All Forum Posts by: Richard Miller

Anyone have knowledge on construction loans? I think I have an idea of how they work, but not sure exactly what they would cover. I have been thinking of purchasing a lot, getting a construction loan and then selling the house or holding and renting if numbers make sense. In what order would I go in? Example: purchase lot, approved for construction loan, find a contractor.....

Thank you in advance for any advice.

Hello all!

I would like to know if anyone has done deals where you pay someone for experience. I would like to try some flipping, but do not have much experience. I figured my partner and I could pay someone a percentage of the profit. Then..what if there isn't any profit and we take a loss. Just a few things I've thought about. Just curious if anyone has done any deals like this, would like to know if you were the one with experience or money. What percentage is fair? Thanks in advance for any input or ideas. 

@Mike Dymski I will check out the section 121. I must educate myself on the capitol gains tax. I didn't even think about it until it was said on here. 

I will cash flow $600 dollars after taxes, hoa, mortgage, insurance are all paid. Tenant would pay electric and water. 

I have a little more than $100,000 in equity. The property is valued around 145,000. I am not too sure how much more the property will appreciate over the next 5 years. 

@Mitchell Jaworski Yes, that is what I am kind of worried about as far as finding something else. That sounds like a good plan as far as gaining experience and then selling. I am going to look into the capitol gains tax. I have been trying to actually get a HELOC, but I have been denied quite a few times, especially with everything going on. I may look into refinancing, I would like to be somewhat liquid in the next coming months so if something pops up I can jump on it.

@Kyle Funnell I am located in Broward County. I really like Martin County, I look in there a lot. I actually just moved into an older home and it was an absolute beast. Wasn't working with much, so I did a lot of the work myself along with some good guys I know. Even doing it that way, a lot of money went into making it nice and very basic. 

Taylor L.

Yes, I would like to scale and add more properties and manage a tenant. I would like to gain the experience.  That is were I am stuck. If I keep it, scaling may take longer than I would like. My goal is to get into multi family units. So, I was just figuring with the extra cash, I would be able to make some moves. Here in South Florida, I find it difficult to make anywhere near $600 cash flow, so that's kind of where I am at.

Thank you very much for your reply, much appreciated!  

Hope all is well with everyone!

Property is a condo.

So, long story short, I moved into another property without having to sell my previous =) My plan was initially to rent the condo out. If I rent it now, I will clear 600 monthly after all expenses. I do know some assessments will come down the line and cut into that 600. For some reason I cant get past the extra $600 a month. Also I'm sure there is some emotional attachment to the property as well. 

OR

I can sell the condo and will clear close to $100,000. But now I wont have the extra income. Although I will have money to invest, finding deals where I can clear $600 are difficult to find. 

With the extra $100,000 what are some ideas to invest?

Would just like some thoughts or different perspective based on your experiences. Much appreciated for your input. 

Thank you!

@Jaysen Medhurst Thank you for your reply and Thank you for the motivation. It was just a bit discouraging. Im getting on the phone now! This is for a personal property. At the moment I do not have much debt, but I am also not very liquid. so when the time comes, I feel it'll be difficult for me to make a move. 

@John Warren Yes, its for a primary residence, it's a condo so it seems a bit more difficult. I was approved for a HELOC but the discrepancy between the flood zone stopped it. Im going to keep trying though. Thank you!

@Jennifer T. Thank you for your reply! This is a owner occupied property. First time with a CU there was an issue with flood zoning. Long story and they wouldn't accept the LOMA I got from FEMA saying that my property is not in a flood zone based on new map. They had their own company that said I was. I was approved from HELOC that was the only thing that held it up. The second bank just flat out denied me because they never put my rental income into consideration, so my ratios were too high. The third bank said they were halting HELOC.

Hey Chris,

I wouldn't say I'm an expert, but I just kind of got into real estate as well. First step, I pretty much found a mortgage lender first and spoke to them to see what I was actually able to purchase. Once I got that info I just looked at properties like crazy online and on the MLS. Long story short, I just jumped into it and have been learning on the go. I guess I could have looked at more you tube video and read more books, but what the hell. What your doing is a great start, asking and talking to people.

As far as time goes, I teach at a local high school, coach and assistant AD. I also do real estate very part time. I'm sure youll be able to juggle your job and getting into real estate