All Forum Posts by: Amy Mitchell

I have been looking for lenders who can finance a mortgage at or under 50K in Ohio. Out of state Investor; already owns 2 rentals in 2 different states but I do not think I have enough equity to take Line of Credit Yet. But got some good deals around 40k-50k and need lenders for that in Ohio. Any advice or help will be appreciated.

Are you looking at conventional or something like a DSCR loan? Conventional at that amount shouldn't be an issue. $75k is the lowest DSCR/no ratio I've seen.

Hello, I am an out of state investor from California looking at the Ohio Market, I was wondering what would be best practices to get financing for deals less than 70k, banks and lenders I have contacted have mentioned they dont finance deals that low. Also, if the ARV is near 100 would using hard/private money work and then refinancing? I am assuming it would be smart to have that discussion with a bank/lender if they were going to be able to refinance before doing so.

 Amy, I'm in CA as well but have 12-doors in Detroit. I have the exact opposite experience and happy to share with you.

I see you're in LA. I'm heading to Oak Park to visit the in-laws tomorrow. If you're in that area I could meet up!

I recommend Tradewinds in Detroit.  We tried RPM but they were not staffed to respond effectively and found things continuously slipping through the cracks.

We are in 7 markets nationally and Detroit is the most anti-landlord municipality ever.  We've had 3 evictions and they've taken as long as 18 months to finally get the tenant removed. Between the legal fees and damage by tenants, it's ugly.  No recourse, as the tenant, even if you went to collection, can't pay.  Just being honest.

TIP: Your property manager has to have a best practice to have the tenant PROVE they have the utilities, especially water, in their name BEFORE they hand over keys.  On two SF properties, we had to pony up $8,600+$3,600 in water bill fees in addition to everything else because Strategy Properties and Autumn didn't do this. 

Background:  We have 4 Detroit properties and have lost tens of thousands of dollars as a consequence of buying them through Real Wealth Network's Detroit affiliate Strategy Properties. (RWN was not helpful to any of the investors during the Detroit debacle after talking with other investors I know. I had several direct conversations with RWN as well.  The only thing I saw change was RWN started to emphasize and expand its disclaimer during its webinars.)   Strategy Properties' quality in their turnkey renos is poor and we had a lot of delays as well as promises to complete something after closing which they never did.  When we bought them they were doing their own property management. Suddenly, we rec'd an email (no other communication) that Strategy Properties had 'assigned' all their PM work to Autumn Property Management effective immediately.  I knew Autumn from Strategy Properties, she placed the three tenants we ended up evicting.  I moved to immediately find another PM when they "assigned" us to Autumn Property Management.

I noticed that Ali Boone has now partnered with Strategy Properties and is promoting their turnkeys in Detroit. There are several videos/tours posted online in the last 30 days. She said she's aware of the property management issues they had a while ago but that they aren't doing PM anymore.  

@Amy Mitchell

I'm in California (Bay Area) and it's really difficult to buy here at these price points and cash flow positive (more like negative) now so I'm focusing out-of-state. I have a SFH in the Indianapolis metro area (suburb in class A neighborhood) but I bought it almost 10 years ago (used to live there). Depending on what county you're looking at, Hamilton County property tax rates are much higher for investors than primary home owners, 2.771% vs. 1.08%. I really like Carmel, Westfield, Noblesville and Fishers from an appreciation perspective, nice suburbs with good schools, but the prices are high now. My property taxes went up significantly which reduced my cash flow but my tenants are paying down my mortgage and I bought it for low price and low interest rate so I'm keeping the house

I'm looking in Indianapolis (Marion County) but I'm trying to narrow down the areas - I'm communicating with an investor friendly realtor. Being inside the 465 circle and the East side usually has lower priced homes than the West and North sides. I considered the Fountain Square area. I'm looking for SFH or duplexes (which seem to be rare), heavily leaning towards turn key or something with minor rehab (cosmetic work). I have a partial team in place for Indy: property manager, handyman, painter, roofing company in place, no contractor (yet). I'm also looking at Cincinnati.

Jake Knight is right Anderson IN is a great area for cash flow properties. I have a few properties out there and have been very happy with the returns. Its hard to find that kind of cash flow elsewhere. I personally look for small multifamily properties 2-4 units.

@Amy Mitchell Hey Amy, you may call some local PM's in each city to get a feel for what they're seeing realtime.  I can say for my market here in Indy, there is a lot going on and there are quite a few areas you can target. It really just depends on what your ultimate goals are.  If you are looking for cash flow, Anderson, IN is the best greater Indy market you can target.  We've helped investors purchase around 30 properties up there over the past couple of years.  If you're are looking more for appreciate, they (PM) can help lead you to good areas to target. I'm happy to have that conversation with you should you ever want to.  Happy hunting!

Hi Amy, I just replied to you by DM. 

I'm excited for you. I left Indianapolis about five years ago; when I came back I was SHOCKED at the nooks and crannies that have been resurrected in this City. As I have observed, experienced, and studied, it's the underlying politics and economics of this city that make the current positioning and future trajectory of Indianapolis so strong. Cincinnati and Cleveland are beautiful and we're all similar cities in a lot of ways. 

Indianapolis, though, is showing 40% better GDP over the last decade; remarkably low unemployment; surge in tech; and our median household income (+21%) is improving at nearly double national average rate (+12%).

Hope this helps and I'm excited to talk with you.