All Forum Posts by: Abdul Azeez

@Erik Nowacki I am using one of the best PMs who come with a lot of references in BP. That's why I am surprised as to how long this is taking. Rentometer rents were around $1200. I am at $1050 because its an attached unit. I am awaiting for some f/b from my PM on what needs to be done. 

Mike - if I invested in state I wouldn't need a PM. That's why I believe out of state investments have an extreme dependency on PM.

@Ross Denman - Here are updates. 

1. My PM makes money only if my property is rented out.

2. There is no problem with the condition of the property.

3. I did a google search. The property is listed on Zillow, Realtor, Trulia, Hotpads, Apartment finder, my PMs site. On Craigslist, its listed with the older rent and not the new rent.

4. I haven't tried calling the PMs leasing agent.

So, not really sure what else can be done at this time. 

@Mike D'Arrigo I would not know the reason its not renting yet. The property condition is extremely good; the location is very good as well. Some folks have said it could be because its attached but that's been priced into the rent as I have dropped it twice. That's why I do not know why its not renting yet. I am working with my PM for an evaluation of what needs to be done to get it rented. The comment on out of state was because you lose first hand transparency into on the ground aspects of renting it quickly.

@Vincent B. I would be really careful if I were you before heading to out of state. I acquired my first property in Memphis on Jan 10 2017. Despite being a very good property and dropping the rent twice, it has not moved and gotten rented. While you see the providers of services post on this forum encouraging out of state investing, I would urge you to talk to actual retail investors. I believe I saw in one of the posts that one of the investors lost close to $120k. So, would really urge you to talk to your peers and go in with you eyes wide open if you are exploring this.

I would never recommend having too much debt. Think about personally what you are leaving your family with in wrapping up your affairs if you had debts on 10 properties and kick the can suddenly. Listen to Dave Ramseys book about debt and simplifying your lifestyle. Also remember what's good in theory does not always work in practice. My recommendation would be to start with debt but aim towards paying off as soon as possible so that you hold title free and clear.

Henry - my 2 cents. My first experience in Memphis has not been positive so far. I closed on a rental on Jan 10 and it's still not rented despite being in very good condition and having dropped the price. I will need to reevaluate my strategy for investment in Memphis if this continues. I wish you the best but do not be tempted reading only positive experiences in this forum. Evaluate if sticking to more liquid investments like stocks, bonds and mutual funds is a better alternative. Most of the posts in the forums are from a provider perspective. So try to establish contact with actual out of state investors in the market to get a more realistic perspective. I believe one of the posters who goes by Diane said she was an out of state investor who got out of the market after losing $120k. So not all is as rosy as you hear in the forums. Good luck. PM me if you want to talk more.

Diane - conspiracy theories are a dime a dozen and I am not going to rack my brains figuring why someone sold for less. It's a good investment. That's what matters.

Hi Alice - since I buy from MLS I try to look for houses in decent shape and budget a $5k estimate for any getting ready to rent work. For instance the property that I just closed on needed around $3k worth of work to get it rent ready. I do not buy properties in dilapidated condition that requires a significant rehab as I can't get financing on them.

I bought it and hired PM.

Just an update. I dropped rent to $1050.