Hello everyone.
I have enjoyed your forums and the valuable knowledge shared. I have recently started an LLC and will start investing through short sales and foreclosures in the Trenton NJ area. I will be starting out with 100k and I hope to generate 15-30k per deal. I figure that having cash on hand without a bank on my back and with a great team of contractors I could flip short-sale properties while adding cash flow properties at the same time. I would appreciate any ideas from seasoned investors. I am not opposed to renting to section 8 tenants as the monthly payments are guaranteed by the state. But I would like to know what other investors think about section 8 tenants. What would you do to generate profits of 15-30k per deal if you had 100k to work with? Thank you in advance for your assistance.
-Jay-
hi jay,
with 100k to work with, have you thought of maybe pursuing multi-units instead?
an experienced investor (from another board) recommends the multi-units over SFH to generate monthly cashflow.
it depends on your strategy.
if you’re looking for 15-30k per deal then quick flips or buying 2nd mortgages for pennies on the dollar might be the way to go.
Hey Ryan,
I don’t know how to quote just yet:). Please explain the Second mortgage for pennies option. I prefer to avoid the banks if at all possible.
from what i’ve been told from other investors.
banks is foreclosing…
2 mortgages
the 2nd will get wiped off.
since they will get nothing if the house goes to sale, they are happy to get something when an investor comes in and makes an offer. this depends on the lender but investors can negotiate huge discounts.
i know it’s brief but this is not my area of expertise.
I appreciate your input. I will start by contacting the banks then. Thank you.
-jay-
no problem.
i would read up more or speak to those who have done it before contacting banks. that way you won’t come across as someone who’s never done this before…unless you’re just using it to learn from
good luck
Use end buyer money if they have it not your own.