All Forum Posts by: Tchaka Owen

@Justin Siddall - what exactly do you intend to get out of the brokerage? That and commission structure should be the top two factors. On a lower level are others such as 'brick & mortar'....do you feel you need an office? 

My brokerage is fantastic for what I need (my focus is on REI, though I do sales as well), however that's based on my needs. Figure out what you need and the decision becomes easier. Good luck!

Totally understandable, Neal! That said, make that leap. House-hacking is often a recommended 1st step. And think about it this way....if you're the sole occupant, it will suck to make that payment, but you'll manage. That's worst case. There's no doubt you'll get roommates, be sure to do background check, etc. Before you know it, rents are paying for everything and with the money you save, you'll be on to your next property. Good luck!

@Neal Matta - help us understand the reason you're concerned about not finding single tenant roommates. There are many people who are not married...eg, most students, many young professionals, people divorced. They all need places to stay and many go for roommate setups. Is there something we're missing?

@Summer Cherry - keep in mind that this isn't quite apples to apples. In the first scenario, you have what appears to be a streamlined refinance that matches the 28.5 years you have remaining. That's a great comparison to your current situation. The second scenario is a full loan origination process (nothing wrong with that) and will likely cost you more - perhaps an extra $2k. The rate is a tad lower, BUT...your savings is partly because you're starting all over with a 30 year loan. If you calculate with paying at 28.5 years, you'll notice the savings to be approximately $48/month less. Is that bad? No. However, you owe it to yourself to do an apples to apples comparison. If low payment is all that matters, go with #2. That said, here's my opinion:

1. See if there's an option to go Conventional because mortgage insurance will drop off once you have enough equity. With an FHA, it's permanent. Like luggage.

2. Although you'll get a slightly lower rate with the 2nd scenario, I'd very likely go with the 1st simply because of the ease. You don't have to go through any headaches. On top of that, you're going to save about $2000 (if not more) over the 2nd so that monthly savings won't break even for nearly 4 years. $250/month is sweet as is. 

Good luck with whichever direction you go.

Do you think I have time to waste writing random comments? This isn't all about you. So start thinking big picture.

And if we were to make this about you (and focus only on 1031s instead of the entirety of the OP), all 90% won't stop doing business because the 1031 disappears.  

Two things:

1. You're making a comment that's clearly based on your political opinion as opposed to accuracy and given that my education is in politics, we can take this discussion off-line (BP isn't so hot on political discussions) and I'll gladly help you see things clearly. 

2. If you take the time to read the OP and my response, it is unlikely that tax changes will affect the majority of us. Others have chimed in as well. This isn't to say no one will be affected, but that most of us here won't. Market slowdown at this time is much more an issue of Covid-19 than of any potential policy of Biden.  

No, most of us have not. You're in a high-cost area (we know Marin) but that doesn't represent all of the country. And for those that it does represent, you're not stuck. Your ability to invest does not come to an end. If you feel it does, then sit back and hold off doing anything and hope that one day things change back - this of course assumes that Biden pursue ridding of1031s and is successful. For the majority of us, we either aren't going to be affected or we will not let it stop us from continuing to invest.  

@Lisa Thiessen - there's a reason you're seeing red flags.....now it's time to follow your gut. Let's look at this from a totally different angle: I'm an American who has traveled the world and live in the US, until coming across your post, I'd NEVER even heard of Weatherford, OK. Tell me, what does Weatherford have that would entice someone overseas to come back to? This isn't to cut on your town, it might be a lovely place. But it doesn't register here - and I have friends in OK, including a godson. If I was from the area, was overseas and returning, my correspondence would indicate so. If not but I had some reason to want to be there, my emails would say so. But unsolicited information from an American that you deem isn't even a native-English speaker and wants to live in Weatherford, OK.....is clearly a fake.   

@Ian Jaeger - congratulations!
Side thought....any way this could operate as a crash pad? Could the AirB&B model work with that? 

To the level that the vast majority of us operate, you will not see any real change. Biden (just one 'n') has a lot more on his plate than to worry about our segment of real estate. To be fair, I cannot think of any modern President who had a profound difference on real estate investing. So Capital Gains rate goes up a little or down a little or perhaps lending tightens or loosens a bit....so what? Will that make anyone say, "I'm never investing again!"? No. Keep doing what you're doing and don't sweat it.