Update On My Vegas Rental Property | Money Diaries May 2024
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- Опубліковано 25 тра 2024
- In this month's Money Diaries, I'm getting real about a trashed property that left me with a $50k loss. But I'm not letting that defeat me! I'll show you how I'm renovating to turn a profit on this once-disastrous investment. Plus, I'm breaking down my monthly finances, investment strategies, and budgeting tips. Join me as I share the ups and downs of my financial journey and how I'm coming out on top!
TIMESTAMPS
00:01:37 - Crossover Point Update
00:02:11 - Income Breakdown
00:07:50 - Investments
00:16:18 - Budgeting
00:18:43 - Money Wins & Fails
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**THINGS MENTIONED IN THIS VIDEO! 👀**
💫 Call To Freedom Email Newsletter: rosehan.com/calltofreedom
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**BOOKS I RECOMMEND 📚**
I Will Teach You to Be Rich (hilarious how-to book on personal finance for millennials)
amzn.to/2VbJ1Pt
The Little Book of Common Sense Investing (Jack Bogle's classic advice on index funds)
amzn.to/32ewzjj
InvestED (step-by-step, millennial-friendly advice on how to pick stocks like Warren Buffett)
amzn.to/2SLTYpn
Unshakeable (this book = courage. blast ALL the fears & misconceptions you have about investing)
amzn.to/2SKyklt
Rich Dad Poor Dad (#1 selling personal finance book of all time... need I say more?)
amzn.to/2SJ6vtx
Think and Grow Rich (the ultimate book on money mindset and wealth consciousness)
amzn.to/37N2adc
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**MY FAVORITE MONEY TOOLS 🖤**
YNAB (I literally can't live without this budgeting app, so obsessed)
www.youneedabudget.com/?ref=Y...
Wise (like Venmo but for international currencies - I use this app a LOT for my life in Mexico)
wise.prf.hn/l/413jE0q
High-Yield Savings Accounts (don't settle for 0% when you can get 3%+ on your savings)
www.bankrate.com/landing/rose...
Ledger Nano S (crypto storage hardware wallet, because "Not Your Keys, Not Your Crypto"!):
amzn.to/3Ne37jy
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DISCLAIMERS & DISCLOSURES ❤
This content is for education and entertainment purposes only. Rose does not provide tax or investment advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. All investing involves risk, including the possible loss of principal.
This description contains affiliate links that allow you to find the items mentioned in this video and support the channel at no cost to you. Investing With Rose is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to www.amazon.com. Thank you for your support!
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@itsrosehan is my social media handle on all platforms. I will NEVER message or email you about investment schemes, so please be careful and block & report any scammers posing as me.
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Shouldn't the cars owners insurance pay for the damage? I mean, the house didn't pull out in front of the car.
Your willingness to talk about money with the freedom that you do is very liberating.
Dangerous though.
I'm insurance underwriter and was previously an agent. Regardless of what you do with the property please make sure it has a Replacement cost and No Coinsurance penalty.
Congrats on all of your successes 👍
Love these money diaries. You're like the big sister I never had teaching me about $$$!
I sold two rental houses and an empty lot in 2023. I feel such a relief that I don’t have to worry about the headaches that come with owning rentals. No matter what people say, as an owner you don’t always think only about the rental you can collect but I always thought about if they are going to pay this month. I decided to sell these properties and open high yield CD accounts that pay me the same amounts of if I were renting these properties out and have no headaches. I just look at my dividends each month. So much easier and I can enjoy my weekends now.
Hold on to the property if you don't need the money from selling it. It's passive income and it will keep appreciating in value. I'm glad I found your channel. You have a talent for explaining personal finance in simple terms.
For the popcorn ceiling, it is actually pretty easy to do and you can definitely do it in 1 or 2 days as a DIY project. Very satisfying scraping the popcorn ceiling down.
As long as it’s not asbestos 😂
Hi Rose! As the small rental property owner, I would keep the property, yes rentals have their headaches(big problems sometimes) yet rental property is tangible, you can make changes, or improve the property for a better return, cannot do that with stocks, and ETFs. I'm sure you will be fine. Thanks, Rose I have learned so much from listening to you. God bless you, Rose
Keep it until it pays you back your losses. Get a new property manager, they should have kept your additional losses at bay. You have an income generating asset, get more. Love you and your videos.
Your success is such inspiration for me! Thank you for sharing your journey and insights to help us achieve our financial goals. I am always amazed at your humility and grace when explaining your mistakes. No one is perfect and I am truly grateful for your knowledge. Rose you are a treasure to us🌹🫶🏽😉Can’t wait for the book!
Don't sell. With the upgrades you are putting in, you will get more out of the rent. Change the insurance to protect yourself for future accidents and have a good management company so you can continue the "passive" life.
You are so amazing. Thanks for sharing your experiences.
I'd keep the rental property. Yes, it can be a headache sometimes but it will keep appreciating. Also, if you ever found yourself suddenly needing a place to live, you would always have it to fall back on. Love the Money Diaries series! Thanks Rose!
Glad you like the series!! I enjoy making them too ❤️
You have been through so much, and have accomplished so many things. You amaze me keep going, I see great things for you, and thank you for sharing so many personal things I really have learned a lot from you. Thank you so much 😊🎉
love the transparency in the video! ❤looking forward to next month money diaries n also I would like the learn the loopholes you were mentioning about withdrawing from retirement accounts. have a good day ☺
I would like to hear what @GrahamStephan thinks you should do with the house.
your resilience in turning a catastrophic event into a potential profit is truly inspiring! your experience underscores the importance of contingency planning in real estate investments. 👍
I'm a realtor in Los Angeles. I would sell the house and do a 1031 tax exchange and buy into 2 to 4 units. This type of property is liquid vs buying 5 units and up because of the financing involved. I would still keep the same management team. Also stay away from corner lots and T intersection properties. Las Vegas is growing and I only see prices rising if you decide to keep it.
Great video. Honestly, most people can’t afford to own a rental property. That’s typically best kept for wealthy people.
Appreciate the granularity of the information and personal experiences.
Hey Rose, I always watch your videos and use it to learn on how to invest.
Thank you for teaching documenting and sharing about this.
Thanks for being transparent and showing us your income....especially the course revenue.
Thanks for being so transparent. Hopefully the rental is complete asap
The thumbnail to the video “I’m screwed” lololol 😂
Great video. I'd keep the property. Also, I'm interested in another video about your boyfriend's finances. Keep up the inspiring work!
You are absolutely inspiring to this 49 year old with a 14 year old who is eager to create a life of financial freedom through investing! Keep the content coming!
If you’ve made good rental income on it to date, which it sounds like you have, I’d stay in it as a rental. We have gone through similar situations with our rentals when I just wanted to throw up my hands, take the equity and run from it, but staying in was the better choice and we continue to be blessed by the equity going up while collecting rental income each month.
Awesome. You go gurlllllll. THANKYOU for your time and energy ❤ gods bless!
Rose, do you use ynab for managing budget for your business also? Great video! Thanks a lot!
Never heard of CrossOver Point til now . getting closer by cutting costs .
Very informative video .. thank you and good luck ❤
You learned the hard way. Keep the place, as long as you are making a little in rent the appreciation is worth hanging on to it.
Or if you choose to sell you can do a 1031 and take the money you made and tax free invest it into a new rental without things like a pool that are super expensive to maintain.
I'm a builder.
Right now is the worst time to get anything fixed. Anything build.
Cost is out of control.
I think you should keep it and use the opportunity to learn with owning properties. You cant run as soon as things get a bit heated. Just the same with the share market, I'm sure you wouldn't sell if and when the share market goes down. Push through and reap the rewards.
That’s a good point… thank you 🥹
Hey Rose Question for you? I just bought a house and they're giving me 20k flex cash. How should I use? use it to cover all closing cost and the remaining in Points or Price? Or use it towards Price and pay out of pocket the closing cost?
i would say keep your rental house as selling now only makes 30k after all the hard work you've put in. on long term it will appreciate, up your rent and it also makes for added diversification in your investment portfolio.
Thank you for making this video
Depends on your roi on your rental property before you can decide to sell or rent
Popcorn ceilings are a total dealbreaker for me
Thanks Rose, we've enjoyed following you over the years.
On your LV rental, why not sell and hold a reit instead if you want outsized exposure to real estate without so much concentrated risk? (If not something like a vanguard reit, maybe fundrise? Though curious if a broad passive index fund doesn't already outperform real estate, since presumably it already includes real estate exposure as a percentage of index weighting.)
Always appreciate your thoughts and wishing you the best. Keep up the great work.
I was considering that too! Weighing all the options now, will keep you posted :)
Perhaps we should avoid units tangent to roads?
That is INSANE!
Also was the person who crashed not liable for any of the damage ?
Yes, that person is legally liable. As a practical matter, however, they may not have any money or insurance to pay for the damage they caused.
+1 (curious about this as well)
The person who treats his car like he’s at a demolition derby has a life that is like a demolition derby.
So… No $
Did you mean the property was assessed as UNinhabitable? Hopefully the renovations will add value to the house. I would keep it.
If you’re going to fix it, don’t sell it for the next 10 years or so. If you plan to keep it, keep it for the next 20 years and beyond.
I agree completely
Rose, Do you options trade? Can I mirror your options trade? If I sell options am I considered to be a call or put.
Hey, will you ever do an up-to-date house tour of the house you live in now? Also to answer your question you asked I would just sell the property and move on.
Excellent explanation and learning experience.😮
I think for that house, you've done the hard part. Congrats! If there's no urgent need of cash, property is still a solid solution. But if you are not in urgent need, why would you start to withdraw your retirement money in your thirties?
If you sell the property and still wanna be invested into real estate without the management headaches and the loss of time, what about moving that capital gain to REIT s ?
Great channel, BTW !👏 👍
Good luck with your ventures.
REITs suck
Love your new haircut/color babe! Looks so good on you
SELL. Having put in or upgrade alot of new things in your home, I wouldn’t trust the tenants to keep them in tip top condition when you sell.
Besides, if you do make $30K-$50K profit, you can put that in your emergency fund or tax benefit investments, not necessarily in the stock market.
Good luck Rose!
Hey Rose - sorry for your misfortune, but good luck on your fortune! IMO, this is the perfect illustration to why I don't invest in anything physical...you cannot control your costs, and to folks like us, our emotions. While a roller coaster of valuation, mostly up, the liquidity of USA stock ETFs and their low, controllable costs tells me USA Stock ETFs are a no brainer.
Don’t sell yet. Up the rent a bit. Not sure why, but I definitely would have gotten rid of the $10k popcorn ceiling as well during this “mess” just to get done and over with. I just harbor such a dislike from all the crappy apartments we lived in growing up poor. 😅
Didn’t realize still working on that property. Market has stayed very strong here. You’d be surprised what a very nicely remodeled property can get.
Hope you’re well. This summer will be an Italy trip and plan to view properties there when I go.
Curious about what insurance the driver of the car that crashed had and if it covered anything?
I had no idea of the different insurance policies! You call it a nightmare house, yes it has had a pretty big incident but as you say you have also had the opportunity. to renovate and upgrade. It is really a nightmare house? did it rent well before, good location for rentals etc. I would be keeping I think at least for now. A tenant would be really put of by a clause like that in a lease. Maybe rent it out and reconsider selling later.
I say keep the asset, you already learned a lot, you can take that and current experiences into your next endeavor...but I totally get it if you decide to sell 😄
Be patient, you are doing everything correctly.
Seems you could have had the algae cleared from the pool without emptying it. Please get multiple bids on work. I would keep property. A 1031 exchange might work if you can find another worthwhile investment, but not sure in this economy. Popcorn ceiling removal would have been ideal before floors were put in. Top to bottom upgrades seem to sell better. Did driver of car have insurance or assets you could go after? What is liability when renting out a house with a pool? Be sure you are covered. Go Rose go!
I would not sell.
Did you account for agent seller fee?
Hi Rose! Love your content. Sorry you're going through a hard time - life be life-ing lately smh. I think comparing what is better financially is a good start. Since you already own 2 other rental properties, it might be ok to sell this one for a nice profit. Trying to think longterm since owning real estate is wealth building. Rooting for you!!
I started my journey with high yield income dividend (CONY, MSTY, IWMY, NVDY, ULTY...)
in January 2023. My monthly dividend went up from $2,000 (2023) to $17,661 (now). It
took me a lot of frugalities, sacrifices and disciplines to retire and live with $40,000/year
at 57 with no debts (house, car and credit cards paid off). My next goal is to reach
$20,000/month by the end of the year.
For some reason I thought you bought those properties cash but just now realized you said you have mortgage on them. Just to clarify Did you buy one w cash and one w mortgage, Or both w mortgage?
AYo girl, 2 in aweek.
LFG!
Serious though glad to see you turned that up, ohh the real estate nightmares i used to have....glad to see you joined the "Club"
I was a small-time landlord. The dollars may add up, but the stress isn't worth it.
I’d just keep it and rent it out. Hard to get a decent price now with these high interest rates and then you need to put the money in a safe investment. Gets tricky.
Rose, What is that program you're using for your budget?
I'm realizing lately that I really need one that's not just "in my head".
Ideally, I'd like to find a program that doesn't require that my personal finance information leave the safety of my own computer...and one that's easy to re-allocate funds between categories the way you did because I do a lot of that.
Update: Found it! (YNAB) I'm going to look into it!
Yes YNAB is the best, hope you like it as much as I do!
when you move money around in your budget app, is it just for visual or is it really being moved and will automatically get invested into your dividend account??
oh yeah im no pro but i would keep the property and rent it out, you have already been through the worst with it, prayerfully.
Great content! Where is the house located, worth $500,000 + ?
All of the property owners buying up houses just to rent out is the main reason housing costs are astronomical. Everyone should be able to afford a house but if you're snatching up all of the available houses, that's just adding to the problem. Sell, but not to another property owner. Sell it to a family.
@yeeaahBuddy, Do you actually expect a small-time landlord to turn down a better offer from another owner, to sell to someone else? Discriminating based on ownership status isn't fair or legal. I understand the frustration of non-owners (I was there myself once), but many such frustrated renters come up with pretty wild, unrealistic "solutions".
Are u a Social ist?
Love your content
Yotta bank won’t give customers back their funds, what can we do?
Insurance is not covering? Um, how about a layer to squeeze the driver to pay for his damages?
I heard from one real estate agent that selling a house that is occupied by tenants can be a major problem. Very likely your buyer will have a contingency that the property is empty by closing. If your tenants (who just moved in) are unhappy, they could decide to be difficult. Or even if they're trying to move out, they may have trouble finding a new place. It's a seller's market, I would try to sell before taking in tenants.
Airbnb the place
Rose don’t sell now. Rent it out the price of housing will continue to rise. You can always sell at a profit.
We’ll see we’ll see 😩
Don’t sell, this is something you really wanted to do. You experienced a setback, but it sounds like you will come out ok. What about the drivers insurance? They caused the damage! Shouldn’t their auto insurance cover the damage?
I'd sell it, shift it to a fund, and forget the hassle. Keep it simple.
I would rent it out. Like she says, if she sells, she has to do something with the money. The market is at all-time highs, etc.
Have you lawyered up against the people who damaged the house?
Good idea to try both approaches RENT and SELL, and see what's best.
The driver should be held liable for the remaining damages not covered by insurance.
How many rental properties and you working with?
Sell , and invest in holiday rentals
When it rains, it pours when it comes to homeownership.
The stock market and Crypto investment is a way to protect against inflation. Particularly in the midst of a recession, investors must understand where and how to allocate funds to protect against inflation and still make profits.
Don't you do Options Trading? Where's the revenue for that?
I had to use my capital to pay for some of the repairs, but plan to replenish it asap so I can start selling options again!
Collect money from the owner of the car. The driver destroyed your property so you should go after his insurance also. If he or she is not insured, determine if it is worth it to sue.
In hindsight wouldn’t it have just been wiser and easier to buy and rent out a condo rather than a single family house? Especially if you don’t care about living in it yourself, why go through all the hassle of maintaining an entire house for someone else? Plus you would not be alone in case of issues to the building.
Not to mention these property owners buying up single family homes are just taking these off the market for people who want to buy a house. It's why the housing market is such a mess.
❤❤❤
I'd keep renting it out for sure! You've renovated, and if you sell, you only benefit a profit once, but if you keep the house for 10yrs, your profit will be monthly :)
Sell and invest in S&P 500.
The way you are fixing up the home is geared to selling the home. Fixing up home for a rental you do not put as nice material. I would not rent it out as I would not trust the tenants to keep it up. I would suggest selling the property and do a 1031 exchange for a duplex. This would give you content for your show as well as more positive cash flow.
Most Pop corn ceiling’s have asbestos
Ah, in Vegas! Figures, the driving here is crazy.
If you're fed up with repair and renovation pains then sell and invest the profit in a High Savings Account or any compound interest scheme. Then you will sleep well😅
She has alot of money
Sell it and put the money into Bitcoin.
😁
Don't sell. You will look at this in a few years as a learning experience. Then the house will be worth more.
Agreed! Fast cash is always less .
She needs some snp500 etfs.
This is why I don't like house near a busy street. There are too many crazy drivers out there period. Luckily no one in the house got hurt thank God.