All Forum Posts by: Tom Makinen

It might be different now, but I don’t trust them

Technically no, my credit didn’t go down because it was the remark that automatically disqualify me from a conventional mortgage.  My credit score was only impacted by the one late payment 

@Edwin Rajkumar. I took a lender based modification program.  I was basically being treated like I had a forbearance even though I only had 1 +30 days past dues.  It prevented me from any conventional loan for 5 years.  The credit line was just marked as modification.  I couldn’t get any conventional loan, I had to get a portfolio from a credit union to get another house.

The modification remark was an AUTOMATIC disqualification too, it didn’t matter I was making good money and had 780+ credit score

NNN on a Mickey D's at a good location?

@Jenifer Levini. I was looking at one used, the cap rate was very low, somewhere around 4-7% at about 80% occupancy.  Like anything else, the upside is way higher if you develop yourself, but the risk is even higher.  I ended up joining in on a development, I won't know what happened until 2022.  With storage unit, the exposure is just way less due to how easy it is to get people out and there is just less to maintain.  I personally think it is like real estate, it's all about location and the price you pay for it.  As with anything else, diversify.  

I invested in one, but the issue I have is that they are so expensive to acquire.  THe upside is not as high as I would like.

I think you can set aside a small portion of your funds to deal with it.  After all, the proceed from life insurance is tax free.   I mean people buy gold, silver, lego, rolex too, it's just another way to diversify.

Also don't forget employer can reduce your cost of living adjustment when you move away.  

everyone’s financial situation so different, but it’s pretty a reckless to say 401k is garbage.  For someone with a regular w2 job, the 401k is the only way to decrease your agi.  Someone making 100k a year will save a few thousand at the end of each year, depends on your state and deduction.   If you really want the money, borrow 50% from it at some point after you have put money in tax free.  

I highly recommend tax planning.  Sometimes you can make more by paying less to the government.  

Remote work is great until you get laid off and can’t find another remote job