All Forum Posts by: Nicholas L.

@James Hamling

i think this question has come up before, but here goes again.  i agree that the debt is unsustainable, i agree that something should be done about it, and i don't want 50% of the budget to go to interest payments every year.

with that said, though... is there a lightning strike once the debt to gdp ratio hits a certain number?  is it... 150, 175, 200?

@Corey Bogaski

is this your first deal ever, or just your first sub to deal?

i don't see how this makes any sense - putting 30K down, and overpaying for something, only to be in a long term, 3 way relationship (you, the seller and the bank?)  hard pass.

@MIchael McCUe

how volatile can what be?  i have a good amount in VNQ that I DCO'd into.  it's very volatile.  i don't know your whole situation and am not your financial advisor, so it's hard to be more specific.  but i stand by my original statement - would i put savings into something volatile?  no.  what if it goes down 40% by the time you're ready to buy?

@Ryan Duphorn

short answer - of course it is.  based on what you wrote, you're already way ahead of the game. 

you'll 'reap the benefit' as you'll be building equity in those properties no matter what you do next.

@Robert Smith

unless you're able to go to one of those markets in person, repeatedly, to build your team, i'd just invest locally.  there are so many forum posts from folks in HCOL areas that think they'll be successful solely because of the low price points in markets like those, and that can result in disaster.

hope this helps.

@MIchael McCUe

if you are saving up for a down payment i would not invest in something volatile, or illiquid

but let me know if i am missing something

@Justin Dalton

can you do a live in flip

@Kyler Wright

can you start with a house hack instead?

@Niranjan P Ghate

yes, trying to math your way to something is the wrong way to do it.  that will take you to an OOS market you don't know anything about, thousands of miles away, where you'll be sold a property that looks great on paper and then loses you money every month.

you need to pick a market that is a couple hours away, or in a market where you have family, or a place you'd like to live someday, and build a network there.  otherwise, you'll end up like these folks.

Sell at a loss or rent at a loss

https://www.biggerpockets.com/forums/963/topics/1195280-expe...

https://www.biggerpockets.com/forums/48/topics/1160450-run-i...

https://www.biggerpockets.com/forums/48/topics/1137397-balti...

https://www.biggerpockets.com/forums/52/topics/1010977-12-00...

@Jacob Cannon

-go to meetups and network in person.  if you have the time, drive up to the ones in northern Virginia.  some will be pitchfests, and some will not.  go to the pitchfests.  do not buy anything.  use them as a networking session to network for free with other attendees.

-house hack as many times in a row as you can stand.  imagine if you house hacked every 2 years for 10 years.  you could have 5-15 properties just by using your housing payment.

-start your own mastermind with other Jacob Cannons in Richmond.  form a househacking mastermind.  discuss househacking.  share tips on househacking.  encourage each other to househack.

good luck