All Forum Posts by: Sarah R.

I co-own land with my brother , in Topanga ,CA - close to Malibu... which is an amazing location. 

It’s 2 decent sized lots, one is more likely to be buildable than the other.. which has a lot of oak trees. So it wouldn’t be fair for us each to get a lot.

I would love to  build a home , and keep it as a rental- or sell it. Right now it’s just sitting there acquiring junk. 

The issues I face currently are that my brother has basically turned the lots into a junk yard, and lives there too... he has no means to help finance the build, and would be displaced if we decide to do so... more than likely at my cost.

What would be fair to give to him from the rental income, or of the sale?... it would be my name on the loan and my risk. 

I’ve thought of buying him out, but I worry he wouldn’t reinvest and just blow through the cash- or worse he would later blame me for “taking” something from him and later profiting ruining our relationship .. and he’s unable to buy me out.

All thoughts and suggestions appreciated. 

Thank you! 

Hi all! 

Basically I am looking to take cash out from the homes I have that are paid off. The homes are all investment properties, that I have never lived in. 

I began investing in rental properties earlier this year in TN, using the cash from my first home flip in CA. 

I own 4 rental properties ,all of the properties are rented out, 3 with 2 year leases. 

I do not own the residence I personally live in. 

The rental properties are all owned free and clear, which is great, but now that leaves me with hundreds of thousands tied up in these homes.

I also only have tax returns for one year prior due to living out of the country and having not much to report about, hence me investing all cash in the first place. That wouldn't have been my first choice. 

I was very close to doing a non-recourse loan, with a 7.99% rate- but I feel like if I keep researching I can figure out a better way to finance and leverage ! 

Is refinancing an option? What about a HELOC ? Or a Home Equity Loan?

My goal is to continue swooping up investment properties, leveraged, with the best interest rates possible. 

Thanks for reading, and thanks in advance for any advice/ feedback/ questions! 

Sarah 

Originally posted by @Caleche Ryder:

@sarahrollins did you use a turnkey company in Memphis? I'm looking there also :) Any suggestions appreciated!

 Hi @caleche Ryder, 

Like I said, I am new and have all the investigating and researching to do, my Memphis property was purchased through Memphis Invest. They purchase ,renovate properties, sell them to investors and find renters for them in Memphis, Dallas, Houston and Little Rock.  So far I've loved working with them, they're very prompt and professional and have a whole team under one roof essentially! 

I'm kind of in a similar mindset, coincidentally also in California- Los Angeles County to be exact. Before you keep reading- I am here to learn and I am a complete NEWBIE. I recently purchased an investment property in Memphis, TN for $114,000. Currently it's rented out for $1050 a month, and I have residents in there for 2 years. I'm on the path to purchase 4 more this year. Yet, I don't own a home in CA. I own land in CA, but no home. Strange right? I agree. If I buy a $600,000 home here, I would be lucky to rent it out at $3,000 a month - and let's not forget our high tax! Not to mention, if that one home isn't rented out , all my eggs are in that basket! If I spend $600,000 on homes elsewhere ( be sure to research your markets; low tax, renter vs owner laws etc.) I could easily purchase 4 properties , and take about $1000 per property for rent (-+) so looking at $4,000+ in rental income ( not including HOI, tax , management etc.) and if someone moves out , it doesn't sting as bad, because I'll (hopefully) have the others rented out! I don't think you're crazy, HOWEVER, if you're young- you aiming to be financially free AND continue to work while you can ,further building your nest egg or saving for potential disasters with the multiple properties you own ( new roof? Pipe burst?) Having the cash flow in addition to what you make at work is pretty great! And having a steady job is great for potential leveraging! I guess we need more opinions in this thread! Because I'm sitting in the crazy boat with you!