All Forum Posts by: Shaheen Pirouz

@Michael Plaks

You make some very good points. I would love to be at a point in my investing career where personal expenses were just a drop in the bucket, but unfortunately I am not there yet. My biggest monthly expenditure has been shelter, so my philosophy was to cut that down to zero and then put the now freed money into better investments.

@Michael Plaks

Thank you for the article, although I strongly disagree with your statement that house hacking is not investing. I will be going from spending $1300/mo on rent to netting $400/month profit. That's a $1700/month difference; where else do you get that much ROI?

I have a house hack that’s a main house with two guest houses. I’m living in one of the guest units and renting out the other two. My question is how do homestead exemptions, tax deductions for repairs, and depreciation (3k a year for rentals) work since it is considered single family but I’ll be renting part of it? Any tips and advice are also welcome since this will be my first house hack. Thanks in advance!

In TX by the way

If the property is on market, then a 5 day DD period is not unheard of, in fact it is usually longer in my experience (around ten days). If it a wholesale/off market deal then yes it is very rare that you will be given a due diligence or option period.

In my (limited) experience, with individual properties there is nothing that an LLC will provide you that a solid umbrella policy can't.

Sounds like a perfect sub-to deal. Either find an experienced sub-to buyer or take the deal yourself. If you have any questions about how sub-to deals work let me know  I would be glad to help.

Our buyers look for their all in cost to be 70-75% of ARV. So for example, if the the ARV is 200k and the property needs 40k in rehab, they would be looking to purchase at around 100k. In this scenario, we would look to get it under contract anywhere below 90k.

@Carlos Aquino

Yes earnest money is typically, but not always, non refundable on assignments and is used to lock the contract in place. I would definitely continue to educate yourself about the transaction aspect of things in and out because you will get taken advantage of in the wholesale world if you aren’t on your toes.

@Sage Balai

All title fees are paid by the end buyer you don’t need capital to open title at your company of choice

If you find out let me know ;)

Wholesaling is technically possible without any upfront money, but in order to scale in any meaningful fashion you will have to put some money into marketing and leadgen. Things like buying lists, cold calling systems, bandit signs, direct mail, PPC, etc are a necessary expenditure with wholesaling.