Real Estate Investing: Do any of you live off of your rental income from rental properties? |
- Do any of you live off of your rental income from rental properties?
- Investing in rentals in HCOL area
- Commercial Real Estate
- 15k down payment
- Can you BRRR your own property?
- Future investment
- Refinancing a single-family home rental
- ROI on Fixer Upper
- Post Househack strategy?
- Shared Equity Finance Agreements
- How safe is leverage?
- Dog Urine
- Best way to buy this house?
- Meeting Accredited Investors
- K-1 Partnership And Cost Basis for Tax
- Legal question on seller dying
- Do escalation clauses work?
- What are some ways to build relationship with buyer agents in Philadelphia?
- How to Learn A Market's Cap Rate
- Grad Student Looking To Buy With Parents
- Part-time brokers, advice needed
- Appraisers of Reddit
- Where to invest?
- Partnership Vs Individual on mortgage
| Do any of you live off of your rental income from rental properties? Posted: 02 Feb 2021 06:35 PM PST Curious to know how many of you live or can live solely off of your rental income. If so, I would love to hear advice on how to get there! I saw this question posted 6 years ago and would love to see some fresh responses/stories [link] [comments] |
| Investing in rentals in HCOL area Posted: 02 Feb 2021 10:56 AM PST I live in CA and started with real estate 5 years ago. A lot of people suggest the mid-west and other places with much better cash flow. We ended up buying two quadraplexes within driving distance just cause we were more comfortable with being able to easily visit the places. Our first quad was $800k and had a cash flow of $2k the first year. Then it went up to $10k, then $20k, then $24k, then $26k. According to the rules on here, no one would recommend buying such a place. In general, it has been pretty turnkey. We have about $2k of maintenance calls per year, and then a few larger things, like replacing water heaters, replacing some flooring, etc. Still nothing more than a few thousand additional per year (although this year we put AC in all units which cost $9500, including all the new electrical breakers). We have all long term tenants and no one has moved in 4 years. Right now, our rents are a bit undermarket because of the pandemic, we didn't raise them last year as anticipated. When we bought the place, rents were $5740/month. Now they are $7k/month. We've been raising them 5%/yr (roughly) and have become undermarket. We should have raised them more, but also the year without raising them affected that. The property was recently valued at $1.3million. It blew our minds. We looked into comps and talked to agents and found out that yes, we could definitely get that for our place. I did the math, including having 8% in selling fees and closing costs if we sell. We paid 25% down, and our return has averaged 28%/yr for the last 5 years. That is way better than the stock market. Our second quad was bought a year after the first. It came with terrible tenants and a lot of bad infrastructure. We had to put about $80k total into redoing all the units completely (new kitchen/bathroom/water heaters/doors/paint). It cost $850k and took 3 years to finally have a positive cash flow. So even with that being a much worse deal, on average, our cash we put into that had a return of 20%/yr. Just giving a different perspective that has worked out pretty well. [link] [comments] |
| Posted: 02 Feb 2021 11:56 PM PST I'm 28 and own my own business (brewery) and I'm planning on getting married in a few months. I'm closing on the sale of my house next week and looking to buy a new home, but I will have a good chunk of change to invest. I'm thinking commercial real estate... what advice do you have? [link] [comments] |
| Posted: 02 Feb 2021 06:34 PM PST How likely will it be, that Biden gets 15k down payment assistance passed for first time home owners? [link] [comments] |
| Can you BRRR your own property? Posted: 02 Feb 2021 06:33 PM PST Im I'm San Diego, agent called me told me the condo i got outbidded for is back on market. But i had now changed my mind into trying to buy investment properties out of state .. San diego prices expected to go up 9% in a year. Question:
Getting an appraisal on the condo ?? If so do they give me a loan for the value oh my condo ?? I'm barely learning the brr method. My biggest fear is throwing all my money into this downpayment in San Diego and not being able to save money to do anything for about 2 3 years.. Second option: finding a investment property out of state with my conventional mortgage loan. Not having to spend all my downpayment. Allowing me to keep some safety money and only having to deal with a $800 $900 mortgage.. Thoughts advice ? [link] [comments] |
| Posted: 03 Feb 2021 12:40 AM PST I'm 18 years old and I'm hoping to save up and buy property to rent later in life. I have little to no knowledge of how the real estate market works. Does anyone have any tips/advice. Books would be a great help too Any response would be amazing thanks! [link] [comments] |
| Refinancing a single-family home rental Posted: 02 Feb 2021 05:57 PM PST Hey I have a newly paid off single family home in Florida near the down town area of my town. I'd like to do a cash out reference but I'm in a bit of a pickle, non of the local banks are willing to do one. I've check with all of my local banks, my local broker, and all the major guys Wells Fargo, chase, BOA, etc. This property currently produces 11,400 gross with very little upkeep and is valued around 125 in today's market. I personally have fantastic credit good DTI and make decent money so qualifying shouldn't be a huge issue. Any ideas would be great, thanks! [link] [comments] |
| Posted: 02 Feb 2021 07:46 PM PST I'm providing 100k of 175-200k initial funds to flip a home. Does anyone have any documentation of typical returns on a situation like this? How would someone expect to paid out in a scenario like this? I'm merely providing capital in this scenario, the other parter will be hiring GCs, selling, etc. [link] [comments] |
| Posted: 02 Feb 2021 10:03 PM PST Hello all, I'm currently in the market right now for a 2-4plex to live in, and then rent out the other unit(s) with as little downpayment down as humanly possible. Looking in Minneapolis/Saint Paul area if that helps. However, my longtime girlfriend keeps bringing up a good point about house hacking that I can't seem to give a complete straight answer to. Looking for some wisdom here. Just graduating college and looking forward to this long term investment. Question: Can we really afford to buy a single family home for ourselves after living in our 2-4 plex 12-24 months after our 3.5-5% down duplex purchase? That's currently our plan as my girlfriend does not want to live in this duplex for any longer than two years. To be honest the only reason we haven't pulled the trigger on buying a duplex yet is this question. I understand you will need financial specifics so here they are. Most likely purchase (almost did this exact scenario): 3.5-5% down—$225k purchase price, 0-3% closing costs, 6% vacancy rate, $2400 in rents. Financials: My soon to be fiancé and I make a consistent $80k/year combined, likely to increase decently in coming years. We both have 750+ credit scores. After 1-2 years we'd be looking for a single family home to live in between $190-260k. End all question— Do you think it's more than likely with this given info that if we bought this $225k duplex tomorrow we'd be able to afford another home to live in a year or two later? [link] [comments] |
| Shared Equity Finance Agreements Posted: 02 Feb 2021 09:43 PM PST 🏠💲question: when helping a son/daughter buy a home is a Shared Equity Finance Agreement something that is worked out with the lender, the title company, or just between the two parties sharing equity. (Say parent 20% kids 80%). Thanks Reddit [link] [comments] |
| Posted: 02 Feb 2021 09:33 PM PST I'm an stock picker/investor that is looking to diversify his holdings out of stocks and into real estate. I don't have enough cash to make investing in real estate without leverage worth it, but I'm scared of debt. I plan to buy rental properties rather than flip houses as my goal for this venture is to get consistent, predictable cash flow rather than potential gains from appreciation(I've got that covered by the stock market already). What would be the safest way to go about investing on leverage? I don't want to end up digging myself in a whole should a market downturn come. [link] [comments] |
| Posted: 02 Feb 2021 09:07 PM PST Just bought a rental and the dog pee smell after taking out all the carpet is still overwhelming. I haven't dealt with this in 15 years. Anyone have a go to product for this? I'd rather not replace underlayment. [link] [comments] |
| Posted: 02 Feb 2021 05:02 PM PST My neighbor owns her house but is currently building another. She's open to selling to me and I have an idea that I have not approached her about yet. If I buy now, no realtor, she can remain in the property paying rent and this will allow capital for her build. Is there a best approach to this? Best loan setup? Are sellers typically willing to pay more in rent than they were on their mortgage? Any advice/insight would be greatly appreciated! [link] [comments] |
| Posted: 02 Feb 2021 08:44 PM PST To those of you that put together syndicates or run funds, how do you go about establishing relationships with accredited investors? I'm taking a fund structuring workshop to help me with a hotel deal I'm putting together and they recommend pitching to at least 10 accredited investors before going back to the drawing board on the investment thesis. I realized I don't know at least 10 and will be relying on my business partner to have the contacts. Any advice? [link] [comments] |
| K-1 Partnership And Cost Basis for Tax Posted: 02 Feb 2021 04:09 PM PST Question about real estate partnerships and the tax implications of investment gains. Is the initial investment the cost basis? I'm receiving some info about expected return and asking to reinvest in a 1031 exchange to avoid (defer) taxes on gains. The example gives a $100k investment and a sales price of around $200k and seems to infer the tax liability will be calculated based on the full $200k. I would have expected to pay tax on a $100k gain based on an initial investment of $100k. Appreciate any clarification/guidance. [link] [comments] |
| Legal question on seller dying Posted: 02 Feb 2021 04:04 PM PST Basically I have an accepted offer on a duplex that was supposed to close on the 26th. The seller got Covid a week before that and asked to extend the closing which I approved. In the mean time the seller unfortunately passed away. She supposedly left the home to her adult son who "wants" to sell the house according to the sellers agent but stopped responding to phone calls. I'm not feeling to confident that this closing is going to happen. If it falls through I think it will be easy enough to get my Ernest money back. Will I have any opportunity I get back money for the appraisal and inspection? Who would I go after? The sellers estate? It feels slimy going that route but I'd like to get back money I've spent if he doesn't want to sell. [link] [comments] |
| Posted: 02 Feb 2021 12:47 PM PST I spoke to a realtor who said that he has never seen escalation clauses work. I replied, "Why not? Seems like a win-win for both buyer and seller." He said, "If you offer $150k with an escalation up to $175k, then the seller knows you'd be willing to pay $175k, so why wouldn't they just sell for $175k?" I disagree with his reasoning, but he's experienced and I'm not. Have you seen escalation clauses actually work? [link] [comments] |
| What are some ways to build relationship with buyer agents in Philadelphia? Posted: 02 Feb 2021 06:27 PM PST I am a real estate investor and I purchase a few properties every year in Philadelphia. The agent we work with has been extremely busy recently and unresponsive. We try to be considerate of his time and not rush him to get things done, but at the end of day, things are not moving forward. It is hard for us to get ahold of him even after we sign sales contracts and are scheduling for inspections. I get it that people have different priorities. He prolly has other important clients (he also has a full time job), but at the same time, our relationship has to work for me as well. I value his knowledge and the trust we have built; I have been very considerate of using his time, but I feel like I am missing my goals. Because I am an investor and I am constantly on the market talking to agents covering different areas in PA, I cant sign exclusive agency agreements. Is this too much to ask? What do you do to build long-term relationships with knowledgable buyer agents who work with investor clients? How do you find reliable buyer agents who work with investors in Philadelphia? [link] [comments] |
| How to Learn A Market's Cap Rate Posted: 02 Feb 2021 06:23 PM PST I'm in the burbs of a major metro. Have some property and want to build a small mixed use development. I see the cap rate for apartment complexes is 5-5.5%, Retail is 5.5-6% in the burbs. I was told by a banker (who doesn't live in the area) that these are for huge developments with national tenants (for retail) and something small like what I would want to build would be more like an 8 cap. My gut reaction was to call b.s. and if their was some 8 cap retail space in the area, I would just buy that instead of building. BUT I'm a newbie so I just shut up and listened. Maybe I'm not going to be at 5%, but I don't believe I'll be as high as 8% though. How can get a better handle on my market's cap rate to talk to the banks with confidence? Talk to brokers? TIA [link] [comments] |
| Grad Student Looking To Buy With Parents Posted: 02 Feb 2021 07:11 AM PST So I'm trying to figure out if I have a good idea here or not...my partner and I are starting law school in Charlottesville, VA, this fall and looking at spending approx. $50K over 3 years on rental housing. I've pitched an idea to my parents - they put a down payment on a house (say $50K for a $250K house) and we will pay them rent to pay the mortgage. When we graduate, they sell the house and we recoup our $50K (pay off that debt) and my parents take the rest. I need to do some more research and I think we'd be interested in a duplex or something with a second unit for more rental potential if we can find one, but at face value - is this a good idea or is this riskier than I think? I don't want to do anything that would be stupid financially for my parents. Thanks for the advice! [link] [comments] |
| Part-time brokers, advice needed Posted: 02 Feb 2021 09:14 AM PST Hi there, I am a 27 y/o working a stressful job in finance. I'm not stimulated with my work environment and I'm considering getting my brokers license for part time work. I'd love to test the waters and possibly transition to full time (if I find myself in a good place), however I am considering the part-time route because I want to be able to purchase properties with my W2 income. My moms brokerage is pretty top notch in the community. I have bought/renovated/rented/and sold property and have a network with people in the field - mortgage brokers, attorneys, inspectors, landlords, contractors, etc. Anyways my mom is trying to convince me to get my license and work part time (nights and weekends). She offered to develop a "partnership" and split commissions as well as hand her book of business to me when she retires in ~4 years. I live on the other side of the city however, but they list properties up here as well as list rental units so I anticipate working on those deals. Additionally my friends and folks in the younger network are beginning to look for homes/condos and new rental units in the area of the city I live. I am devoted to buying real estate investments now and in the future. It would be great to have access to the MLS. I spend a lot of time reading about real estate, investment strategies, podcasts, etc and plan on house-hacking my next deal. Those of you who work part time. How is it? What fees should I look out for? Do you find it rewarding working part time as opposed to full time? How much time does it take to be "successful"? Would appreciate any folks describing their part time journey and how it's panned out! [link] [comments] |
| Posted: 02 Feb 2021 02:20 PM PST For a $200,000 (+/- 15k) condo. All things being equal (2 bedroom, 1000 square feet) how much of a price difference does this have? Option 1: bedroom with a sink and vanity in it (no joke), with an en suite bathroom with a tub/shower and toilet and then a 2nd bathroom accessed from the hallway with a toilet and vanity. Both bathrooms are VERY small. This is the typical layout in this community. Option 2: a full bathroom (tub/shower) toilet, vanity but it is HUGE, I'm talking larger than a bedroom kind of big. Not en suite and just accessible from hallway. There are dozens of comps for option 1 but for some reason zero comps for option 2. No clue why it is setup like this. [link] [comments] |
| Posted: 02 Feb 2021 01:34 PM PST I have an option to get a loan for around $150k. Have my own house, and that's why looking to take this opportunity to purchase some investment property. Not sure what kind of property to look for - apartments for rent, some old apartments and make an renovation there and sell it for more, or some commercial property. Saw 2% rule, so if property cost is 100k, it should be at least 2k to make a good cash flow, quite hard in this location (Eastern Europe). Any advice and recommendations will be appreciated. [link] [comments] |
| Partnership Vs Individual on mortgage Posted: 02 Feb 2021 11:48 AM PST A partner and I are about to buy our first property and our best financing option is from a credit union that partner A is not able to join. Is it a good idea to buy the house in only partner B's name as long as our partnership agreement states we're 50/50 partners financially? We would both split payments, expenses, and profits 50/50 [link] [comments] |
| You are subscribed to email updates from Real Estate Investing. To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google, 1600 Amphitheatre Parkway, Mountain View, CA 94043, United States | |
No comments:
Post a Comment