All Forum Posts by: Ryan E.

@Justin S. to BRRRR your house you need to know the current value. What would it appraised for? Can you have a realtor run comps for you? How much equity do you truly have in the property?

I would also recommend finding out what your house would rent for. It’s not going to do you much good if you pull a bunch of equity out and increase your payment (likely with a higher interest rate) and the paymentand expenses are higher than what you’d receive for rent. 

Personally, I'd look into the HELOC route if I was you. This way you get to keep what I'm assuming is a lower interest rate. If you have enough equity you can use the HELOC to BRRRR future deals and just pay off the HELOC each time you complete a refi.

Mindy Jensen I can’t help but notice Josh’s absence and how he talked about his daughter having something serious come up a few episodes back. I hope everything is working out with him and his family!

@Victor S. is there a big increase in oil prices predicted? Everything I read is that there’s supply concerns and OPEC may not renew their deal of lowering production. 

@Andrew Johnson it’s funny you say that because I’m oddly fascinated as well. I always click on the MI threads. Just today I was thinking about calling Morris and acting like I hadn’t read any of this just to see what his pitch is and how he responds to concerns. 

Originally posted by @Andrew Johnson:

Ryan E. For what it’s worth, I think VERY few new people really do search on the forums. When someone does and asks a follow-up (reinvigorating the thread) it’s almost a license for the other new people to jump in with a question. For heavy users of the site like Jay Hinrichs you just see it over and over again. And he’s right in that it wouldn’t surprise me if the “Jacksonville rep” says “don’t listen to those Indy stories, it’s a completely different market”. So, naturally, those people then come on forums to ask about Jacksonville. I mean, half the ecosystem here has no clue that commercial debt is different than the loan they use for their own home!

I’d also argue it’s actually a healthy thing for BP as a platform. The last thing you want is new people afraid to ask questions. Then then threads die, newbies are reluctant to search, and newbies end up uninformed.

 I agree it’s a great thing for people to ask questions. I’m actually blown away at how great BP is in general...people come on all the time and ask the same questions over and over every day but the good people of BP patiently answer those same questions all the time. All it would take is a quick search and you’d have reading material for days. As it relates to MI you can’t be dishonest in one market and honest in another. When it comes to out of state investing I think and really believe that its really about your “team” on the ground vs the market itself. If you are working with honest, good people you can make money in probably just about any market....even those pesky high tax, landlord unfriendly states. 

What boggles my mind is that there are still people here on BP, with all this information at their finger tips, still considering this company. About a year ago my good friend listened to the podcast with Clayton and was interested. I said, hey man, go check out these threads on BP and that was the end of that! 

When I’m looking into an out of state operation part of my vetting process is searching on BP as well as reading most, if not all, of the posts the owner/member of the company has made on BP. It has helped me to be able to get a better feel for that person and their company. 

@Matt K. I CANNOT believe people are still considering this company. I keep seeing this pop up in the forums and if people would do an ounce of searching on this forum they would see nothing but red flag after red flag. 

@Brie Schmidt that's terrible about your dog but that's really a fantastic analogy. I didn't go through 08 as an investor so it's probably highly hipocritcal of me to give opinions like the one above. I see a lot of posts and hear on podcasts from people who did live through it as investors and they clearly learned a lesson they will never forget and consequently they are successful today. You are totally right though, even though I feel that I am cautious I just can't have the same level of caution and fear that others who lived through 08 have.

@Brie Schmidt @Russell Brazil @Matt R. I'd be curious to see what you and anyone else thinks about a really good interview I heard on Brett Snodgrass' podcast. He had on Neal Bawa who is a syndicator and a tech guy. He said: "Both the US economy and the world economy are recovering...we are in an environment where our economy is very strongly affected by what happens outside so in the last two or three years the US economy has been doing well but it has been held back by lack of growth in the Eurozone, Japan, and to some extent in Asia except for China and India. That is changing now. So in 2018 every single economic body that I know of is raising their forecast of growth. Whether that has to do with Mr. Trump's tax plan or not I do not know. All I know is the net effect is that growth is accelerating, right? So that's good news because when growth is accelerating at the beginning of the year the chances of a recession in that year are practically zero, historically...so that's the good news, you are going to be in a good environment for the next 12 months and possibly longer because of a worldwide recovery that's happening, this is the real recovery that's happening now after 2008. One of the reasons I call this recovery real is because actual inflation is happening. The last 5, 6 years we've said we are recovering but where's the inflation? In a recovery there should be inflation. This year we are finally beginning to see inflation in wages and it's not just a US phenomenon, it's happening in other countries as well." 

He caveats the growth with some black swan event, of course. There seems to be a lot to unwrap there and I haven't done any kind of independent research to verify if every ecomic body out there is raising their forecast of growth or not. Regardless, he raises a lot of interesting points about the world economy and inflation. If it's true that most of the world is starting to recover it seems hard to believe that we will experience a recession soon. I also agree with Russell that 2008 was once in a lifetime. It sort of drives me crazy when so many people on BP talk about the next "crash" like it's a given that it's going to be another 08. They seem to be suffering from recency bias. What is probably more likely is another recession that won't be nearly as bad. 

Dawn Oree I don’t think you’ll get too many replies in favor of joining this program or any other guru type program. BP was created specifically to provide free REI education. BP and most of the members are basically anti “guru” for the most part. I firmly believe that most can get much MORE out of Bigger Pockets and the BP community than the majority of paid “programs” if the individual is willing to put in the time to read, study, listen, and network. I really think that $20k would be much better spent on whatever kind of deal you are interested in and getting an education from an actual deal and then moving forward. Whatever you decide, good luck!!

Steve Vaughan I love your posts! Always awesome info. I always take note when I see your name. Are you from ID? My whole family loves in SE Idaho.