All Forum Posts by: Wil Reichard

 So I bought it Oct 17’ and have lived in it till now. So no tenants have been in there (except for roommates. Too easy not to have someone pay the bills when I’m living in a 3/1). I’d sell July of 19’. Actually typing that out makes it seem senseless to sell now rather than wait a few months, but the rehab is already done and I already have lots invested into it and have found 2 qualifying properties. Once I start I can’t stop lol. 

 Good to know! I most certainly will not be using so joe smith off of Craigslist. I’ll look around for one and ask them if they are insured and what kind of experience they have with past 1031’s. Thanks! 

 Yes, unfortunately I’m selling after 1 year and 8 months of ownership. The market is better now than November so I feel as if it’ll be better to sell now instead of waiting for the two year mark.

I bought my first house at age 20. Best decision I've made. Just make sure you know what you're getting yourself into. Read a lot. Talk to people who have been in the RE industry for a while and walk them through what you're doing. This will save you lots of beginner mistakes. 

Hope everything goes well! Hit me up if you have any questions. 

Hey All, 

Thanks for taking the time to read into this. I am selling my first home (previously owner occupied) in about two months and would like to utilize a 1031 so I can defer roughly 72k in capital gains. I know I need an intermediary, but do y'all prefer this person to be an attorney / lawyer? 

Also, what do y'all usually pay for them to handle this transaction? 

Thank you, 

@Collin Savunen

I've found this article very insightful. 

Although, like everyone has said, you can't really predict the crash. 

@Kai Van Leuven Best place to start is talk to the city / county about zoning restrictions. If you can add more units / will zoning allow it. 

Next is check the sewer line, if there is one. Make sure you can add units that the sewer line can support. City / county officials should be able to help with this as well. 

Having a GC with experience look into the project would be my next step. 

I have also worked on a quite title action in SC. Est time is 3-10 months.

@John Colin Rogers I bought my first house 2 months after turning 20 with $3,600 total using a conventional mortgage at 3% of a DP, seller covering closing costs. Love the ambition but I tend to agree with @Caleb Heimsoth about you sounding like you just walked out of a guru seminar haha. Don't let the ambition run in front of caution and knowledge, keep them at a steady pace together.

I've owned this house for a little while now. I've realized that this 9-6 job I have has saved my butt more times than I can count. For example:  I didn't expect the AC to go out in April of this year and cost me $4k. Thankfully the 9-6 job took care of that.

Here's my .02

1. Learn to manage money. Focus on producing assets. Also, get rid of the fancy car with high payments.. Trust me, it bites you in the butt later. 

2. Get a job... Not only for the extra income, but also banks / lenders LOVE to see w-2 history. It's very hard to acquire a loan when you're self employed or don't have a job. DTI (debt to income) is very important. Just having a downpayment is not enough unfortunately.

3. Take one step at a time. Don't feel rushed to make your first deal now. Spend months and months reading books before writing that first check. Always do your research first.

Best of luck to you John. Truly, the best has yet to come. 

Step 1: Find a good market. 

What I started to do was purchase a home with an FHA loan. (3.5%) down. I live in the house for a year, then move and acquire another home using the FHA. Obviously these have to be great deals at great prices because most rental numbers can work with 80 LTV, but my houses are at 97.3 LTV so it requires more cashflow or a better DSCR. I act as if each home I acquire for myself with the FHA will work numbers wise on a rental.

Hope this helps! 

Also, dig DEEP into BP podcasts and books in general. They'll give you more information than any one person could!