All Forum Posts by: Josh Caldwell

There are two main ways to scale quickly. The first is to use other people's money which requires some negotiation and sales skills all by itself. The more technically difficult way is to learn how to negotiate creative finance deals.  The first way is much easier but it involves more risk on your part, and the part of the people who are lending you money. The second requires a LOT of learning and effort to perfect your craft. 

I got super lucky. She was the first person that I called. She ran the local REIA club and had been an investor for decades. She knew just about everything that I wanted to learn, and when I hit an area that she didnt know, she was nice enough to connect me to others who were expert in those areas. Her assistance meant so much to me that I took over that REIA club when she died and I still run it 9 years later.

My experience is far from typical. Your best bet is to read the forums and when you see someone who sounds like they know what they are talking about, ask them if they mentor, if that is a YES, then interrogate them about their expertise and ability to teach. 

The properties that you buy now will appreciate and give you tax advantages that sitting on that money wont do for you. There is an  old saying in real estate, "a quick nickel is better than a slow dime every time"  

I dont lend in NC so I cant help you with that part, but why not just get a hard money loan and refi out once you have the property all fixed up nice and pretty?  That is pretty simple. 

Rather than a specific number, the minimum you NEED to profit on a flip is 30% of the after repaired value. Now your question about this being a binary choice between a flip and a rental is a bit more complicated than that. The first part deals with finance. How fast do you need your money back?  The second part is personality, do you like flipping or being a landlord more?  You can become wealthy either way. For me, it made sense to flip and wholesale to build up cash. With that cash I bought my rentals without mortgages. I hope that helps 

Yes, you can literally have your attorney add that language to the contract and hold the money for you. You want to make sure that it is YOUR attorney and not the sellers. 

There is no need to make this so complicated. How about you offer the seller their asking price paid as X per month over Y months with a 5 year balloon and 25k down. No need to collateralize beyond that, the building is the collateral. Better yet, your friend is making improvements to the building with will benefit the seller if he defaults. You can sweeten the deal by offering a pre-signed quit claim deed to be held in escrow by a lawyer, so that the owner wont have to foreclose if the buyer fails to make his payments. 

I have a question for you, what is your goal. I have dealt with a lot of foreign investors over the year, and they generally are looking for a hedge against currency fluctuations or a long term income stream.  So what are you searching for in the US market?  

Don't tell the tenants that you own the building.  You are just a manager taking direction from the owners. That will save you a LOT of headaches. 

yes, Kris Anthou of South Hills Settlements in the Pittsburgh area.