All Forum Posts by: Peter Skobic

@Anna Watkins Great point, thanks. What would be the best way to find that out? The only thing I can think of is a tax record search for that particular street. Is that how you do it? 

How do you guys put your property in an LLC? All of the lenders talk to say that I cannot put the title of the property in an LLC because that would make their loans non-sellable to third parties. One option is to go to a smaller bank that keeps their loans in-house and another option is to put it in my own name and then try to get the title company to quit claim it into my LLC... Is this the only way? Seems risky to give the bank the option to call the loan just because I switch the title to my LLC. Am I missing something?

@Account Closed I posted a response above, but for some reason the tag didn't go through the first time:) Thanks again!

Thanks, @JJ Pawlowski I think I will do the same. The only thing that concerns me a bit is that I think investors are more likely to bail when things go south. For example, in many Atlanta neighborhoods half of the homes are owned by out of state investors. During the crash, when everyone wanted to sell, some of the homes sat on the market for a long time and got vandalized in the meantime. All of a sudden, boarded up homes started popping up in that street killing the values for everyone else. I'm probably just thinking of an isolated case, so it's good to get perspective from a fellow investor!

@James Stevens Thanks for the response James!

Would you buy on streets that are predominantly owned by investors?

Keep in mind that Zillow and Trulia are both AVM's (automated valuation models) that use the limited data that is available to them to project possible values onto properties. They can play a part in your analysis, but I would never base a purchasing decision on a "zestimate"..

Pedro, I don't actually flip houses. I've only done hard money loans for people who flip. The best advice I could possibly give you is to start your brainstorming at J Scott's website: www.123flip.com  Along with his books, it is in my opinion the best resource out there on this topic. Best of luck and feel free to message me if you have any questions.

Thanks everyone for the replies!

@Joe Villeneuve your 1,2,3 rule is a great idea. I will try to implement the same in my deal analysis. Thanks for the perspective.

@Ben Leybovich  You are like a fail-safe mechanism for analyzing properties. The last line of defense before pulling the trigger. Thanks for all the info, both in the reply and in your podcasts!

Originally posted by @Account Closed:

@Riley F. 

I view appreciation as the icing on the cake. I don't factor it in because it will only ever be realized when I sell the property for more than I bought it.  

Wendy, I completely agree and do the same. I would like to add though that another potential benefit of appreciation for the long term buy and hold strategy is the possibility of doing a cash-out refi for the appreciated amount without having to sell the property. This in turn effectively reduces your cash out of pocket and instantly boosts ROI. Fingers crossed for appreciation! Wish there was a way to predict it.

Riley, thumbs up on the post that resulted in 221 replies!