Very green newbie- where to start? - Posted by Tamala Gilliland

Posted by Kent C on February 20, 2002 at 04:20:12:

Lets not talk about how you are going to buy a structure. Lets assume you get in zero down on a 4 plex. This unit will more than likely run negative thru the year until tax time. Not much negative but very likely SOME. On this 4 plex you may net $50+/unit per month after taxes. Can you afford to bankroll this property up to $3000 before tax time comes? You might get lucky and break even before tax time. But then again maybe not.
Getting in zero down is not the answer.

Are you aware you wont make much from rentals until they are paid off? They are an investment game not cash flow game.

Remodeling, flipping, wholesaling…now those are cash flow games. Know the game you are playing.

Kent C

Very green newbie- where to start? - Posted by Tamala Gilliland

Posted by Tamala Gilliland on February 19, 2002 at 14:21:20:

My husband and I filed a Chapter 7 in Nov 99 and just bought a house in December 2001. When we went through the loan process our FICOs were around 660. I’d like to buy duplexes or 4-plexes but who will finance me? I have $4K in savings which I’m sure my husband won’t let me touch, a very stable 9-5 job, and a household income around $80K a year. I would only have about $500- $1K for a down. I’m in Sacramento CA. I’ve been reading up on investing til I’m blue in the face and am itching to start! Thanks.