residential real estate-as an investment?

[cavdude]

I forgot to add rigzone.com is a great resource for info pertaining to new oil plays and also the production of oil from those plays. If you do a little research you can intelligently guess where It is going to boom.

===
thank you-i'll check it out (rigzone.com)-this week.


cavdude

 

[cavdude]

Boom Town politics?

BFHAMMER-do you think the politics of N. Dakota favours the construction biz-i.e. less buracracy, less building restrictions etc?

Whats your take on the law and order issue in the Boom Towns?I immagine the oil companies have their own security?

Is the building of single family dwellings not very cost effective in and around the oil towns as opposed to multi family dwellings?

i would imagine the cost of land to build on is outragious near the oil fields?



i appreciate it
cavdude

 

[Krunkkid13]

In Williston it is all about who you know. If you don't know anyone it is going to be much harder and more costly to get permits.

Land is astronomical in ND right now.

Crime is bad. Not murders n shit like tahat really more like property crimes drunks and assaults. Lots n lots of dope.

 

[Krunkkid13]

___________
those farmers must be making out Big Time-with the prospect of oil fields on their land-any idea how much these farms have evaluated are or what the oil contracts, to drill on their land, is/are worth?


cavdude

It's all about who owns the mineral rights. Some land owners makin it big others are not making shit as we can drill a well vertical to the pay zone and then horizontal through the pay zone. As long as oil co has the mineral rights for that zone.

 

[cavdude]

In Williston it is all about who you know. If you don't know anyone it is going to be much harder and more costly to get permits.

Land is astronomical in ND right now.

Crime is bad. Not murders n shit like tahat really more like property crimes drunks and assaults. Lots n lots of dope.

------------
wow-thats an eye opener--i would guess S. Dakota is the same-crime wise-altho still building up to boom towns?


thks
cavdude

 

[Krunkkid13]

No south Dakota has not kicked off yet so the crime is still minimal. I don't really worry about the crime in the boomtowns though becuz if you are just there to work you don't see it. If you go looking for trouble you can find it.
The big money makers in the boomtowns are the food trucks- if you can cook good food you can make a shit load of money. My buddy opened a food truck selling huge breakfast burritos with his special green chili n he makes 20k a month PROFIT. He just finds a location between the rigs and the man camps and opens up at 4:30am and 6:30pm and he has a line of hungry roughnecks by his food. He is kicking ass right now.

 

[cavdude]

No south Dakota has not kicked off yet so the crime is still minimal. I don't really worry about the crime in the boomtowns though becuz if you are just there to work you don't see it. If you go looking for trouble you can find it.
The big money makers in the boomtowns are the food trucks- if you can cook good food you can make a shit load of money. My buddy opened a food truck selling huge breakfast burritos with his special green chili n he makes 20k a month PROFIT. He just finds a location between the rigs and the man camps and opens up at 4:30am and 6:30pm and he has a line of hungry roughnecks by his food. He is kicking ass right now.

--------------
i love these kind of stories-good old fashion American capitalism-at its best...lol--this food truck guy will probably be living on Knob Hill in San Francisco some day just like the mule traders-hardware store owners- prostitutes-saloon owners etc (no offense meant) who established their wealth during the Gold Rush days in Northern California...lol.

i wouldn't have guessed that drugs are rampent in the N. Dakota boom towns-i mean i would think roughnecks would just be eating sleeping and working their 14-16hrs per day at 7days per week?

northwest S. Dakota sounds like a good area to be associated with-right now?


i appreciate it 'Krunkkid13'
cavdude

 

[Krunkkid13]

South daRota is still iffy it may kick off big it may not depends on the availability of leases and the productivity of the wild cat wells being drilled. If I was wealthy I would risk buying up some land near the proposed field.

Oh man we roughnecks are a different breed altogether. I know guys who work their tour leave the rig hit the bar the bong the joint and are asleep for 2 hours n back on the rig floor day in and day out. Meth weed coke heroin pills and alcohol drive the oilfield sadly enough.

 

[mrpower]

You may be eligible for some great tax deductions by investing in real estate.

 

[lookingforanedge]

Just closed a deal for my parents and a partner of theirs and they purchased a $1,250,000 two family in Boston and are getting a 17.5% cash on cash return using leverage as they purchased with 25% down.

Real Estate is one of the best investments that I know of.

You have 3 forces at play:

Cash on Cash return

Leverage: You put 25% down and have someone else pay all your bills so it is essentially buying a $100 bill for $25

Capital Appreciation: The property rises in Value while you own it.

So in the case of the above property They purchased a $1,250,000 building for only $312,500 and are getting a cash on cash return of 17.5% and at the end of the mortgage or more likely way before the end of the mortgage the property could be worth $2,000,000.

PM me if anyone wants to get rich and build a nice real estate portfolio

 

[Redz1]

residential market has ups and downs, we had down so will come an up, of course in years

 

[cavdude]

Just closed a deal for my parents and a partner of theirs and they purchased a $1,250,000 two family in Boston and are getting a 17.5% cash on cash return using leverage as they purchased with 25% down.

Real Estate is one of the best investments that I know of.

You have 3 forces at play:

Cash on Cash return

Leverage: You put 25% down and have someone else pay all your bills so it is essentially buying a $100 bill for $25

Capital Appreciation: The property rises in Value while you own it.

So in the case of the above property They purchased a $1,250,000 building for only $312,500 and are getting a cash on cash return of 17.5% and at the end of the mortgage or more likely way before the end of the mortgage the property could be worth $2,000,000.

PM me if anyone wants to get rich and build a nice real estate portfolio

-------------
cool! can you elaborate a lil more on the monthly payment deficit Vs return on investment.

thks
cavdude

 

[1RM]

i'm in

 

[Ironlover]

real estate is def a long term option

 

[BigHP]

considering market trends during last decade, I say yes

 

[Gothic]

in this market? absolutely no dam way.....commercial land yeas..... housing noooooooo...

 

[cavdude]

rebound?

residential RE currently showing ~3% rebound (here). its not much but encouraging although numbers could be tainted by pre/post election speculative hopes?






any thoughts?
cavdude

 

[-HIT-]

I would consider RE investment as 25% portfolio investments

 

[Minmax]

commercial lands was my thought too

 

[BrutalFox]

imo it's a good option nowadays