All Forum Posts by: Zach Lemaster

@Brian Garcia thanks for the interest in RTR! We are certainly happy to help however we can. It's great that you have been able to raise $20K that quickly. Please just make sure you have a clear understanding of the cash flow and reserves you need to keep when buying an investment property, especially considering you have outside investors, which our team can help you evaluate. My brother-in-law has purchased about a dozen homes with us where he finds partners that bring in 100% of the downpayment and they are also on the loan. They spilt cash flow and equity 50/50. He's a Canadian investor that helps other Canadians buy REI in the US as his value add. Point being that partnerships can be creatively structured in many different ways depending on what makes sense for everyone involved. We look forward to helping you get into your first deal regardless if it's with us or on your own!

@Zachary Wallis there is no perfect way to start Zach.  The most important thing you can do IS start!  Definitely investing out of state is likely a must for you.  House hacking could be a way to invest with $25K down locally (that is how I started).  The midwest has some price points that may also work if you are interested out of state.  I like TN, OH, MO & IN.  Make sure to stay in better locations if possible.  Having a quality team/mentor/community to help you avoid the most common mistakes for newbie investors would be very valuable in my opinion.  Just make sure you always have good reserves!  Keep us updated on your progress Zach! 

@Chris Seveney thank you for the mention!

@Tibor T. Flipping homes (locally or remotely) can be a good way to build additional capital to buy rentals, if that is what your ultimate goal is.  That is exactly how I started when I ran out of down payments to use to finance rental properties.  However, as many others have mentioned, flipping homes requires an entire team that can take time to develop.  Flipping homes most certainly is more of an active way to invest (as you acknowledged), but there is also a fair amount of risk associated with that strategy, and it also requires capital to get started.  You can use lenders (hard money or banks) to help finance the flip, but those loans usually come with additional costs, higher rates, and shorter terms.  You can get yourself in a bind that could set you back years if the flip doesn't go as planned, takes longe than expected or you have contractors that don't manage the project appropriately.  That is the biggest risk I see with starting a new venture into flipping homes.

If you're ultimate goal is to own rentals, I would recommend trying to find ways to start with that strategy to better understand the market you are considering investing in along with building a foundation of rentals that doesn't solely rely on your flipping endeavors to fund the rentals.  There are also ways to buy new construction at steep discounts allowing for immediate equity that help kickstart your portfolio.  That is what we focus on at RTR.

Anything can be done with the right team in the right market.  My biggest advice is to really spend some time to have complete clarity on exactly what you are trying to accomplish and map out a plan that includes all the pros/cons and risks of each strategy.

For truly passive income, investing in diversified, secured notes is a great way to enter into the REI space with lower capital amounts as well. @Chris Seveney is the best in the business when it comes to this strategy and has the proven track record to stand behind.  We have many investors that own rentals and also invest in notes that are more passive.

Hope this helps!

-To your success!

Zach

@James Wise

Great topic for tax day!!

@James Wise great post!!

@Chris Clothier wins every time!  Experience beats youth!

@Steven Weadon Congrats on closing the first of 3 properties!  Thank you for sharing your feedback and the positive comments!  We certainly appreciate knowing all our dedication to our investors is noticed.  We are excited to continue the journey with you as you close the next 2 along with helping you to scale your portfolio to reach your goals!

-To your success!

@Russell Caid Congrats!  Thanks for sharing your story.  We look forward to helping you with the next one to work towards accomplishing your goals!

@Rene Hosman thanks for the mention!

@Sas Sel I invest heavily in the SE, especially in FL for the very reasons you mentioned.  I do think there are specific markets that do quite well in FL still, but it's also a good idea to diversify to multiple locations for many reasons.  TX is great, but property taxes are higher making it hard to cash flow.  There are many other great markets to consider in the SE like Columbia, SC, suburbs of Atlanta, GA, Tuscaloosa, AL, Tulsa, OK etc.  I recommend investigating some of those markets based on the criteria you outlined.  As Rene mentioned, our team at Rent To Retirement offers turnkey, new construction properties in all these markets including many in TX and FL as well.  We are happy to assist you however we can, regardless if you invest through our marketplace or on your own!  We have a ton of market data on all these locations that we are happy to share!

Hope this helps!

-Zach

@Chris Hampton big congrats on getting your first property under your belt!  I truly believe the first rental property is the most important, less so financially, but most importantly to get you in the investor mindset and make it real!  Thanks for sharing your success story.  Great job!  We are certainly here to help along the way as needed with this property and help you get into the 2nd rental whenever you are ready!