New to Real Estate Investing/Looking for rental properties

[Martin Krimmel]

Hi,

I've recently joined the BP Community, reading real estate investment books, listening to podcasts ect. I'm currently working with a real estate agent to find buy and hold properties. I have some cash available to purchase my first investment property but due to the high prices in Seattle I am looking more south, Kent, Auburn, Federal Way, Burien area.

Since the market here is very competitive and a lot of homes carry high price tags, I would love to hear if others have been successful in purchasing potential buy and hold properties for 200k or less. We've currently been mostly looking at properties on the MLS and I've started to analyze them using the BP calculators but deals are tough to come by.

If there is an experienced investor on here I would be happy to buy you lunch and pick your brain a bit.

Thanks and let me know if I can provide more info!

Marty

[Shawn Ginder]

Personally I was on a journey for at least 6 months running actual numbers on 300+ deals before buying our first one. Once I connected with a mentor in the local market I wanted to invest, it was just a matter of a few months before we closed on our first deal set, did three properties in our first go, but nothing under estimates the investment of time in understanding the local market. I also researched other markets when my home town area didn't make sense price vs. rental income ratio. When I went 30minutes west, 45 minutes north west, 45min east, and as far as 2 hours south, than I stubbled on numbers that worked for us. 

Examples:

$37k 2unit deal - rents $950 month with below market rents, raised rents, having a tenant turn over this month, will raise rent on unit over $120+per month.

$50k single family - rents for $925 

$34k single family - rents for $850

And others, all purchased with 100% financing, producing cash flow from nothing down to positive cashflow.

Two of 5 total deals were on the MLS.

Time spent researching is never a waste! Being persistent and never giving up will get you to your dream!