Yank the land - Posted by Dan

Posted by Lee on April 30, 2009 at 16:53:09:

I am located in Birmingham, Alabama

I have a few properties posted on my website

www.shelbyhomebuyers.com/available_properties.htm

What type of properties and price range are you looking for? Let me know what you are looking for and I will find some properties that match that.

Yank the land - Posted by Dan

Posted by Dan on April 15, 2009 at 06:36:56:

I am working on an apartment house that will not cash flow
under “tradition” methods.

I am thinking of using the William Zeckendorf technique and AD Kessler later I believe, of buying only the building and the seller can keep the land.
Anyone ever use this technique?
Thanks

Re: Yank the land - Posted by Joe Kaiser

Posted by Joe Kaiser on April 18, 2009 at 22:55:52:

The idea is to keep the land, not the house. Dirt is dirt.

You sell them the improvements and rent them the land, forever.
You’re essentially doing Lonnie deals with houses instead of mobiles.

Doing one right now (we call it a “Vertical Breakup”). Apparently an
every day thing in Maryland.

Doable today, for sure.

Joe

Re: Yank the land - Posted by Sailor

Posted by Sailor on April 15, 2009 at 08:25:28:

Why would you want to buy an alligator when there are so many deals available that w/ca$hflow from Day One? What are your search criteria?

Tye

Re: Yank the land - Posted by michaela-CA

Posted by michaela-CA on April 19, 2009 at 09:26:42:

Joe,
good to see that you’re out there dong something

Michaela

Re: Yank the land - Posted by Dan

Posted by Dan on April 15, 2009 at 08:50:19:

There are no cash flow properties available in my farm unless a significant down payment.
I want to have cash flow till market recovery then sell for increased price and move on to something else.

Re: Yank the land - Posted by Lee

Posted by Lee on April 30, 2009 at 05:42:27:

We have plenty of cashflow properties in my area. Have you ever thought about investing outside of your area?

One of the strategies that we are using is buying houses & rehabbing them and putting a tenant into them
and getting a management company and then selling them off to other investors as cashflow properties.

Investors love them because the houses appraise for $70,000-$90,000 and they are able to get into them for about $40,000 and they rent for about $600-800/mo.

Re: Yank the land - Posted by Sailor

Posted by Sailor on April 15, 2009 at 13:01:48:

Yes, a dp is part of the game now if not using all ca$h. I don’t know where you are, Dan, but in 2009 many areas w/ca$h-flow w/the right property & seller. However, if you don’t want to use ca$h or a dp it is always tough. I advised here several years ago that these times were coming & that those w/ca$h were going to be in hog heaven when the mkt turned.

It sounds like you want the flow + are banking on appreciation. I’m not sure that is going to work in all areas for some time to come. I recommend that you meet w/other investors in your area so you can get more specific advice. Perhaps partnering would be a way for you to get started. I’ve been using creative REI for 29 years, but right now I like straight-forward deals. Those days of $0 down were ok when everything was appreciating & it was a great anti-inflationary technique, but times have changed. Good luck in your quest–

Tye

Re: Yank the land - Posted by James - Michigan Investor

Posted by James - Michigan Investor on April 15, 2009 at 08:58:49:

Then go somewhere else to buy. Talk to Rich-Ca and others who own property out of state.

I’m happy I can buy properties for $5k and have 500 net cash flow per month. :slight_smile:

James

Re: Yank the land - Posted by Dan

Posted by Dan on April 30, 2009 at 16:34:22:

Sounds like a nice strategy. Where is your area? Maybe I’ll take my money there.

Re: Yank the land - Posted by michaela-CA

Posted by michaela-CA on April 15, 2009 at 09:07:57:

me too :wink: