When you invest in real estate you are expecting a return. Otherwise, why bother? Right?
What concerns me is the amount of potential clients I speak with who are ready and willing to rush headlong into purchasing an income house without having any idea as to what the returns will be. Or even what returns they expect to get from their real estate investing. It sounds trite, but if you don’t know what you are shooting for how do you know if you got it?
“I just want to make enough to cover my mortgages payments and to not have to put any of my own additional cash into the home to make it fly.”
As your chosen real estate investment counselor I have to say that I still don’t know what you mean.
Yes. I get what you mean. But really what is the goal we are trying to obtain? How many years do you have before you expect to retire? How much capital do you have for real estate investing at this point? What is your tolerance towards non-traditional 30 year loans? Are you after Growth or Income? How do you measure returns? Cap Rate? GRM? Cash on Cash? Overall return? What is the end amount of money we are trying to accomplish?
I’m not trying to over complicate this thing. Owning real estate for income purposes is really just like any other business. You need to understand, before beginning, what you will need to put into your business and what you expect to get from your business. This would be true if you were starting a flying school, a Quick Trip or a hamburger stand.
After getting these (and a few other) questions answered I can better help you to determine what needs to be done next.
BBQ Capital | Kansas City Real Estate Investing 
There’s nothing like ensuring your clients know which way’s north on the map. Your clients should realize how lucky they are about a year after escrow closes.
Investors dealing with agents who are essentially order takers do themselves no favors.
Investors using agents as their lapdogs end up in the doghouse themselves. 🙂
We have a name for guys like Chris – Pro
Awh, shucks. Jeff, you make me blush.
With this nationwide real estate bubble, I am thinking of getting out not paying the taxes but putting the money into these tic deals. this site is a pretty good overview. http://www.1031tichelp.com/
has anyone 1031’d into a tic. feedback?
I have no real problem with TICs and have had clients utilize them successfully. But you should know most REALTORS won’t advise on them because they cannot receive compensation.