All Forum Posts by: Ryan Hoover

@Scott Hanson

I agree with what others have said, if you wouldn’t have purchased this property to be an investment in the first place, don’t try to force it to fit the mold. Plus saving the capital gains is a huge benefit as well. Take your profits and reinvest.

@Joshua Martinez

1) Open a stock investment account today

2) Automate X amount of your check to go into that account every pay check

3) You are most likely not going to hit a home run on your first investment property. So do your homework, but more importantly, take a chance and buy that first property as soon as you can. The amount of knowledge you gain from that first deal will be priceless. You can only learn so much from reading and podcasts...

I typically put down 20-25% on conventional 30 year financing.  That seems to be working for myself and the pace I am trying to grow.  There is always opportunity for a cash-out refinance in the future if the property appreciates significantly or I complete a major renovation.

@Brian FitzGerald

Sounds like you may need to have a discussion with your current agent on why he is not sending you the properties that you are looking for.  That may be a tough discussion since it is a friend of yours.  If you are not getting what you need from the representation, I would encourage you to talk it through and if you don't get the response you are looking for find another agent.

@Brian FitzGerald

I would caution you about being so focused on the 3%.  The real question is wether or not your agent is providing you value and giving you access to the listings that you are trying to pursue.  If you find the listing through your agent, then try to reach out to the seller's agent directly, that is a poor move for your relationship.  That is the type of stuff that keeps competent Realtors from wanting to work with investors.  If your realtor helps you secure an investment property and get started on your real estate journey, 3% is a drop in the bucket.

Now if you find the property on your own, that is off market, by all means push the fact that the seller will save agent fees.  But make sure you are comfortable with handling all of the paperwork on your own with the title company.  I personally don't get excited when my friend reaches out and wants me to handle all the paperwork, pro bono!

Also you are correct on your presumption, that since the home is already listed through a Realtor in the MLS, the seller is already planning on paying that full commission. If the seller's agent handles all of the paperwork to walk you through the escrow process, they will most likely try to take the full commission or most of it. Negating the benefit that you were hoping to achieve.

@Ryan Heywood

I am a fan of the desert plants that need little to no water and require no trimming.  Cactus, Yucca's, Aloe's, and some succulents such as firesticks add a ton of color and will fill up a good amount of space over time.

@Hayden Hirzel

Either way you will be on the hook for the taxes. The benefit of the LLC is more as protection for your assets.

@Edwin Rajkumar

Congrats on beginning your real estate journey! I have never gotten my wife on board to house hack, but it’s a great strategy.

@Hayden Hirzel

In short, yes you or whoever is the owner of the LLC will still be accountable for any taxes that are owed on rental income. But in general real estate gets a significant amount of tax deductions that should significantly lower, if not negate all tax implications.

@Randy Trageton are you already maxed out at 10 rental properties? I was just curious if a portfolio lender is required? I do have an amazing lender in Phoenix who writes mortgages on non-commercial rental properties all day. He wrote the loans on all 6 of my properties.