I usually base 3% compounded appreciation for value. Thomas comment "If 70% or higher leverage, i.e. 30% or less down, I budget 0% cash-on-cash ROI, i.e. all cash flow gets re-invested into asset improvements on tenant turnover or saved for major item repair (new roof, hallway carpets...

My thoughts are this: The issue is "humanity". We are the problem/solution. There will always be equal amount of support/challenge. That's how the world works, in perfect balance. We will ALWAYS have problems, that's life. So you can be a "wine(r)" or a "winne(r). FREE usually...

I think there's a real battle between Political and Civil issues that might arise if these countries were allowed to go bankrupt. I think that Canada will defiintely be affected and are not shielded from the effects of Europe and US. We will definitely be the BEST of the Worst though! Us...

Hi Neil, One of the heavy hitters in REIN told me that THERE IS NO CASHFLOW IN RESIDENTIAL REAL ESTATE! What he does to mitigate the risk of "runaway expenditures" is he gets a reserve fund of 3% of purchase price put away. It helps him sleep at night. The 3 month reserve fund that REIN...

There's lots of areas. Easiest would be around transit stations. Those usually are safe bets.

LMAO! How do you hilight parts of post?

Rickson: I agree with your comment and would like to add that sex, drugs and rock and roll. Everything "external" is a distration and humans often "rationalize" it to be "out of our control" to resist. When situations or other people become the "locus of control" in our lives, we become...

Hi Joey, Thanks for the comment. I didn't even realize the "harshness" of my post. It was not my intention to do that. What I did want to hi-light was the fact that ALL humans as a result of "inadequacy" compensate with external stuff like drugs, alcohol, food, cars ect. That's what I...

The real question is "What's making you spend money?" Is this compensation for something? People accumulate "posessions" as a result of "inadequacy" for some unknown reason. So maybe a good behavior to switch to is this. When you have the need to spend, go and dep the money into an account...

Definitely go see if or have someone "trusted" view for you. How do you feel about vacancies? If this makes you nervous say 6+/10 than you should also have a safety fund of 2% of purchase price sitting there specifically for just that property. Design a plan to hold for 5 years and you...

One is a storey telling way of investing and the home study shows the entire system. Personally I'd get the home system, definitely worth the cash and the property management tips are GOLDEN!

Sure give me a shoult 18662001306. Make sure the people who do it full time and you talk to live off their income. There are many shocking realties of Residential real estate that I never knew existed but learned only from being in the "game".

Hi Michael, Let's take this a level deeper then shall we? Money as a motivator means motivated to "accumulate money" Is this your end result your motivated to do? Or is it what you can do with the money that motivates you. Just a thought.

I think one of the biggest mistakes any investor who manages their own stuff is this: 1. Being a friend rather than a property manager. This leads to common problems like: 1. Not immediately issuing eviction notice 2. Late rent payments 3. Making excuses to not evict tenant. 4...

Most people have "no vision" in a literal sense. They are just day to day, slave to the dollar. Usually that mindset is not compelling enough for people to push "their comfort zone" We all know that "money" is an ineffective motivator.

Great info Ken and Michael! So here's another question to help people who want to invest in land but don't know if the company actually knows what they're doing. Just like Thomas Beyer says, "There's developers out there that are good at raising money but have NO EXPERIENCE OR EXPERTISE and go...

In all honesty when you're dealing with financial stuff, you want to draw your info from "Real Data" and minimize on the assumptions. Especially if you're basing your decision possibly on a "false positive" Realtor derived info is current, from a huge data pool and more accurate than any...

Hi Everyone, Everyone always talks about JV's and rental properties on here. I think land is a great investment if done properly that is at least as good as residental rentals if "done properly". I have no experience in the development side but I'd love to hear other REIN members thoughts...

ONLY time it's "hands off" is if you're the "money partner" and the jv agreement stipulates that. But hands off means to me, i don't deal with the asset or tenants. Rent to own is a more senior way of investing and I do know that many people are doing rent to own that possibly is set up to...

Hi Nik, The problem with books and blogs is that the prespective people write from is more "about establishing expertise" rather than autobiographical. Reacting to real world situations requires one to be vulnerable, geniune and deal with the Emotional rollar coaster side of...