into the equation somehow. Also, when you make a sale say 5 years in, is the remaining interest on the mortgage dissolved?

Thanks,

Nathanael Giovanni Opoulos

@Brandon Kingcaid

Don't get me wrong, I intend to do my due diligence to find a deal that will net positive cash flow. However, if it comes down to it finding something that reduces negative cash flow will still be an improvement over the current state of affairs.

Cherie,

Thanks for the vote of confidence. When you say 2 homes on one lot that are considered a multi unit, do you mean 2 distinct buildings with separate floor plans and no shared walls? If so, how is that rationalized as a multi family unit? 

On another note if I pay over 1000 in rent every month, would I be getting a deal even if the new residence doesn't produce cash flow, as long as expenses don't exceed my current rent? Ex: new property has a negative cash flow of about 200 dollars but since I'm now saving 800 a month in rental expenses it's still a net increase, correct?

Who is this new person you ask? Well, I will endeavor to illuminate. Nathanael G. Opoulos or yours truly was born in West Jordan but moved to Sanpete county Ut at the tender age of three. Succeeding years led to the pursuit of many idle and trivial agendas until I met my sweetheart while working a summer job at Fish Lake Resorts. Having been so besotted, I found myself suddenly in the Ogden area due to the educational pursuits of said fair maiden. As of yet my own direction in life had not been firmly set and meandering from one poor job to another finally arrived at a startling epiphany. I had few if any marketable skills, or at the very least had no idea how to market the abilities which I did possess. This led to enrollment at OWATC which is easily ranked within the top five best decisions I've made in my life so far. After the acquisition of three machining certificates  and a profitable internship I find myself gainfully employed with Williams International, where my nights are filled with crafting parts for jet engines and missiles. It sounds more glorious than it is, but despite the monotony oft encountered, it remains fulfilling to be engaged in honest work that interests both the hands and mind. The lofty position of night shift machinist has allowed the elimination of outstanding debts and betwixt my wife and I, the accumulation of a modest savings.

Thus we come to the crux of the matter, my upbringing being such that I have been ingrained with a strong aversion to debt. The indigent state of my forebears directly caused by its awful spectre in their time. This being the case I have put off a mortgage and was intent on saving over the course of 7 years towards the ownership of a home, at which time I would re-evaluate my position. However, the concept of house hacking was recently brought to my attention. That, combined with the ever increasing burden of monthly rent has led me to Bigger Pockets. It is my purpose to educate myself circa real estate and to accrue the financial acumen needed to gain my own freedom from lucre. Perhaps, by so doing, I may be blessed to repay in some small measure my estimable Mother and Father, to whom I owe so much. 

In conclusion, my goals are as follows:

     1. Setup a successful house hack, thus freeing up the $1000+ currently locked into rent monthly

     2. Achieve financial freedom, starting at matching the income from our jobs.

     3. Provide for my parents and become the most dependable member of my family.

I'm afflicted with doubts here and there, but ultimately I know that I can achieve success. The doubts that I have can be resolved through proper education. I look forward to working with you and hope to pay it forward when the opportunity presents itself.

Sincerely,

Nathanael Giovanni Opoulos

P.S. I don't have a photo that I wouldn't be embarrassed to have represent me at this time. I am in the process of remedying that, in the meantime, know that I am of European descent and that the Irish/Scottish portion of my ancestry has manifested itself most prevalent. Although I'm no heartthrob I certainly have my own share of vanity. At least one girl didn't mind my looks. Since she said yes, I'd say we're doing just fine.