All Forum Posts by: Stephen J Davis

Good to see you moving forward. Reach out to your mortgage company and let them know you want to buy more property. They will tell you what you can do. Remember that you are allowed 10 FNMA loans before you have to move to portfolio loans.

Remember that the eviction laws only cover people that lost their job directly as a result of Covid and can prove it. I would go for the 12 month lease as always.

Be cautious with section 8 and don't put more than 20 or so % of your units on it as a rule. The guaranteed rent is not guaranteed. I had 42 units of section 8 and one month they only paid on about 28. Why? The tenants had damaged the properties and we had to repair everything they did before they would pay us. I do believe in section 8. It really helps single-moms and dads get on their feet.

We have syndicators in the Austin area that our members invest with. Also DFW, greater Houston and Galveston. Great deals all over the state.

If he is bringing the buyers to the deal, that is worth 50% but not for every deal you do. You should build your own buyers list by joining a local real estate investor club and keep all of the profit. I teach wholesaling for $500 and don't take any of your profit. 

Just tell them what you expect and let them know that they need to honor the contract which says the rent is due on the first.

What you are talking about is speculation not investing. Don't do the deal if it does not cash flow.

I would not get my license and would start wholesaling. A license only teaches you how to sell other people's real estate not how to invest. Take a course on real estate investing like ours and join a local real estate investor group to build your buyers list. Then start looking for deals. This is the path that I took and ended up invested in 4000 apartment units. You can do it too. Education in investing is the key. Raise your financial IQ.

Remember, if you have to carry a gun to collect your rents, you made a poor lifestyle decision and only did it because of greed. Plus, why are you investing out of state? This is the hardest way to invest. I have a 30 minute rule. I don't invest in anything that I manage that is more than 30 minutes from my home or main place of business. When people do this it is usually because of "the grass is greener on the other side of the fence" mistake. It is also because you are not an investor, you are a speculator. You think the prices will rise in the other area better than in yours. This is crystal balling it and not investing. It is flat out gambling. Be cautious.

Use your standard state contract to get control of the property. In TX that is the standard TREC contract. Texas Real Estate Commission. Then you sign a one page "assignment" contract with your buyer. I don't know if this will work in your state but here is a sample of one we use in TX. https://www.dropbox.com/s/okm2...