Posted:
#1
Any ideas? What would you do if you had 50K to invest in? Thanks!
50K to invest...
Posted:
#2
Investment property.
Turn that 50K into immediate revenue. I'm not sure where you live, but you can buy a foreclosure single family or condo in a transitional neighborhood (open to possible gentrification) and rent it as a Section 8 property or even to a regular tenant. Section 8 is great because the tenants always pay on time and keep the property in good shape. Otherwise, they may lose their status for subsidized housing. You may have to come a little out of pocket to get the unit up to code, but that shouldn't be too much if you find a property that only needs cosmetic fixes (paint, carpet, etc). There could also be other issues, but try to find one with minimal structural issues.
I am in the process of looking for one now. I have a friend who just bought one in an up and coming neighborhood for 20K. It's in a transitional area between what some would call 'the hood' to downtown. The area has experienced some gentrification with fringe bars and antique shops. He had to put about 7K in repairs (new roof, etc) and stands at 27K invested.
He has a tenant that pays $800 a month. In less then 3 years he will have a property that will be generating nearly 10K in additional income a year. Of course there will be fixes, etc. But, that is part of the game. He will also have 100% equity in the property and can sell it for a huge gain if property values rise in the area.
IMO, rental property is a great way to minimally invest for the future.
Turn that 50K into immediate revenue. I'm not sure where you live, but you can buy a foreclosure single family or condo in a transitional neighborhood (open to possible gentrification) and rent it as a Section 8 property or even to a regular tenant. Section 8 is great because the tenants always pay on time and keep the property in good shape. Otherwise, they may lose their status for subsidized housing. You may have to come a little out of pocket to get the unit up to code, but that shouldn't be too much if you find a property that only needs cosmetic fixes (paint, carpet, etc). There could also be other issues, but try to find one with minimal structural issues.
I am in the process of looking for one now. I have a friend who just bought one in an up and coming neighborhood for 20K. It's in a transitional area between what some would call 'the hood' to downtown. The area has experienced some gentrification with fringe bars and antique shops. He had to put about 7K in repairs (new roof, etc) and stands at 27K invested.
He has a tenant that pays $800 a month. In less then 3 years he will have a property that will be generating nearly 10K in additional income a year. Of course there will be fixes, etc. But, that is part of the game. He will also have 100% equity in the property and can sell it for a huge gain if property values rise in the area.
IMO, rental property is a great way to minimally invest for the future.
Posted:
#3
Quote Originally Posted by Lucrative:
Investment property.
Turn that 50K into immediate revenue. I'm not sure where you live, but you can buy a foreclosure single family or condo in a transitional neighborhood (open to possible gentrification) and rent it as a Section 8 property or even to a regular tenant. Section 8 is great because the tenants always pay on time and keep the property in good shape. Otherwise, they may lose their status for subsidized housing. You may have to come a little out of pocket to get the unit up to code, but that shouldn't be too much if you find a property that only needs cosmetic fixes (paint, carpet, etc). There could also be other issues, but try to find one with minimal structural issues.
I am in the process of looking for one now. I have a friend who just bought one in an up and coming neighborhood for 20K. It's in a transitional area between what some would call 'the hood' to downtown. The area has experienced some gentrification with fringe bars and antique shops. He had to put about 7K in repairs (new roof, etc) and stands at 27K invested.
He has a tenant that pays $800 a month. In less then 3 years he will have a property that will be generating nearly 10K in additional income a year. Of course there will be fixes, etc. But, that is part of the game. He will also have 100% equity in the property and can sell it for a huge gain if property values rise in the area.
IMO, rental property is a great way to minimally invest for the future.
Investment property.
Turn that 50K into immediate revenue. I'm not sure where you live, but you can buy a foreclosure single family or condo in a transitional neighborhood (open to possible gentrification) and rent it as a Section 8 property or even to a regular tenant. Section 8 is great because the tenants always pay on time and keep the property in good shape. Otherwise, they may lose their status for subsidized housing. You may have to come a little out of pocket to get the unit up to code, but that shouldn't be too much if you find a property that only needs cosmetic fixes (paint, carpet, etc). There could also be other issues, but try to find one with minimal structural issues.
I am in the process of looking for one now. I have a friend who just bought one in an up and coming neighborhood for 20K. It's in a transitional area between what some would call 'the hood' to downtown. The area has experienced some gentrification with fringe bars and antique shops. He had to put about 7K in repairs (new roof, etc) and stands at 27K invested.
He has a tenant that pays $800 a month. In less then 3 years he will have a property that will be generating nearly 10K in additional income a year. Of course there will be fixes, etc. But, that is part of the game. He will also have 100% equity in the property and can sell it for a huge gain if property values rise in the area.
IMO, rental property is a great way to minimally invest for the future.
I own rentals, I can't wait to sell them. I'll never do it again. So many factors go into it but for me I'd never want to be involved with it again. If your managing it and its old make sure you are extremely handy and can make it look new (the whole building). People that rent have very little respect for property in "hood-like" or "regentrified" areas and the eviction process for the landlord is awful and lengthy. Most folks know how to beat the system.
P.s. Keep in mind property has been crushed for several years and while "cheaper" now there is nothing on the horizon I can see that would make it go up in value.
I'd never recommend it to my worst enemy, unless you have a ton of money, can have a 3rd party manage it and its in a beautiful new (er) building in a very popular community.
These flip shows are a joke, they always have labor and prices that can't be found anywhere. Its easy to make money on a flip when your prices you use are 50-75% of the typical cost for heat/a/c, plumbing, roofing, painting, etc.
Posted:
#4
Good points. I should have mentioned that I own a small construction company on the side. Hence, the reason why I am interested in a fixer-upper property. I get a considerable discount on the labor and materials.
That said, I totally agree with your points. Renters show no respect for properties, especially certain clientele you allude to. This is why I mentioned Section 8 as they respect their arrangements and want to keep it. You avoid the pitfalls of eviction as the occupiers have to make their payment to avoid losing Uncle Sam's help.
Flip shows are a joke. They fail to mention that it takes a good deal of capital to buy/fix/flip these properties. I do several jobs for flipper and am currently dabbling in it as well. The returns are nowhere where they were post-bubble. It takes flipping multiple properties at a given time to make a profit on it.
I live in a resort/college town where rentals and flipping is a continuing profitable enterprise due to turnover and lack of inventory.
I guess it would really depend on the OP's location.
Posted:
#5
Quote Originally Posted by Louis_IV:
I own rentals, I can't wait to sell them. I'll never do it again. So many factors go into it but for me I'd never want to be involved with it again. If your managing it and its old make sure you are extremely handy and can make it look new (the whole building). People that rent have very little respect for property in "hood-like" or "regentrified" areas and the eviction process for the landlord is awful and lengthy. Most folks know how to beat the system.
P.s. Keep in mind property has been crushed for several years and while "cheaper" now there is nothing on the horizon I can see that would make it go up in value.
I'd never recommend it to my worst enemy, unless you have a ton of money, can have a 3rd party manage it and its in a beautiful new (er) building in a very popular community.
These flip shows are a joke, they always have labor and prices that can't be found anywhere. Its easy to make money on a flip when your prices you use are 50-75% of the typical cost for heat/a/c, plumbing, roofing, painting, etc.
Was this as a way to supplement your income? What kind of returns did you get besides it being a pain in the a$$ lol? Thanks.
Posted:
#7
Quote Originally Posted by Lucrative:
Was this as a way to supplement your income? What kind of returns did you get besides it being a pain in the a$$ lol? Thanks.
Was this as a way to supplement your income? What kind of returns did you get besides it being a pain in the a$$ lol? Thanks.
Plan was to keep buying and buying, and selling and selling, getting bigger and bigger and having whatever I owned by the time I was 50-55 all paid off and either bringing in considerable cash flow, or ready to sell for a beautiful profit.....did not pan out that way.....
bought and have been stuck with what I have, its now to a point I'm just trying to get out of them and ensure I can payoff what I owe, the days of profiting on the sale are gone.....the longer you own them the more they eat at your profits, especially in older areas with older buildings. The furnaces start to go, the brick starts to deteriorate, the roof starts to get bad, plumbing issues arise every where. For every unit you have there is a shittter that wants to break, a shower that wants to leak, a sink that gets plugged, a water tank that needs replaced. The market sucks, no one really wants them unless they are dirt cheap, I mean dirt cheap. The supply super-exceeds the demand.
I despise them to be honest. Wanted to follow D-Trump, read the books, learned all I could....just not anything I ever would want someone I liked to do.
The worst part is for every tenant you have you have all their problems. You have to listen to the issues, excuses, the delays. First good offers I get I'm gone.
Posted:
#9
Quote Originally Posted by rubberneck:
a guy a few years ago tried to sell me fixer uppers for income in Detroit area-said it was a great deal
a guy a few years ago tried to sell me fixer uppers for income in Detroit area-said it was a great deal
yeah, great hold. I have one on the market now in Ohio. Its listed at 30% discount then what I paid for it 7 years ago. Worst investment ever, just tons of buildings out there.
Posted:
#10
Quote Originally Posted by NeverMind:
Any ideas? What would you do if you had 50K to invest in? Thanks!
Any ideas? What would you do if you had 50K to invest in? Thanks!
Seriously invest in my baseball system plays next year. This system hasn't lost in 4 years of testing so far it's record is 2621-0 right now. It is a 6 game chase but only 6 games went that far. Read more about it in systems and strategies forum. $100 bettor should make 75K+ if the averages holdup. Not a bad return for 5 months work!
The Hat
Posted:
#13
Quote Originally Posted by DickStreet:
BUY 6,000 shares of DGAZ today say around 8 bucks if u can get that today.
HOLD until I tell u to sell...
Laugh now if you like, in 3 months.. u might be saying WTF,,, Should have listened!
two years ago it was $140 a share. When did you buy in, its 8 bucks now?
Posted:
#15
putt it in the bank and take out only 10k for binary options betting and get a broker or follow rainmaker365 signal tips just like I do (even tough I don't need the money)
Or just get your wife and you a nice trip to the dead sea in middle east or go to new york and forget about investing and doubling your money.
money buys money boy....
Posted:
#20
Quote Originally Posted by Louis_IV:
I own rentals, I can't wait to sell them. I'll never do it again. So many factors go into it but for me I'd never want to be involved with it again. If your managing it and its old make sure you are extremely handy and can make it look new (the whole building). People that rent have very little respect for property in "hood-like" or "regentrified" areas and the eviction process for the landlord is awful and lengthy. Most folks know how to beat the system.
P.s. Keep in mind property has been crushed for several years and while "cheaper" now there is nothing on the horizon I can see that would make it go up in value.
I'd never recommend it to my worst enemy, unless you have a ton of money, can have a 3rd party manage it and its in a beautiful new (er) building in a very popular community.
These flip shows are a joke, they always have labor and prices that can't be found anywhere. Its easy to make money on a flip when your prices you use are 50-75% of the typical cost for heat/a/c, plumbing, roofing, painting, etc.
I have only one rental, but would do it again in a heart beat. Just can't get the investment money. Buying in 2005 and selling in the past 5 years is bad. Also, if you are not handy, it is costly, I can do all the work. Yes, I will pay for certain things, but do most of the work on the side. Dont use a broker to manage them, and rent a little cheaper to keep good people. Greed costs too much..
I got into it watching a guy that was from the netherlands, a tennis pro, past pro, anyway, he would buy one, then rent it trying to get top dollar, down to the last $25.00. When he would finally get some one after a month, they would be the desperate type, short on deposit, and "lets make a deal on the deposit" type. THat was just plain dumb... They would all leave after a year, 2 tops. He would keep the deposit, great for him, but I would spend a month doing work on it, then another month renting it. Some were destroyed because most of these people had bad credit, again desperate for a last min place. He bought from 1998 - 2004. Could have sold all 13 in 2005 for 1M profit, he held them until bankrupt in 2010. Fuking greedy person...
And it cost him... Lesson was, rent to good people, in place of taking 1250 a month, go 1150 and have a choice of people. That 100.00 dollar is what you would pay a realtor to watch it. If you have good people, you can watch it yourself...
If anyone is in the Port Saint Lucie area and wants to partner up on something like this I am game...
Want a good stock... ATHX.. enough said, you will be rich this winter when the stroke data comes in... may float between 2 and 8 between then... The storke data is the thing. He already said so, about the prelim.. data... Like anything, I guess, as a CEO, he could be lying out his azz... BUt he is way to reputable to be doing so...
Posted:
#22
Quote Originally Posted by HutchEmAll:
Now at $3.80.
Inverted index fund, I think this works off of opposite... In other words as Gas goes bad this goes up... Natural gas has been on a big run and crushing coal, Oil, etc... So one coal and oil come back, gas goes down and this fund goes up... I think that is how it works...
Tricky, but he is smart if he knows how to play these as I can't understand them fully and wont touch them...
It is like the guy who bet so many millions in 2005 06 that the housing bubble would crash.. It did and he won...
Posted:
#23
Quote Originally Posted by Pipe-Light:
I have only one rental, but would do it again in a heart beat. Just can't get the investment money. Buying in 2005 and selling in the past 5 years is bad. Also, if you are not handy, it is costly, I can do all the work. Yes, I will pay for certain things, but do most of the work on the side. Dont use a broker to manage them, and rent a little cheaper to keep good people. Greed costs too much..
I got into it watching a guy that was from the netherlands, a tennis pro, past pro, anyway, he would buy one, then rent it trying to get top dollar, down to the last $25.00. When he would finally get some one after a month, they would be the desperate type, short on deposit, and "lets make a deal on the deposit" type. THat was just plain dumb... They would all leave after a year, 2 tops. He would keep the deposit, great for him, but I would spend a month doing work on it, then another month renting it. Some were destroyed because most of these people had bad credit, again desperate for a last min place. He bought from 1998 - 2004. Could have sold all 13 in 2005 for 1M profit, he held them until bankrupt in 2010. Fuking greedy person...
And it cost him... Lesson was, rent to good people, in place of taking 1250 a month, go 1150 and have a choice of people. That 100.00 dollar is what you would pay a realtor to watch it. If you have good people, you can watch it yourself...
If anyone is in the Port Saint Lucie area and wants to partner up on something like this I am game...
Want a good stock... ATHX.. enough said, you will be rich this winter when the stroke data comes in... may float between 2 and 8 between then... The storke data is the thing. He already said so, about the prelim.. data... Like anything, I guess, as a CEO, he could be lying out his azz... BUt he is way to reputable to be doing so...
Forgot to mention... This guy would lose two months of rent between each new tenant becuase he traveled, it had to be cleaned, painted, etc. every two months, I made money doing all the work. Then he would run a 200 ad. Talk to them over the phone and rent it. He lost all that income because he never owned any outright. Covered the expenses from his own earnings, etc. Just screwed up badly with terrible decesions and management...
Posted:
#25
Quote Originally Posted by Pipe-Light:
Forgot to mention... This guy would lose two months of rent between each new tenant becuase he traveled, it had to be cleaned, painted, etc. every two months, I made money doing all the work. Then he would run a 200 ad. Talk to them over the phone and rent it. He lost all that income because he never owned any outright. Covered the expenses from his own earnings, etc. Just screwed up badly with terrible decesions and management...
You in South Florida? How is the real estate market looking down there? I hear all the South American investors (Venezuelans, etc) are buying up properties to protect their assets and sit their money somewhere safe...
My family been looking in the South Florida areas at 'fly in' neighborhoods. Basically niche neighborhoods where your driveway is a runway and your garage is a hanger; neighborhoods built for recreational flyers. We aren't drug runners either lol...
Just curious as to how it's looking down there. I hear the flip market is looking good, but the foreclosures are drying up..
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