All Forum Posts by: Kendall T.

I think while the housing may continue up for a while, when interest Rates go up, that prices will fall.

lol, that is great

Taking the plunge and buying the first one

@Joe Villeneuve I would venture to say it partially depends in a investors risk level, skill and personal aggression and ambition. I guess I didn't understand your question in if you are referring to buying with leverage now or after interest rates are hiked up. Any investor should use extreme caution with interest only payments, as basically they are betting on appreciation and a falling market would hurt that plan. Also a investor should avoid ARM (adjustable rate mortgages) as they could very easily lose their investment when the interest rate spikes up. Current house prices are supported by debt and people being able to get a loan. When their ability to take out a loan is take away from millions of homeowner, this shrinks the buying pool, leaving sellers to have to lower prices just to sell( think the 1980s when interest rates were sky high, and real estate investing is not even as profitable, as you could just park money in the bank and make money off interest). So basically there are some suppressed areas where prices can fall so low that that a bank will not even want to do a loan for it because the loan amount will not be enough to make it worth their while. This is a golden opportunity to cash buyers who can then snap them up, rent or sell owner finance. For instance I purchased a cbs house that needed work for 12500. It needed work so there was no way a bank is going to make a loan on this small amount of money for a fixerupper. This house was a blessing, now i have approx 19k in it, and i got on average around 600 per month rent. This is where Cash is king. It allows for extreme deals quickly.

Thats awesome!

When the rates go up, then home prices will fall.  Many People buy based on the monthly payment they can afford.  So when the interest rate goes up, this means prices  will have to fall.  This is another reason to buy homes debt free.  People who have cash should want the interest rates to skyrocket, then they can scoop up homes on the cheap.

I knocked 225 off their rent on December.

A game camera that is motion activated and can see in the dark would be around 100.00-200.00.  Just make sure to get one that has high megapixel so you get good detail

Bouncing a check is fraud, this person could go to jail.  You could go ahead and file a police report, or first it may be easier to go to their bank and ask if there is enough money in the account before you cash it.  If there isn't you should just go ahead and file a police report.  

I love all cash, I own all my properties all cash no mortgage.  It is a really great feeling.  It also gives you the ability to be more picky when choosing a tenant, as you are not in a rush because of debt payments.  Aso you will sleep better at night.