All Forum Posts by: Adam Vo

Hey Amir -

I recently had an accepted offer that was terminated due to the inspection findings. I think I am close and targeting end of 2017 to close on a property. Primarily looking in 44135 zip now. How is everything going with your property?

Thanks all. I think I am going to go with $500k liability and $1m umbrella coverage for now with no LLC.

Hello - I am looking to buy my first rental property and am considering taking out an umbrella insurance policy in liu of an LLC. This decision is purely about protecting my personal assets. I am planning to finance my property through a large bank and think an LLC would be more trouble at this point given potential challenges obtaining financing. Am I being careless or exposing myself to any risks with this decision? My fear is that I take out $3m of coverage and get sued for $4m. What level of coverage would you recommend on a $120k 2 unit property in the Midwest to sleep well at night?

Amir - Glad to hear you are doing well....Any recommendations on brokers, Property managers or anyone else you have worked with along the way? Thanks so much! Adam

Hey Amir - Any update on how you are doing with this property? I am looking for similar in Parma...

Thanks Marc! This is really helpful. I am planning to make a trip out there in mid-October. In the interim I have been looking through the MLS and Zillow for the past few weeks now and not finding many 3/2s under 80k without needing significant work. Am I missing something or have prices just gone up in the past year? Any chance you could provide a recommendation on the team you use to support your fix-up work? Also, I see you are in state, but have you worked with any PMs and / or have any that you would recommend? Thanks again - Adam

Hi All - I am looking to purchase my first investment property in Parma, Ohio. I am looking for a buy and hold SFH rental that cash flows. This neighborhood seems relatively low risk and an I'd expect ~$80k properties to generate around $1k monthly rental income. Is anyone familiar with this area or know anyone who can help guide me in my search? Any watch outs I should be considering? Any other opinions or recommendations related to investing for SFH rentals in Parma?

Hi all -

I have spent the past year saving for a downpayment, figuring out my investment strategy ( 3 BR/2BA buy and hold rentals), and target market (Murfreesboro TN). I am now ready to make a move in the next 2-3 months.

I constantly hear about the 1% rule, but am hardpressed to find any properties that fall into this range, especially in an appreciating market like greater Nashville and properties that do not need a ton of fixing up. 

I have searched all of the common sites (Zillow, Trulia, etc.) and am mostly finding $160k-$190k properties that would rent for around $1200/month. (e.g., 0.8%).

These properties possess all of the qualities I am seeking (turn key, appreciating, high rent demand, good schools, etc.), but have a low cash return after projected expenses (CAPx, property management, etc.)

Given the lower level of risk, should I be okay investing for a lower return? My thoughts are that even if I break even on cash flow, I am still paying down my debt, and (hopefully) gaining appreciation and over time rents should rise to provide that positive cash flow. 

How important is the 1% rule? I am missing anything here?

Is there anywhere else I should be looking or any other strategies I should employ to find deals?

Thank you,

Adam

Thanks Gary! This is very helpful. Being that this is my first (investment) property I am okay going below 1% as long as I don't lose my shirt in the deal and can expect decent appreciation in rent and property value over next ~5-10 years. I have a full time job so not counting on an immediate cash flow as long as long term outlook is solid. Any other watch outs or parts of town I should steer clear of? Thanks again! Best Adam

Hi All!

I am fairly new to BP forums, but have been itching to jump into real estate investing for almost a year now. I am an out of state investor (I live in Hoboken, NJ) and have identified Murphreesboro TN as a target area. (cheap housing, growing population, good schools, low taxes, etc.)

I have been searching various sites and finding a decent amount of SFH 3 br / 2 baths properties (~1200-1500 sqft) in the $150-$180k range.

Wanted to see if anyone had any insights into this area and could answer a few questions:

• Any challenges renting houses in this area? How long are houses typically on the market?
• What is the typical rent that a property like this would demand? $1200/month?
• Any other watch outs that I should consider or areas that I should stay away from?
• Any recommendations on agents or property management companies in this area?

Thank you and look forward to hearing back!

Best,

Adam