All Forum Posts by: Pete T.

@Joel Owens as well

Hard to remember all those involved, but @Jon Holdman, @ben from ohio, Mr. Blank, are some of my favorites off the top of my head.

There is a lot of money spent keeping the beach as is. I am not overly worried about possibilities so far down the road. Something to watch, yes- stop me from investing in Va Bch, no.

Either way, that place is negative once you add in repairs/maint and vaccancy. I would sell and use the proceeds to find a better CF investment.

I wouldnt sweat a couple thousand to close the deal. How long has it been on the market and how low do you consider the apprasial? Just to make sure I understand, you agreed to 105k and it came back at 100k?

@Jon Holdman, great point. I was just going to mention once you start paying off the places, the CF jumps way up (that is what I originally thought Jon meant when he said snowballing- throwing money at one mortgage at a time to pay it off).

I would say it depends on where at - what discount per door your receiving MF, how much more you are getting in rent SFH, type of tenants you are dealing with, etc.

One big advantage starting out is buying a 2-4 and live in one of the units, allowing all of the advantages of OO and still acquiring rental units.

Cost to rent ratio is a huge factor in profitability. Ask anyone that owns in the Midwest and California (or the simple math). IMO cap rates exceeding 10 are good, but that obviously varies by region, type of neighborhood, and class of building. Growing was referring to the population, so I think that would be the opposite- supply depends on the individual area. I pretty sure you know a few people that are doing well in Florida-

As to comments about CF vs appreciation, while there are people who "made" millions in CA, there those all over that have done worse. None of those people realized that profit until they sold or refi AND if they would need to reinvest elsewhere to actually utilize the profit. While I think both are advantages to consider, CF is easier to plan for, more predictable, and receivable immediately. How many CF landlords have made millions? At 10k a month it doesn't take long.

It is just one of those annoying things. Lots of programs favor OO and first time buyers.

The numbers will definitely work, just beware of the maintenance costs w/ combo of old building and converted SFH- usually some issues. Is the property conforming?