Honestly, I don’t relish going all the way to my Fremont home when needed…
Better idea is to Invest in buying home and give for Rent. You can get monthly income and in future if you resale home also You may get good returns.
This realtor learned he should stay away from the real work.
On my first flip we had 4 partners. One was the realtor that found the deal. All he ever did was come by and smoke pot. We did all the work. We told him his share of profit would be zero. Most realtors should stay away from the job site. Something might fall on them…
Here is a flip in Tahoe. $50k profit potential in 8 months.
The flipper got a great buy. $290k market rate for $250k. Had to spend at least $50k plus $30k in soft/sales costs. So if he put $50k down 100% profit.
Sounds great but will have pay 3-40% ordinary income tax. Net say 60% profit.
If he paid cash and spent nothing and rented it would net $18k per year(plus rent increases every year) with $2k gross rent.
In three years the house would be worth $325k at 10% appreciation per year plus $60K in rent ( minus $30k in mortgages if under capitalized)
So $135k profit. $45k per year basically tax free with a 1031 at exit. So buy and hold makes more since.
Unless you can do 5-10/year and can max the velocity of money… and like paying a ton of ordinary income tax.
This is the best way ! Kudos…
Yicks, when Nasdaq starts writing about RE landlording, is it time to bail???