Where to go next?

[Ken Scarbrough]

Hello All! My name is Kenneth Scarbrough. I am a long time reader/listener of bigger pockets but this will be my first post. I have lived in Indianapolis (primarily 46250 / 46226) for almost 20 years now, and about 3 years ago I decided I was tired of working for someone else. I hatched a plan to earn myself financial freedom and after some reading decided that real estate is more my kind of thing. So I took the plunge in 2014 and bought my first duplex in Castleton, Indiana, and cash was instantly flowing! I was excited for the money but learned a tough lesson when I realized how tough the tenants I inherited could be to deal with. Shortly after there leases ended, and after a month or so I had both units filled again (Indy has a pretty solid rental market, especially in the summer). After performing some renovations on duplex 1 I purchased another duplex on the same street, and based on some much need renovations to one side I decided to house hack and live in that side so as to renovate it while renting out the other. I inherited a tenant on that side as well, but she is awesome! Pays rent on time, takes care of the property, doesn't bother me unless it's something important. The 3 golden rules :) As 2015 rolls around it seems that the good deals are getting harder to find. After months of fruitless searching I managed to talk the owner of another duplex on my street into selling it to me. That was November 2015 and the home was empty upon purchase, so it took some time to get 2 stable, well-vetted tenants. Now I am back at it again looking for a good multi family property to invest in, but they seem overpriced now and still hard to find. So my question is, where do I go now? I know there are many ways to purchase a home, and there are many ways to find a good deal, but I feel like I'm hitting dead ends. I thought bigger pockets could assist me. So I am wondering if anyone can help by sharing a best practice or tactic they use to find good rental properties in a market that shows very little on the MLS?? Any help you can provide is greatly appreciated. I love providing people with quality homes, finding good tenants, and I am dedicated to improving the area in which I live and purchase homes. Kenneth Scarbrough

[Michael Lee]

Hello and welcome to BP!  You did not say if you are interested in short term or longer term investments and what seems to be doing better there.  The market(s) determine where you go.  You might want to consider Fix and Flip because you have some experience.  The inventory on most real estate improvements are pretty low now and that has driven up prices and has been better for cash buyers because they can typically close quicker.  To make a living in this economy you have to work harder.  Just go in the hottest market for sales and you have a better chance of being a competitor.  "Driving for dollars" and direct mail handwritten is working for finding more leads.  Do not try to do everything yourself.  Find/Get local and experienced Team members that will help you and pay them well.  They are usually worth every penny.  Talk to the Chamber of Commerce to find a good area.  Just do what is working there.

I am 59 years old and I found BP about 7 months ago and I am still trying to decide what to do.  I went to college back then, not that it is mandatory, and I got a business degree that emphasized real estate.  Since I was in Texas and I planned on staying there I got a broker livcense since I was allready qualified to get it without having to take anything extra.  Regardless of what I had I felt more comfortable in the construction business.  I have been in the construction business since I was 17.  My father has been in real estate for about 40 years and he has taught me a little bit.  If you think that I can help you please contact me through BP at any time.  Good luck!