Comments on: Not Financially Ready To Be A Brown & Brown Client Yet? Here’s A Plan For You http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/ Real Estate Investing through Purposeful Planning Fri, 09 Jan 2009 13:30:38 +0000 http://wordpress.org/?v=2.0.11 by: BawldGuy http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8058 Sun, 27 Apr 2008 22:21:31 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8058 Glad it helped. Einstein's hair always looked as if he followed his own advice. :) Glad it helped. Einstein’s hair always looked as if he followed his own advice. :)

]]> by: Joshua http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8056 Sun, 27 Apr 2008 21:19:33 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8056 I think it was Einstein that said sleeping was a waste of time. Don't quote me on that one though. Thanks for the explanation, makes sense. I think it was Einstein that said sleeping was a waste of time. Don’t quote me on that one though. Thanks for the explanation, makes sense.

]]> by: BawldGuy http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8055 Sun, 27 Apr 2008 17:47:52 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8055 Jason -- SoCal for the investor has been depicted by me as Dodge -- as in, Get Outa. :) FHA's limits have been increased dramatically. Would it cost more? A whole bunch more in L.A. for sure. Should you? I'm way hard pressed to find a scenario that sounds enticing. SoCal is pretty much over as far as investors are concerned, at least from where I stand. The only possibility Jason, would be to buy a 2-4 unit property with equal partners who will also move into the units. Using FHA, this will dramatically alter the initially required capital, and spread the monthly payments around. It also means you'll not be dealing with renters. This would be only for first time buyers, or homeowners who are in too deep when it comes to their monthly payments. You and your buddy(s) find a 2-4 unit property. Do the numbers and see how it works. I've done a couple quick examples for myself, and it's not half bad. The only reason I'd give my okie-dokey to this would be 'cuz it gets your foot in the door. Otherwise, SoCal just doesn't get the job done. It's a weak argument, but something can be better than nothing. I wish I had better advise on this one, Jason, but L.A. makes it fairly tough. I hope this helps. Jason — SoCal for the investor has been depicted by me as Dodge — as in, Get Outa. :)

FHA’s limits have been increased dramatically. Would it cost more? A whole bunch more in L.A. for sure. Should you?

I’m way hard pressed to find a scenario that sounds enticing. SoCal is pretty much over as far as investors are concerned, at least from where I stand.

The only possibility Jason, would be to buy a 2-4 unit property with equal partners who will also move into the units. Using FHA, this will dramatically alter the initially required capital, and spread the monthly payments around. It also means you’ll not be dealing with renters.

This would be only for first time buyers, or homeowners who are in too deep when it comes to their monthly payments.

You and your buddy(s) find a 2-4 unit property. Do the numbers and see how it works. I’ve done a couple quick examples for myself, and it’s not half bad. The only reason I’d give my okie-dokey to this would be ‘cuz it gets your foot in the door. Otherwise, SoCal just doesn’t get the job done.

It’s a weak argument, but something can be better than nothing. I wish I had better advise on this one, Jason, but L.A. makes it fairly tough.

I hope this helps.

]]> by: Jason http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8054 Sun, 27 Apr 2008 16:08:53 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8054 Do you think this strategy is possible or, maybe more importantly, wise in Southern California (LA) right now? I'm guessing you'd need more for a down payment as your fourplex/duplex is going to have a much higher cost. Would FHA still offer loans at those prices? Do you think this strategy is possible or, maybe more importantly, wise in Southern California (LA) right now?

I’m guessing you’d need more for a down payment as your fourplex/duplex is going to have a much higher cost. Would FHA still offer loans at those prices?

]]> by: BawldGuy http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8047 Sun, 27 Apr 2008 06:26:24 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8047 What Cher said couldn't be more on the money. She knows whereof she speaks. Listen to her. What Cher said couldn’t be more on the money. She knows whereof she speaks. Listen to her.

]]> by: BawldGuy http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8046 Sun, 27 Apr 2008 06:25:11 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8046 Geez Joshua, up kinda late, aren't we? :) A granny flat is a small, usually open space, often much like if not identical to a studio apartment. It can be a separate building in someone's backyard, a converted basement or family room, etc. You get the point. There's usually a 'living area', a small little kitchenette, and a bedroom area. Usually, but not always, the bathroom doesn't have a bathtub, just a shower. In San Diego they're usually where our aged mothers live -- next to the pool in the backyard. :) Hope that helps. Cher may have something to add. Geez Joshua, up kinda late, aren’t we? :)

A granny flat is a small, usually open space, often much like if not identical to a studio apartment. It can be a separate building in someone’s backyard, a converted basement or family room, etc. You get the point.

There’s usually a ‘living area’, a small little kitchenette, and a bedroom area. Usually, but not always, the bathroom doesn’t have a bathtub, just a shower.

In San Diego they’re usually where our aged mothers live — next to the pool in the backyard. :)

Hope that helps. Cher may have something to add.

]]> by: Joshua http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8045 Sun, 27 Apr 2008 06:14:26 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8045 Cher: Could you elaborate on what a "granny flat" is? Thanks! Cher:

Could you elaborate on what a “granny flat” is? Thanks!

]]> by: Cher http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8044 Sun, 27 Apr 2008 04:38:56 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8044 Buying a multi to live in a great idea financially. You can also have housemates or create a granny flat if it is legal in your area. Altho this is a no-brainer financially, emotionally it is not for everyone. When you live next to your renters, you give up some of your privacy so be sure you are ready for that. Pick tenants that you would like to have as neighbors. For the loss of privacy, you get paid handsomely. I have done this and feel it is a good trade-off. Be sure you understand the consequences and screen the tenants carefully. I have done this and think the positives outweigh the negative. One causion tho: You have to have the personality to live right next door to your renters. Buying a multi to live in a great idea financially. You can also have housemates or create a granny flat if it is legal in your area.
Altho this is a no-brainer financially, emotionally it is not for everyone. When you live next to your renters, you give up some of your privacy so be sure you are ready for that.
Pick tenants that you would like to have as neighbors.
For the loss of privacy, you get paid handsomely. I have done this and feel it is a good trade-off.
Be sure you understand the consequences and screen the tenants carefully.
I have done this and think the positives outweigh the negative.
One causion tho: You have to have the personality to live right next door to your renters.

]]> by: BawldGuy http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8036 Sat, 26 Apr 2008 16:35:05 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8036 Back atcha, Joshua. :) Back atcha, Joshua. :)

]]> by: BawldGuy http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8035 Sat, 26 Apr 2008 16:34:38 +0000 http://www.bawldguy.com/not-financially-ready-to-be-a-brown-brown-client-yet-heres-a-plan-for-you/#comment-8035 Chris -- I like that plan and have used it many times. It works well on so many different levels. Chris — I like that plan and have used it many times. It works well on so many different levels.

]]>