All Forum Posts by: Addam Driver

@John G. you got it!

I'm using BB&T to do that exact same thing. They made it clear to me that I could quit claim a property I'm buying to my LLC but ONLY at closing. This would not trigger the "due on sale" clause.

By doing this, I can take advantage of lower mortgage rates and not a much higher rate as my LLC is fairly new.

Hope this helps.

Sorry typo... *the last $40k I'll use for my next deal.

Hi Kory Denny I was JUST in your situation from a company gone public. I would suggest taking that $100k, starting a real estate holdings company, buy cash flowing properties and try to get the best return on it. Example,I'm in escrow for 3 duplexes right now with my cash. Each property was $67k. I was able to finance it using the cash as collateral. These properties are already rented and my cash flow is $2200 a month. Closing cost, down payment and repairs are around between. $16k - $20k a piece give or take a few grand. So $60k of the $100k is bringing me $2200 a month. The last $20k I'll use for my next deal for more cash flow. I hope this helps.

Hi Keaton,

How do you feel about house hacking?  It is one way it will get you off the couch, into your own place and have the other unit(s) pay for your mortgage while you save & fix up.  When you're ready, you can move out into something else and rent the unit you just left.  

At 25... that is a good place to start IMO.

Hope this helps!

I personally stopped investing in my companies 401k having found real estate.  Here is why:

1) The 401k has great benefits.  You can borrow against it (half) for stuff and re-invest as you pay back.  If your company matches, that's awesome!  Me... I'd rather have that money BEFORE 65.  Straight up.

2) I invest in Roth IRAs. - The cool part about a Roth IRA is the fact that you can take out the money you put in IF/WHEN you need it. You just aren't able to take out the EARNINGS of said money. It's like another type of "Savings".

My savings account only gives me like .01%.  My Roth is pretty aggressive so when I have money just "sitting there", I put it into my ROTH ($5.5k MAX) and just let it run it's course.  If I ever run into a situation where I need $3-4k, I can pull from that w/o penalties or taxes.  The only other problem is I still have to wait for retirement age to start pulling the earnings.

3) I found that investing in real estate (buy/hold) is a solid way to go.  No matter what the market does, the rent will still be coming in.  Yes there's work involved but it's way worth it.  

Example: My father purchased a house in South LA back in '84. Today it brings in $2500 cashflow and has been for a long while. That money is MORE than enough to sustain him. When he finally retired around 50, he just lives off his investments. Social security, 401k and IRA won't kick in for another 15 years. Just imagine if he had several.

Cheers!

I've had a to deal with that a lot with family members.  It's not so much they don't "get it" but their can't wrap their minds around it.  They have this comfort in knowing I have a 9-5 and be stressed out like the rest of them.  I found investing to be awesome!  I plan on doing MUCH more of it.  It's freeing to know every deal that closes, I get closer and closer to kicking over a trash can on my way out.  hahaha.

Also @Linda S. GREAT QUOTE!  I hope you don't mind me stealing it.  

Cheers everyone!