All Forum Posts by: Tyler D.

I own a rental property that was built in the early 1900s, and am wondering if there is anything to be concerned about. Preferrably I'd like to hold it forever, but I'm unsure if there are any issues that may crop up after a certain number of years. The bones are good, currently, and I'm hoping to hold it for 30+ years. Is this viable or is there anything I should be concerned about?

I'm a young investor, in my mid 20's. I'm looking at buying real estate in Oregon, which has one of the fastest population growth rates in the US, and great future potential.

I've been scouring the markets, and most of the existing houses are very expensive, and do not cashflow. However, there is an abundance of cheap land. One example I found was 80 acres of beautiful land with a cabin for $225,000.

I'm thinking that, if Oregon continues to grow at its current pace, that land may eventually be worth a lot more than I paid for it. At 3.5k/ acre, it could be worth 100k/ acre or more if it becomes a developed area.

However, this could take decades and the whole time I'd be paying property taxes on the land, without a monthly return.

I think this is a very cool opportunity, but I want to know if it makes financial sense? Have you invested in land and made money off of it? Have you gotten burned? Let me know.

Thanks! 1500 would be reasonable. I'll check it out.

I'm in the same boat. There may be fire sales at some unknown date in the future, but if I find a deal that works for my numbers RIGHT NOW, I'll take that over what may or may not happen 1, 2, or 150 years from now.
 

Mar 23 is actually a great example. The market tanked aggressively and then suddenly shot back up, without a whole lot of great news to back that up. Even now, with a lot of uncertainty, the market is slowly climbing because, maybe, there were a lot of people waiting to buy that dip. Doesn't it seem strange that the market shot back up suddenly without a whole lot of positive data to back that jump?

I've lived through the 2000 and 2008 crashes, but wasn't in a position to take advantage of them. Both were similar, in that most people were taken by surprise, and a few who were in good positions swooped in and took advantage of fire sales in the stock and RE markets.

Since then, people have been predicting when the next crash will happen. Despite a huge run-up of the stock and RE markets, and tons of money pouring into both, they are also many people sitting on the sidelines waiting for the next buying opportunity.

Since I wasn't watching the markets back then, I can't speak intelligently on it. From a gut feeling, it feels like there are a much higher amount of people just waiting for "the next crash" as if it's something that's guaranteed to happen.

If this is true, then wouldn't that soften or even negate the effects of any downturn that may occur? If a huge amount of vulture investors come to swoop up the fire sales, then a crash won't happen. There's a strong sentiment in the stock market and Real Estate markets now that they will ALWAYS recover, and many investors will hold through any downturn, seeing the recoveries that happened with the previous crashes.

To those of you who were in the markets before, were there always this many investors waiting patiently for a crash, or is it a new phenomenon? 

Start with 2 million, get married.

Get divorced. Congrats, you have 1 million.

I have a house I bought last year for 40k, and want to pull the cash out so I can put it into other investments. 

The two issues I have been having are:

1) The closing costs are so high that it seems not worth it to pull ou the money - To pull 30k out of my 40k house, I'd have to pay several thousand in closing costs, which is a huge portion of the overall value. I'd be interested in a no closing cost loan, to avoid this if possible. I saw US Bank has one, but it doesn't apply to investment properties.

2) Some banks flat out won't do a loan on my property because it's too small. I've heard about going to smaller local banks, but I'd need one that can also do one without closing costs or very low closing costs.

What are your thoughts? People who have BRRR'd with smaller properties, what method did you use to get your cash out?

What do you mean by that?

I'm looking to get primary residence financing from a normal bank.

Thanks Mark. I'd like to do this but it would be an incredible lowball in my area. For a deal I'm looking at now, his asking price is at about 0.55%, with current rents. With reasonable market rents, it's about 0.78%. 

I'd need to offer about 2/3rds of asking to get 1.1%, of market rents.