All Forum Posts by: Alexander Yates

@Becca F. - If you're interested in pursuing the Northern Nevada market, please feel free to reach out. I live in Reno and have been looking for a BRRRR equity partner here. I have contractor contacts and do some repair work myself. I also managed a rental here with a rent-by-the-room model that allows cashflow in areas that you wouldn't normally find it.

I also invest in small commercial multifamily in the Cleveland, OH area. The returns there are great if you find the right deal. I'm currently renovating a 6-unit apartment building and am starting the journey of creating a fund to earn double-digit returns for investors on similar deals. Would be happy to discuss a larger equity partnership in that as well.

Regardless, best of luck on your journey and keep us posted on your progress!

@Daniel Loane - who told you that you can't submit the rental registration? Maybe something was unclear? And do the units have their own individual house numbers/mailing addresses? With two meters, it seems like they must? Unless there's one master meter. (You could try making the second unit a 1/2 address if not - and add the numbers yourself.)

I'm not an expert but I recently offered on a similar property in a neighboring county. For CLE, a quick search took me to the Planning Commission's website and it looks like you can request a review by the Board of Zoning Appeals and, if approved, get a building permit to change your zoning/use. Again, not an expert but maybe that will help you. Otherwise, sounds like you'll just be trying to fly under the radar. It seems like you could just register this as a single family rental property if necessary to at least say you tried. Insurance might be another issue you encounter, though. 

Anyways, good luck and let us know how it goes!

@Trevor Richardson - thanks for the detailed update!

Haha I felt the same way reading this thread from top to bottom! This is great insight for our already strained market. Will be interesting to see how it plays out. Cheers!

Very good points, Jake! This is important information for everyone to understand.

I laughed at "How user friendly these sites are will vary greatly from county to county" because it's so true!

@Eric Yu - congrats on your success! 

Many before me have mentioned Ohio. I am currently investing in small multifamily in Cleveland, OH from a distance as well. The cashflow is great and since commercial properties are valued based on actual financial info rather than comps, it is just math when it comes to buying and operating right. 

I'm currently working toward building a fund; feel free to reach out if you're interested in more of a passive return. If you're wanting to be more hands-on, I'd be happy to share any resources that may help. 

Cheers and good luck!

A good analogy I heard recently from @Marcin Drozdz was: "you wouldn't wait for all of the lights to be green before leaving the house to go somewhere." It's so true. You don't need to know everything before getting started. Face every bump in the road as it arises and learn as you go!

 Now there's an idea!

@William Barr - if you have a few thousand dollars available in your budget, it would be worth looking into a construction camera. I am currently renovating a multifamily property in NE Ohio that's not in the best area and considered using a company called iBEAM (https://ibeamsystems.com/) but there may be other offerings in your area. This company has solar and rechargeable battery solutions that don't require a direct power source. I didn't end up using them because this was an afterthought; I didn't plan for the expense or have enough budget left with an extensive scope of work. Maybe it would work for you though. Good luck! Let us know how it goes.

Kristofer,

Ditto to what others mentioned above. I successfully househacked by buying a 4BR SFH and renting the three basic rooms. As they say on the RE podcast, it is all about the comfort you are willing to give up. The less comfortable you need to be, the more money you can make. I lived in the master BR with my (now) wife and it certainly wasn't fun, but we were able to make it work for long enough to maximize the benefits. Then remodeled the property and sold as a live-in flip with good (untaxed) profit.

As has been said, the MF market here is very slim. I would recommend building relationships with wholesalers to find off-market deals. Even then, it is still more of a long-term play. I currently invest in multifamily from a distance (Cleveland, OH), because that's where the numbers make sense for my current strategy. Another piece of wisdom from the podcast - live where you want to live and invest where the numbers make sense!

Cheers and good luck on your journey! 
Alex