New to BP, Real Estate, and Kansas City

New to BP, Real Estate, and Kansas City

Kansas City, MO · Member since 2016 · 14 posts · 2 votes

Hi everyone,

I am hitting the new member trifecta today. I am new to real estate investing, Biggerpockets, and Kansas City (I’ve been living here for over 4 hours now!) I’ve spent the past two years working as a structural engineer and I am moving to Kansas City to further my engineering career. I have been planning to move for several months and have used that time to build my foundational knowledge regarding investing, real estate, and business. Many people on the site and several authors have mentioned using local libraries to gain access to hundreds of great real estate and business books and I have taken full advantage of those resources. I highly recommend it to anyone who is in a similar position and looking to get up to speed by learning the basics. I have learned a tremendous amount over the past 6 months of studying and while I sure am I still have much to learn, I fully believe I know enough to start and I am ready to jump in and take massive action.

To start out, I am planning to find a small multi-family property in order to house hack or combine my personal residence with my investment. I am planning to use an FHA loan to put 3.5% down and save the rest of my capital for renovations and additional properties with traditional financing. My ultimate goal is to obtain financial freedom within the next 10 yrs by investing in small multi-family properties (and single family residence's when the deal and the numbers make sense) and trading up to larger properties as I gain more experience and capital.

I have worked hard to get my ducks in a row so that when I got to Kansas City I could hit the ground running. I have solid cash reserve set aside to invest and my credit is in great shape. I should be able to afford putting a down payment on 2-3 properties with using (1) FHA loan and traditional financing for the rest in my first year, if I can find deals where the numbers work (and my debt to income ratio is acceptable). Due to my engineering background and the skills I have acquired, I feel very confident in my ability to handle basic home repairs myself and I have made a few connections with various skilled tradesmen to assist in rehab projects I may encounter.

Being new to Kansas City, I believe my first step in starting out is familiarize myself with the area. To that end, I would love to meet local investors and real estate professionals working in the area. Looking around the site, I a found fantastic post by Chirs Dawson about zip codes in Kansas City, MO (shout-out to him, great resource!) I wanted to ask the community here if anyone was aware of local Biggerpockets meetups or REIAs that would be open to new investors who are hungry to learn more about real estate. I was able to find a couple of pages listing Kansas Real Estate Investment Clubs and Missouri Real Estate Investment Clubs and I will be sure to check those out. If I missed any or anyone is aware of others please let me know, I would be excited to hear from you. Also, if you’re not local to Kansas City but would still like to talk about real estate, investing, or any other related topics, send me a message and I would happy to speak with you.

Last but certainly not least, to those of you who are still here with me reading this, this shout-out is for you. I truly admire people who finish what they start whether the task is big or small, kudos to you. I know your time is valuable and I appreciate you using some of it to read my post. I am so excited to get started and to meet, connect with, learn from, and aid in your pursuits and endeavors however I can while I’m on this investing journey.

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Andrew SyriosPro Member
Moderator
Residential Real Estate Investor · Kansas City, MO · Member since 2014 · 10k+ posts · 5k+ votes
9y

Welcome to BiggerPockets Greg and you're right, Chris Dawson's post is a great resource. Good luck!

See this reply in the discussion

22 Replies

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  • Michael S.Pro Member
    Biggerpockets Support · Las Pinas, Metro Manila · Member since 2015 · 7k+ posts · 1k+ votes
    9y

    That's a great plan Greg and all the best in your investing. 

    BiggerPockets
  • Andrew SyriosPro Member
    Moderator
    Residential Real Estate Investor · Kansas City, MO · Member since 2014 · 10k+ posts · 5k+ votes
    9y

    Welcome to BiggerPockets Greg and you're right, Chris Dawson's post is a great resource. Good luck!

  • Rental Property Investor · Kansas City, MO · Member since 2015 · 22 posts · 6 votes
    9y

    There is a meeting that meets somewhat regularly:

    https://www.biggerpockets.com/forums/680/topics/208384-any-kc-investors-want-to-grab-a-beer-and-talk-shop

  • Lakeland, FL · Member since 2017 · 9 posts · 1 vote
    9y

    Welcome to the forum & to the sight. I will tell you that they have alot of valuable tool & insight to help you as long as you apply it. 

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    Hey guys thanks for the comments!

    @Michael S. thanks for reading.

    @Andrew Syrios I appreciate the welcome. I recently read your one of your posts on your BRRRR strategy. Great read and very insightful, thanks for sharing.

    @Matthew Lockwood that sounds like a great opportunity and I would love to attend the meeting. Let me know the when and where for the meeting and I'll be there!

    @Raul Hernandez from what I've seen so far it looks like this site has a ton of valuable information. I think your last 6 words are sum up exactly what I need to do now. 

  • Contractor · Los Angeles, CA · Member since 2015 · 887 posts · 323 votes
    9y
    Greg Davis welcome to BP and all the best to you! Jorge
  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Account Closed thanks for the comment. Good luck to you.

  • Investor · Aurora, CO · Member since 2016 · 114 posts · 112 votes
    9y

    Hi @Greg Davis,

    I think you have laid out your initial RE investing business plan!  I can tell you that the resources here are tremendous on BP, you will find a lot of information to go along with your goals.  No matter what, definitely do not let the naysayers sway you from your goal of financial independence in 10 years via RE investing.  I can tell you that I have met several people through BP in just a matter of a few weeks who have done just that, and many of them achieved that sooner than 10 years!

    Let the numbers be your guide, that is what I have learned, and do not be afraid to walk away from a deal, if it does not meet your financial and personal management criteria.  Unlike Denver, where I live, in KC there are still a lot of on-market deals.  Certainly more than enough for you as a newbie to analyze the numbers and make a choice as to if the investment fits your long term growth strategy.

    If you are serious, I would suggest becoming a pro member of BP and taking in as much training as possible before buying anything that will be non-owner occupied.  The podcast are also full of information and very inspirational.

    Good luck!

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Michael Hastings thanks for posting, you've given a lot great ideas to think about! I totally agree with what you said about not listening to the naysayers. I know achieving financial freedom in 10 years (or even 20 years) is not an easy task but nothing in this world worth doing is. It's always inspiring to hear about people who have already done it and I love to see all of the success stories on BP.

    Also thanks for sharing your take on the KC market. With there being such a strong seller's market across the country I was assuming on-market deals would be hard to come by and I would need to focus heavily on off-market deals. Nice to know on-market deals are still worth pursuing in this area, and it sounds like a great way to start analyzing deals in this market. 

  • Investor · Aurora, CO · Member since 2016 · 114 posts · 112 votes
    9y

    @Greg Davis, I have been analyzing deals found here on BP in the marketplace, and ones I find on realtor.com for the KC, MO market, and I can tell you that even being really conservative with my analysis, I have been able to make the numbers work for SFH and 2-3 unit investing in KC. There are a lot of investors on BP that are successful in the KC market (wholesalers, buy/hold investors, agents, flippers, you name it), you can search on the site with just the words "kansas city" and you will find a lot of people you can contact directly in addition to forum and blog post that support my assertions.

    Since you are there, you can get into your car after work and drive the areas, which gives you a big advantage over out of town investors like me.

    Let me know if I can help with anything further, happy to talk with you.

  • Real Estate Agent · Kansas City, MO · Member since 2015 · 85 posts · 19 votes
    9y

    Welcome to the BP community and welcome to KC! MAREI is local investor group that would be a great resource for getting started. Check out their website MAREI.org

  • Investor · Aurora, CO · Member since 2016 · 114 posts · 112 votes
    9y

    @Greg Davis, any luck finding properties to analyze for investment in the KC market?

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Nick McKinnis based on the website you mentioned it looks like MAREI would be a great resource and I will be sure to follow up with it. Thanks for sharing!

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Michael Hastings thanks for the follow up! I've started out analyzing at least 1 property a day everyday through realtor.com, zillow, and the BP marketplace. I have also been driving around a lot of potential neighborhoods to get a feel for the area. I have yet to find a deal that meets my criteria, but I have been pleasantly surprised so far in the potential some of the properties I have looked into have shown, even as I am just getting started. I'm starting to see what you are talking about in regards to the potential in the KC market and it's exciting!

    How are things going on your end?

  • Investor · Aurora, CO · Member since 2016 · 114 posts · 112 votes
    9y

    Hi @Greg Davis, that is great news. I know it can be hard to keep up with analyzing a lot of deals, but it is so worth it, to get you looking at properties and getting used to the property prices and rents in different areas. But, keep it up, I have been doing it for almost 3 weeks or so, and I have learned a lot about valuations, expenses, rents and cash flow just from this (I have analyzed about 30 properties for buy-and-hold). I have begun calling Prop. Mgmt companies as well, to ask for information on the potential areas, and they have given a lot of info. You could do the same there (I literally just went to google and typed "property management", and then called and introduced myself as a potential investor of property in XXXX area, and stated that "I wanted to see if you could help me with info on rents for SFH 2/1 or 3/2. tenant screening, etc..")

    I am continuing to study for my RE license, looking forward to becoming a Realtor and Investor.  Getting passionate about investing and excited for the opportunities!

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Michael Hastings I agree the analyzing will be well worth it. That's a great tip on the property management companies and finding a great way to hear professional opinions on the market. I will incorporate that in my research too.

    Keep it up with RE license, I'm sure it will open up a lot of doors for you, not only in lead generation, but also in networking opportunities. Good stuff, that's fun to hear about!

  • Flipper/Rehabber · Kansas City, MO · Member since 2011 · 2k+ posts · 712 votes
    9y

    On the groups - I am the leader at MAREI and would like to invite you out to your first meeting.  If you register first, you can attend free - many thanks to @Nick McKinnis for posting our link - I will be posting the August meeting shortly.

    You will also find that the MAREIMember website MAREIMember.com has a lot of the landlord and other member's events posted and you will find more listed here on the BP event page as well as Meetup.com

    I suggest MAREI as a must, WinVestors if you want day time meetings and depending on where you might invest and hold properties - find the landlord group in that area as well.

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Kim Tucker I would love to attend the August meeting for MAREI and I will be sure to register first. Thanks for the invite and the comment. 

  • Rental Property Investor · Chandler, AZ · Member since 2017 · 39 posts · 9 votes
    9y

    Hi Greg,

    Welcome to BP. Kansas market is a good market to find deals and BRRRR is a very good strategy with right planning. I am also in the same boat looking in to Kansas for BRRR but out of state.

    Being a local will be a great advantage. Since you already have educated yourself and have a plan is the right thing. Go to local meetups, build you network and go from there. All the best.

    Keep sharing your experiences, i will be interested to know more about the market and deals as i am also actively looking to invest in KC market.

    Anudeep

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Anudeep Yapala thanks for the comment! You're right be local is a big plus and I'm excited about attending local meet ups and meeting people around the area who are pursuing similar goals. Feel free to message me if you want to chat about the market in Kansas City.

  • Liberty, MO · Member since 2017 · 55 posts · 51 votes
    9y

    @Greg Davis I recently made the switch to the real estate investment world and it has been an excellent move for me. Now I am trying to connect with others in the area to try and help and connect people the same way others did for me. I would be more than willing to get together or begin organizing some meet ups in the future as well. I have met a ton of great people and I find I love the people as much as the business.

  • Kansas City, MO · Member since 2016 · 14 posts · 2 votes
    9y

    @Jared K. congrats on committing to making the switch to real estate. Connecting with others in the area sounds like a great goal. If you do organize a meet up, let me know and I would be happy to attend.

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