On 15 Sep 2014
My first real estate bear thread (ever),
"But people just keep coming to our crap hole for jobs.
There are a few people stuck in these hell holes because all of their living family is still in those areas and refuse to leave. They usually refuse to leave because they bought their house for nothing before the nineties and hate change, and well frankly, all their friends and family still live there."
Your ranting is hilarious.
Crap hole? I call it survival.
Hell holes? Everyone has an obligation to something, and they make it work. Why not you? Instead is spending time ranting, you can use that effort for something for creative.
Some people spend time to think of ways to SAVE money while others are that time to think of ways to MAKE money. The same effort with different results.
That's my 2 pennies. On 12 Sep 2014
Multiple Streams of Income,
Peter P says
May I ask how you got into that business?
I'd say conviction. I have always had a passion for real estate since I graduated back in 1998. When I went to graduate school. My favorite professor said "if you let me look at your night stand, I will tell you what you should do with your life." I went home and looked at my night stand and saw 3 real estate books. The light bulb went off.
Unfortunately, the numbers didn't add up in 1999-2000. Prices were high and interest rate was around 8%. Even then, I kept on evaluating deals after deals and kept on plugging in numbers into my spreadsheet almost every day all the way up to 2006. It was massive negative cash-flow after negative cash-flow.
Summer 2008 was when the numbers started to make sense. The numbers were beautiful in 2009. I decided to quit my job to pursue RE full-time. Wife was the only one that was supportive. Every else said I was crazy. To make it memorial, I put in my notice, and my last day of work was on 9/11/2009.
I planned to establish my track record before going after people with money. Well, the track record was establish, and now people want to invest with me. I'm not quite a private fund manager, but I do manage mine and our investors' real estate assets.
Along the way, I was introduced to a deep pocket individual, who is now my partner. He has a lot of liquid cash in the bank so banks are bending over backward to earn his business. The old saying is so true. Banks lend money to people that don't need money. So far, we have been able to borrow millions in loans with 3% interest rate from First Republic Bank. The ironic thing is.....my partner doesn't have a job and so do I. They lend based purely on our net worth and the collateral assets.