All Forum Posts by: Ryan ODonnell

No disrespect but you can't compare BP to Facebook in ANY way whatsoever. BP is a specialized website for Real Estate Investors/Professionals. Most people just come here and want to get something out of it right away and don't visit regularly if they don't. Facebook started about connecting (with EVERYONE) and then people started to realize they could use it for business, and even still that can be tricky.
This is a tough topic because there has to be value, but so many people want it free. IMO BP is as misunderstood as Facebook for business. You have to come, read, get involved in the conversation, and truly network. It's like a Guru program...many will buy, few will take action, and fewer will have what it takes to have lasting success.
I think it's pretty good the way it is. I agree that having people SEE that there's more going on if they are PRO, but that you don't just pay for PRO and all the sudden do deals either. Too cheap and you'll have the same stuff going on as now (but with more revenue perhaps) but too expensive and you may turn people off that feel they can contribute and have the right intentions, but have never done a deal as a result of BP yet (and maybe it's not about that for them).

=)

For that I can only point you to the forum on "over leveraging". I will point out that you can always leverage that asset later on. I am more of an advocate of leveraging that money to make more now, not cash flow. I'm getting a better understanding of your desires and intentions with it though.

There are smart ways to leverage your money and make it go further. I feel like you know some ways and have some smart people around you to help you do that. Your confidence isn't as high as it should be.

You're going to do fine.

I agree about the localized thing. It would be good to have access to something that gives PRO members the ability to network more or do deals that others don't have.
I think it's more a matter of access to other PRO members and what that means. Like with Match (just an example) you can see profiles but not all of the info and you can wink or something, but you can't actually get in touch with them via email or phone unless you pay. Real Estate Investing is always going to be a smaller community and range from tire kickers to full time. With all the people that give such good information in the forums, separating the access to them would give incentive to become a PRO. Especially if you can search PRO's in your area.
Then you could give an incentive to people who bring on PRO accounts in say, Chicago. =)
I think the point I'm making is to encourage more action and true relationship building than perusing. Then if they want to get in touch with someone, at least BP is benefiting for giving them that ability. Which leads to more money for BP which leads to even better website functions and options.

IMO

Thanks for being the type to pose the question. That in itself is awesome.

First of all the guy doesn't have 200k, he has 60k. If you want to do a flip Tom then you might have enough to cover yourself using a hard money lender/private lender to do the deal. Thinking that deals won't cost you much more in Cali vs. other states is just nonsense. Statistics show it's more costly and many more investors know it than will defend that it's not.
Scott gave the most well rounded advice. I agree as a newbie it may be harder to invest out-of-state because you have to do lots of research and even then you may not get what you thought. I live in Chicago and have owned up to 11 properties out-of-state. Some of the wealthiest people in real estate have bought where the demographics and such are good, not necessarily just cuz they "lived across the street" that's just silly.
I think the point we were trying to make is that you have the ability to buy outright in a great area with great management in ANY state in the country if that is what you want to do. IF THAT IS WHAT YOU WANT TO DO.

This is good advice. Your money will go farther in the midwest to produce a nice cashflow with that kind of money.
Buy right, have some reserves set aside (say 10k), put it in an LLC, and let your tenant pay for an expense you don't want to pay for with your hard earned money!
Or better yet, let it build up your LLC for a couple years so you can use it as leverage with the banks.

I might open a can of worms here, but I'm an advocate of cutting your losses when you can. In my opinion I would have done it 3 years ago. Can you rent #2 and cover the mortgage, expenses, etc.? Is that even worth the hassle to you?
The banks don't care about you, so why do people feel so compelled to "do the right thing"? It's a business decision, your business right now is retiring and you won't get it done dumping money into a lost cause. I see and hear this all the time.

my 2 cents...wish you the best.

I know these guys in Chicago and they have it down to a science. One of them even got people to go in on a Lamborghini as a marketing tool! It is impressive to see their pitch and how "scary" it seems to do real estate without buying their education first. It's the same as anything else...desperation is going to cost money. Especially since very few go on to do deals with any success. It's a numbers game.

Depends on what your definition of successful is.
For me it was finding the money, being educated, and pushing aside the FEAR!

I have noticed a little slowing. I think because the "tax credits" are finally showing the fact that they simply put off the inevitable continued decline. This now puts a little pressure on the banks to hold even more shadow inventory so the market doesn't tank even further. There's barely anyone (except people who "get it" and have money or qualify) out there who wants to touch real estate right now. Every market is different, but chime in if anyone thinks this is really that far off from what's happening.

It's an ok program for people with no clue where to start. The program can encourage you and give you some helpful ideas, but it's not something you should pay $800 for. Nothing can replace good old networking, reading (free), and experience.
I've pulled over 200 private mortgagee's from the county records. 50% of them are not actually private people. Of those, 50% were family lending to family. So you still have a long way to go to try to build a relationship with them because they may have no motivation to be a "lender". Personally, I think you should use your head, but don't let the SEC stuff scare you. You realize someone has to turn you in or sue you for you to get in trouble? If you're smart and building relationships the way you should, and doing what you say your going to do, then you should be fine. (that's going to be a very controversial statement)
I would put the $800 toward some good attorney time and getting your disclosures in order (more like 13k).