Turnkey Properties in Detroit- Single Family

[Tyler Jorgensen]

I have a business partner in Canada that currently does rent to own near Detroit. He wants to split the down payment on our first turkey property. From there, we will use compound on cashflow to finance the future properties.

So I have a few questions...

1.) is it better to start an LLC early on the first property? Later, using a banner LLC?

2.) what are the best financing options? Is it 3.5% down payment? Possible to do FHA loan?

3.) I have done research on Detroit’s housing market and see potential. Anyone have advice/concerns on the market?

4.) using 35% rule on single family. What other expenses do you see? Excluding mortgage.

5.) Obviously crime and school district play an important role on the investment, any other criteria that you deem important?

6.) in rich dad poor dad he explains offering low bids on multiple properties. What do you think is a good strategy?

7.) What is considered an amazing cap rate in Detroit?

I am a new future investor. Anything helps. I also would love a mentor or someone that I can learn and share ideas with. (Preferably Detroit but anywhere is great)

Lastly, thank you for your time!