All Forum Posts by: Bryan Blankenship

@Devon Archibald Welcome aboard, sir! There is a wealth of resources and information here to help you get started. :)

Best of luck to you on finding and closing your first deal!

@Mark S. Thank you, sir! Right now we're really busy doing Cincinnati up through Dayton. There are a ton of great deals to be had in our backyard here, so that's where we're focusing for the time being. :) We do properties in Kentucky now and then, but not any turnkeys because we offer most of our rental properties with FULL turnkey services, and I just don't have a solid property management team that far south at the moment. Now, if you already have property management set up for some of your other properties in the area, or if you self-manage, that's a different story, of course.

We sold one in Bellevue recently, and another in Florence (Y'all). 

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $90,000
Cash invested: $15,000
Sale price: $128,000

GREAT little A- class SFR rental! It's a cashflowing long-term buy-and-hold that fits into any portfolio nicely. This one was relatively smooth and had no surprises behind the walls, which is always a huge plus! I don't get much time to post these since we do so many and we're always super busy, but I'm trying to get better about that. :)

Love updating these brick ranches and getting quality tenants in quickly!

What made you interested in investing in this type of deal?

This property is in a really good location, and we couldn't pass it up. Highly-rated school district and we were able to easily lease with rent amount above the 1% rule.

How did you find this deal and how did you negotiate it?

Seller called us and wanted to sell. We met on site and sealed the deal!

How did you finance this deal?

We paid cash, as we do 98% of our deals.

How did you add value to the deal?

We did some nice updates throughout and made the place shine for a new tenant :)

What was the outcome?

A++, would do again! LOL.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $90,000
Cash invested: $15,000
Sale price: $128,000

GREAT little A- class SFR rental we did for one of our clients! It's a cashflowing long-term buy-and-hold that fits into any portfolio nicely. This one was relatively smooth and had no surprises behind the walls, which is always a huge plus! Highly-rated school district and rent above the 1% rule. I don't get much time to post these since we do so many and we're always super busy, but I'm trying to get better about that. :)

Love updating these brick ranches and getting quality tenants in quickly!

What made you interested in investing in this type of deal?

This property is in a really good location, and we couldn't pass it up.

How did you find this deal and how did you negotiate it?

Seller called us and wanted to sell. We met on site and sealed the deal!

How did you finance this deal?

We paid cash, as we do 98% of our deals.

How did you add value to the deal?

We did some nice updates throughout and made the place shine for a new tenant :)

What was the outcome?

A++, would do again! LOL.

@Michael Lettieri Everyone else has given you solid advice here. It depends on some major factors that have already been covered: class of the building/area, payment and behavior history of the tenants, how much works needs done to the units if they are vacated, how much you can increase the rents for new tenants, how quickly the units will rent/how hot the rental market is in that area, how much you do or don't mind having to find and place new tenants.

Sometimes I'll get a multifamily with GREAT tenants in them that are paying market rent, or maybe just a hair below, and they've maintained the place very well. I keep those if I don't think I'll get a markedly better ROI by booting them and getting different ones - and that happens often since I deal primarily in A and B class properties that we sell turnkey (usually, I do hold on to several of them myself, of course :) ). Other times I'll get a property that has been "rented" to a family friend, and those are almost always a problem of some kind or another. When you've been in the business for over 15 years, you see your fair share of those and know what I'm talking about LOL.

@Zaneta Horne Hey there! I echo @Nathan Gesner here: keep them. They're making you money, and if that area isn't selling for top dollar, it doesn't make sense to try and force it. Put the extra money aside to save up for a down payment on another property if that's the direction you're looking to go. Are you wanting to get into the rehab space yourself and run crews, or are you looking to do passive investing? There are a lot of options out there, and Dayton's a great place to be. :)

I'll make this short and sweet: I have a client for our turnkey company that wants to buy $800K in property from us, and he will be doing a 1031. He's asking for a referral to a good QI who can handle the process and the one we used last time was too slow to reply compared to what we expect for our clients (we usually respond to things within 24 hours, so we're used to response times of no more than a few days max). 

I have a few more 1031s coming up as well in the $400K-1.5MM range so we're looking for a GOOD resource long-term who would like to work with us and our clients. Who do you know and love out there in this space?

@Toby Goodroad Like @Anthony Simboli said, you just have to figure out what you really want and what sort of risk you're willing to take to get there. Are you absolutely set on that market for some reason, or is it just something you are considering? Is it a distance thing? We regularly see 7-8% CAP and great cashflow here in Ohio, and similar appreciation rates, as do several other Midwestern markets. It all depends on what's ultimately driving you and what you REALLY want to get out of it. Are you investing to give you something fun to do? Are you wanting to be hands on or hands off? Lots of factors to consider :)

Good luck!

@Terrell Garren LOL. There is a whole lot to be said for the simple principles of compassion and decisiveness. Yes, it's a business, but it's a business that involves people, and their homes - their safe havens and places of comfort. Sounds like you've got a keeper there :)

@Dave Spooner Excellent points, sir! Years ago I was on the other end of this as a tenant, so it's a good reminder not to forget about or overlook that at all. The easier it is to apply, move in, pay rent, and get maintenance done, the better for everyone involved.

Thanks for the reply! :)