All Forum Posts by: Paul Pratt

I live in Daytona Beach, I will say this is depending on your budget. Some condos on beachside are just as much as full 3/2 houses that are zoned for STR. Plus no maintenance fees which is a huge bonus. If your budget permits I highly recommend a SFR zoned correctly than a condo!

If you're not pursuing Real Estate Sales I don't think there's a purpose to do it. You can meet tons of Realtors by stopping by open houses, giving presentations and setting up coffee meetings. I'd focus on being the best local lender you can be, and you'll get tons of referrals. Make the deals go smoothly, and have your pre-approval be a stamp equivalent to a clear to close and you will crush it.

Nobody in here mentioned one of the biggest problems for insurance yet. If you've seen the "FREE NEW ROOF" signs or people knocking on your door promising you a free new roof. This Is a major issue and why many insurers can't stick around. The roofing company submits a claim with the insurance company, and then threatens a lawsuit if the company challenges the overpriced roof costs submitted. So yeah, If you're working in insurance you are pinholed to replace a roof. But then you have to increase premiums so homeowners are still screwed.

If it were as simple as just finding a property near 1% and pulling the trigger, everyone we know would be an investor. So many other things that are more important I think are overlooked. The cash-flow will come with time!

1. How is the condition of the property? If it cash flows but you need a new roof,HVAC, Plumbing and electrical work in first couple years is it worth it?

2. AREA? Is it up and coming? If it is, then those returns you're worried about will show up with time.

3. Insurance? Lookup these costs right away (especially in the Florida market) make or break if you're in a flood zone or on beachside.

In Florida there is a bond program that pays up to 10k of downpayment/closing costs. 

Also, there is the FL Hometown Heroes Program. Gives better rates and down payment assistance to law enforcement officers, firefighters, educators, healthcare professionals, childcare employees, and active military or veterans.

I'm actually surprised how many buyers I work with who are unaware of these options!

I disagree, I don't think BP has a liability to educate people. An investor must do their own due diligence and educate themselves. Anyone who has done an ounce of research or used a free cash-flow calculator will see almost every deal will be negative in this market or at best a couple hundred bucks. 

BP is showing anomalies in their posts because that's what people want to see. The story about someone who over the course of 20 years made sound investments, just doesn't draw attention.

At the end of the day, this industry is similar to almost every other one out there. You get out what you put in and for some they may get there faster. Others, no matter what they do, never will. Nothing is an equal playing field.

@Matthew Morrow Yep I'm in Daytona Beach so it's not South Florida. Miami is about 4 hours south. Our market has been great because it's less crowded yet still amazing beach access. And I agree so far the forums are solid!

Hey Everyone,

Just joined in a few days ago. My name is Paul Pratt and I'm a Realtor/Investor living in Daytona Beach Florida. Here to help answer questions and do some investor friendly due diligence for those considering expanding their portfolio to Central Florida. The forums so far are great and I can't wait to grow with all of you.

Cheers,

Paul

Depends on rehab cost. If it's low they could rent it out and snag another property. But if it's high they may need to flip it if they need the cash for another project. 

Can't go wrong either way to be honest. Overtime, the fully renovated ones will cash-flow better. However, so will the ones that need updating. It sounds like your main concern is having the time/money/experience to fix it up? If so meet some good local contractors!