Experience working with a Holton Wise Realtor, Cleveland, OH

[Kris Martinez]

I wanted to share my experiences working with Federico Gutierrez from Holton Wise. My disclaimer: this post is about Federico Gutierrez and his professionalism and my experience working with him. I will update this post once we close our first deal and I have had a chance to work with Holton Wise property management.

I met Federico through the BP Marketplace. After 2-3 months of analyzing deals, putting in offers, or even walking away from a deal after the inspection, we will be closing on our first deal together in about 30 days; but, it doesn't take closing a deal or a certain number of days before you can sense a persons' integrity or how a relationship is going to turn out.

Federico is an investor from Australia, so when I first contacted him, he was overseas doing his annual inspection of his properties. Even with the 9-ish hour time difference, I would have never thought he was in Australia. It seemed like he was available when I needed him to be, and to this day he is extremely responsive at any time of the day. 

I am a big advocate in having strong relationships, so I prefer to ask a lot of open ended probing questions searching for responses that force people to talk and give me their opinion. You can learn a lot by just listening. What I continue to enjoy about working with Federico is when I ask questions he gives me thorough and thoughtful responses (and still does). He speaks the language of a real estate investor and has challenged me in my analysis. He understands the numbers and is respectful of my KPIs in a deal. Most importantly, as an out of state investor, his expertise in the area is critical. For our current deal, Federico visited the property after repairs were made, took pictures, and spoke with the tenants. It is the little things that count and Federico is checking the boxes.

Federico is the best investor-realtor I have worked with. He is a hard worker and I am looking forward to doing more business with him. His success is important to me; as he develops his network and group of investors, I think he will not only to continue to provide excellent credible support, but he will use his network to bring even more value to his investors.

@Federico Gutierrez

@James Wise

[Federico Gutierrez]

@Frank Casi

If you would like to me to explain it you, this is all based of BiggerPockets rules

Property is $89,990

Residential loan requires 25% of Purchase Price $ 22497.50

Income is 4units * $495 = $1980/month. Annually would $23,760.00

BASED OF THE 50% RULE. Where 50% of your income is going to expenses (Taxes, Insurance, etc) and maintenance $11880.00

Mortgage is based of 4.5% over 30yrs. Your annual debt service is $4,103.69

Basic maths here mate

RENTAL INCOME - EXPENSES - DEBT Service = CASH FLOW

$22497.50 - $11800 - 4,103.69 = 7,776.31 Net Cash Flow.

Remember thou you putting down $22497.50.

Cash on Cash return = $7,77.31/$22497.50 = 30.5%

I hope I explained this clearly for you to understand.