All Forum Posts by: Neil Goradia

I like using wholesalers that have a good reputation. There are those that will pad the deals more than others, but after a while you learn who is giving you the best deal. At the end of the day, if you know what a good deal is then you can offer what you want and just see what happens. Good luck.

I honestly think it's more important to find a PM that does what you want them to, the way you want them to, then try to reduce their fees. Just make sure they are somewhat standard or a little lower than average and then focus your energy on finding someone that is high quality. You will be happier in the end I think. If you're still in the stage where every dollar counts, then do the PM yourself until you decide it's the right time to move on. Good luck!

I may differ from most here but having achieved financial independence a bit early (at 34 years old) from real estate - I'll tell you being a millionaire by a certain age is not only unnecessary, but I feel it takes you in the wrong direction to live a happy life. Being motivated is still a good thing - just focus on the stuff that makes you happy now, not just stuff that may make you happier in the future. Google the story of "The Mexican Fisherman". It has redefined my entire life. Good luck.

A lot of investors steer clear of properties with HOA fees. I never have. I just look at the numbers of the deal, including any fees, and if its still a good deal, I buy it!

@David M. How much is it rented for? What are you looking to do with it - buy and hold or flip it? Have you made an offer or are you wondering what to offer? Do you know how much work is needed to get it into great condition? How are you planning on purchasing - do you have cash, financing, or are you strictly looking for seller financing? If seller financing has he suggested terms that would work for him, or does he want you to present him with the starting point? Sorry for all the questions, it'll help me figure out what I would do in this situation.

Unfortunately there's no way around paying taxes or depreciation recapture (that I know of) unless he can try doing a 1031 exchange and buy a different property with the proceeds.

Thanks to everyone who responded. I will PM you all shortly.

I think I will be at capacity for the time being but will report back if anything changes!

Depends on what you're trying to accomplish on your first deal. Are you looking to buy and hold, flip, wholesale, etc? In general, I'd join a REIA (Real Estate Investment Association) in your area and network there with everyone. Try to find a wholesaler in your area that can feed deals to you.

I've been living away for a while now and the key is to find someone really good while you do live there. There are so many bad PM's out there that say the right things during an interview but do not perform. Try to stick to the following;

1. Try to find one that has between 10 and 100 units. I feel like the ones that have 500- 1,000 units don't have time for you and don't perform well. 

2. Try to use one 6-8 months before you leave which will give you time to find another one if they don't work out before leaving. I had to go through 3 before I found one that did the things I wanted them to do for a reasonable price and had an online portal where I could check up on the status at anytime. I am very happy with the one I have now.

3. The key is to find one where labor charges are reasonable. Nothing kills your cashflow like ridiculously high rehab charges.

It can contribute to mosquitoes and overall tenant dissatisfaction with the property, but unless it is in your budget to fix I'd probably label it a bonus if you can do it versus a must-fix. I'd rent it out first and see how big of an issue it is before spending any money on it, unless you can do it yourself for minimal cost. 

For many (including myself) the goal should be to be like the Mexican Fisherman. No more, no less.

https://youtu.be/lVSpWnJ42_Y