Strategy Advice
Can anyone please advise me on a solid strategy to buy and hold in this market? I am looking for the best practice in the current market to obtain multiple properties and cash flow. We have about $35-$40k cash and would like to maybe start and buy a home cash at no more than %50 of ARV with our LLC. We would then like to cash out that equity and again make another purchase with those funds and so on and so on.We would rent the properties at about 2 x the note on the line of credit. Is there anything wrong with this strategy or should we consider something else? Any advice or concerns on the pitfalls with this strategy? We have a ton of opportunities here in Atlanta Ga. that seems to fit this mold. Please any help would be appreciated.
Just curious, what kind of appreciation is Atlanta seeing?
DTI is starting to affect our opportunities. That is why we are trying to only use the LLC to make transactions, because the LLC has a little more "income" to balance things out.
Quote:
On 2008-04-30 23:20, d_random wrote:
The reason I asked was because Money magazine listed Atlanta as one of the "Best Place to Buy a Home" this month.
I would think that is because the market is so competitive. But hey who am I...I have a lot of friends complaining about homes selling for less than they bought theirs for a few years prior.
I would say buy the 1st and foreclose before citi does.
260-ish
Citi would certainly buy at the sale. If you wanna make a quick buck then yea buy the first and foreclose collect your note back plus back payments and interest. If you wanna keep the house and maximize profit buy the first to secure your position then negotiate a short as a 3rd party on the second flip with an end buyer or keep. Any way sliced its still pie. Act swiftly before the vulchers get there first. Let us know how it goes.[ Edited by jackbenimble on Date 03/19/2008 ]
apexnotes, what ever happened with this?