All Forum Posts by: Scott Mac

You could have house inspector inspect it. Try to find one who specializes in Quads if you can. 

This will cost a bit, but you will be provided with a written report of the things they find wrong. Although don't expect them to find everything wrong because sometimes they do not.

In addition to this you should also walk all of the units.

Hey particular attention to the age of the roof, the number of roofs nailed down upon other roofs.

Pay particular attention to the sewer system. Having a sewer cam inspection might be a wise idea.

A particular attention to the electrical system. Is there enough capacity for each unit in modern times. As well as how old is the electrical system is.

Utilities Perry in space does each you didn't have a separate electrical meter, water meter, gas meter, furnace, AC system, water heater, or is there just one of each for all of the units. How old are these replacable units, are they at the end of their Service life.

Pay particular attention to who the renters are in place. Many people like to do a lease audit with estoppel certificates. Are any of the renters problem renters, such as drug dealers, or super annoying renters such as someone who plays loud music at full blast all day long - or hangs out Windows screaming at the neighbors - to the annoyance of the other renters you have.

That and many, many, many other things.

Good Luck!

Hi @Gino Barbaro ,

Here are some of my thoughts on the questions you asked:

1) Where Do You Think People Fail When Not Achieving Financial Freedom?

For some it is homelessness. I've seen some very big fish fail and some smaller players. Pledging your home and other assets to be able to increase your holdings, from what I've seen can lead to a very unpleasant situation.

2) ....why some people become financially free, while the majority of the population is living paycheck to paycheck

I've never met anyone who is financially free, that was not a trust fund baby. I think financial freedom is a misnomer in this business, like chasing a cloud in the sky.

The people I've known who have been successful in this business- successfully in their own terms of it, meaning owning a rental or two up to unbelievable wealth in real estate, all, all, all had a tight REIGN On their business (Notice I said business, and not investment- because to buy this business costs money, the money is invested in that you might be able to get that money back unless you lose the business to the bank or it is destroyed by your customers).

Where I am going with this is someone may trade a W2 wage slave job for a job of owning rental units to house people and their pets. Not lazing around in a deck chair all day and having checks just flow into your mailbox like they might with Dividends from owning a stock certificate.

3) I would love any feedback on what you think are the main forces holding people back from becoming financially free.

21% Of the population Is on government assistance- many in here like that and wish there were more because they benefit from the section 8 rental assistance program that these people use to be able to keep a roof over their heads. Many of those on it seem happy to remain on it cradle to grave generation after generation.

1% (approximately) are in prison or in the court system on their way to prison. the gray bar motel.

42% Are suffering from going through the divorce court system. Everyone is NOT treated fairly by the divorce courts. That has long term effects on many peoples financial situation. A big setback.

Many W2 jobs in the USA do not pay enough to support a family with one person working, or even with two persons working. Meaning the opportunity for good paying jobs in many areas is a very very slim. 

People in these areas do not have as much investable income, if any, compared to those who work in more affluent W2 positions. 

There are a lot of jobs in the USA, but there are not a lot of really good paying jobs to go around for everyone. 

Many people just get by paycheck to paycheck. These tend to be our renters Who do not get government assistance. Some of them will make it to a higher income bracket, probably most will not in any material manner. 15 cent an hour raises don't really make for much investment income.

It takes money to make money. Most people lack the money for a down payment, and their personality tells them if they do have some extra money spend it on a good time, beer, a vacation, new skis, a gift for junior, etc...

I appreciate your goal of trying to change the world for the better, that is also my goal on a daily basis.

I think rather than trying to fit a square peg into a round hole, and there are mostly square pegs, a better vector to set your jib to, might be trying to assist those who are round pegs in our industry rather than trying to get the square pegs to whittle themselves down.

I say this because the square peg thing to me might be like trying to find a needle in a haystack as far as scoring a touchdown with them.

Although as far as selling books goes, maybe more books would be sold with the square peg system and you would help out people who would normally not get helped out.

I wish Luck in your book sales, and may it make you even more wealthy than you are now.

Good Luck!

https://www.youtube.com/watch?v=5-Ur71ZnNVk

 Dallas MMA is huge.

I mean really huge.

It's bigger than Rhode Island and Connecticut combined.

It's bigger than New Jersey.

You might want to research the area a little more and narrow down a geographical region within Dallas.

You're asking a very granular question on an enormous amount of real estate space.

I wouldn't even know how many neighborhoods are in Dallas MMA, there must be tons and tons of them compared to other cities.

In some areas the roads are filled with Bentleys and Rolls Royces.

In other areas you have to post a guard on your car to keep someone from sliding underneath with a hack saw and cutting the catalytic converter off.

Good Luck!

https://www.nbcdfw.com/news/local/catalytic-converter-thieves-targeting-certain-vehicles-as-thefts-increase/3061977/

The contractor spaces I've seen over the years have always had a big 220 plug where they could plug in an arc welder or a big compressor. Running it through conduit lines.

Sometimes they have big table saws and other large equipment that runs on this big power plug system.

I suppose it would depend on the building code if that was offered or not, or had to be hard wired in.

If I were doing this, I would visit every contractor space for rent personally in my car Within so many miles of the intended project.

I would get out and talk to the contractors. Telling them what I intended to do- pre advertising, and ask them what they like about their space, and what they don't like about their space.

Don't expect to be talking to Prince Charles here with your responses, realized these guys work hard, some of them talk hard, and are not in the best of moods because they're sore or hungover.

Rather than asking non potential customers in here you can get a better result from potential customers, As well as tour of the competition.

While you are there, maybe take some pics, and make a written record of rental rates and what features they have for that price.

In a nutshell, become an expert on this specific investment in your local area and neighborhood, in order to try to reduce the risk of just guessing.

Good Luck!

Hi Steve,

Have you ever thought about a Japanese Shoji as a solution.

You could mix that with some Feng Shui for an Asia Decorating theme.

Steven Seagal would probably love it.

Good Luck!

https://en.wikipedia.org/wiki/Shoji

https://www.thespruce.com/easy-steps-to-feng-shui-living-room-1274493

Armchair Quarterback says It's always intelligent have your financing lined up before you go hunting for a deal.

That way you know what you can qualify for, And how you have to structure your cash reserves and personal net worth, etc...

Good Luck!

Maybe turn that red L into a straight line and put in a standard width door that opens in To the bedroom.

And close off the opening at the other end.

Some renters will have a cal king size bed. So watch your walking space all around an imaginary bed size. And figure out a place where someone could put a dresser at least one that's a tall boy type, although most renter type bedroom sets come with a long dresser with a mirror on top. See if there's a way to fit one of those in there also.

You will also have to be careful of minimum square footage per bedroom space permitted in your jurisdiction by building code, as well as minimum window size for egress purposes in case of a fire.

That would leave your living room open to the big windows without that awkward looking little L that the red line leaves in the living room.

Be careful of building codes, be careful of permit requirements and square footage requirements.

Also the overhead piping and duct work. You'll have to ensure it has adequate air flow with the door closed from the ductwork above and possibly the sprinkler piping which is probably dictated by building coded in your area. Careful of that also.

Before you commit to building it out of wood and wallboard you could always mock it up using cardboard boxes cut up into sheets with duct tape to hold them together.

That would give you an idea of the feel of both rooms.

If it were mine I would do a rounded corner on the new door edition.

Good Luck!

The rich get richer, and like George Carlen said--it's a great big club...

But given that....don't see the glass as half empty, instead see it as half full.

If you want to be a big fish (accredited investor) RISK your investment money in things you think will get you to that goal.

Plenty of people in here started out as small fish, and worked their way up to being whales. Some took a long time, some took a medium amount of time.

If you're a dead set on being a passive investor, it may take you longer than if you view it as a business and you are involved in it day to day but that's just a guess. I have no crystal ball.

Good Luck!

Can they legally take the profits from investment D and steer them into the investors of investment A??? 

I understand they are using a promissory note, But have you thought about getting some kind of legal opinion before getting involved with that option. To make sure the promissory note is legal in this instance and how it is set up.

You could always ask the Termador people what they think about that question.

Good Luck!