All Forum Posts by: Joe Villeneuve

@Richard C. It sounds like you've had bad experiences.  I find the difference between the sources you stated, and the ones I did, is the ability to think outside the box.  The standard educational resources you stated give great info, and many investors can be very good using only those resources.  I have found the additional methods and combination of methods found by my attending many gurus, seminars and mentorships has expanded my knowledge base and has allowed me to take advantage of many deals I never would have been able to do otherwise.

Having said all of that, I highly recommend all new, and experienced, investors start out with a lot of reading, and websites, and her local REI's to get a base.

Joe Villeneuve
REcapSystem
A2REIC

 Why not seminars and gurus...and mentors

JV

@Irina T. Seminars and gurus

JV

@Darron Stewart Best advice so far.

Joe Villeneuve
REcapSystem
A2REIC

@Ned Carey "A lousy deal in a great location is still a lousy deal. If you could buy a property with no money down, and it generated 100,000K a year in net positive cash flow would you really care where it was?"

The numbers don't lie, so never argue with them.  You'll lose every time.  Where the location becomes important is how that location dictates "the numbers".

JV

@Account Closed Here is the link to the article mentioned above.

http://www.biggerpockets.com/renewsblog/2014/04/01...

Joe Villeneuve
REcapSystems
A2REIC

@Ned Carey Correct.  This is where the importance of the market come in.  The investment market(s) you are in may not be the same for all deals. For instance I will invest in City #1 for all of my Flip deals, and city #2 for my holds.

If your local market won't work for you, go with another.  We have a lot of out-of-state investors flipping near them, then buying Hold Houses here in Michigan.

Joe Villeneuve
REcapSystems
A2REIC

@Account Closed SE Michigan...specifically Wayne County.  This is according to an article on BiggerPockets in the spring of this year rating this area #1 for investing in Hold/Rental properties.

Joe Villeneuve
REcapSystems
A2REIC

The key is the speed of money...and having a system that is both repeatable and self sustaining.  Here's mine applied to this $65,000:

1 - Buy/rehab 1st property.
2 - Rehab increases ARV, on property already bought under market value.
3 - Place tenant
4 - Refinance all of your cash back out (75% ARV/LTV here)
5 - Cash flow property
6 - Use funds from refi to buy/rehab next property.
7 - Repeat steps #1 - 6 until you can't get any more loans, then...
8 - Get a credit partner and split the returns with them
9 - Repeat steps #7 - 8 until you run out of Credit Partners
10 - After last refi, just keep the money...that you never actually spend, since no matter how hard you try, you keep getting it back at each refi.

Joe Villeneuve
REcapSystems

A2REIC 

@Larry Turowski @Jason Harmony "...using Private Money to do Joint Venture/Equity Partners deals. The Private Lender/investor puts up the money for the house and rehab and you rent it out. Both investors get 50% of the monthly rent and split the equity 50/50 at the end of the deal when the property is sold. Is this a feasable strategy to use?"

This is on of the entrance/exit strategies we successfully use all the time.  It requires the following "players" in order to work:

*    Cash Partner to buy/rehab the property. This can be substituted with any source of cash including a loan that is not tied to the property (non lian-able debt).

*    Active Partners

*    Credit Partner to refinance.

Example:
* A property cost $43k, including rehab the turned a 2 bed into a 3 bed, that after rehab increased the ARV to $60k.
*   Refi of 75% is acquired = $45,000
*   Refi pays back loan (+ minimal interest)
*   Cash flow including Rent, all expenses, Iinc. PM) = $450/month after refi
*   Partners split cash flow based on agreed %'s.

There are many variations of this, based on who the partners are, what their responsibilities are, and the particular property, but this works like a charm.  This strategy allows investors that have either cash, credit or knowledge to pair up with others that don't have all/one of those items to make deals happen that never would have been able to happen if the investor went it alone.

Joe Villeneuve
REcapSystems
A2REIC