All Forum Posts by: Andrea Lane

Welcome!

Marcus

I can not recommend a specific bank in your location.  I can recommend that you look at small local banks or credit unions.  They need to build relationships with local borrowers.  

Some questions you can ask: -will they hold a mortgage in an LLC, what is the seasoning (they may require you hold the property for 6 months before you refinance), make sure there are no prepayment penalties.

Hope this helps

Erik

Managing a few properties is doable, especially if you are in one of the units and the one you are moving from isn't far.  I have investor friends that manage their entire portfolio, but that is their full time job.

I personally think a great property management company is the way to go long term.  Make sure you vet multiple property management companies, be careful, understand their fee structure, how they do reporting, etc.    

Feel free to reach out if you would like to talk more.

The strategy for less than 5 units may be a little different than apartment buildings.  Here are 2 strategies that work for us.  

We have developed relationships over the years so people will come to us with deals before they get listed, so build good relationships as you grow your business.  This is a long term strategy, but it is the best source of reliable sales.

Talk to property managers and see if anyone is interested in selling their portfolio.  Remember they are making money on these houses, so how are you going to compensate them for a lead?

let me know what you find that works for you.

Brent
This is not an easy or fast questions to answer.  Everyone has their own dreams and goals.  You need to determine what is important to you and focus on what you are willing to do to get you to your dream. 

If you want to purchase one house a year, then you can find time during the week to learn, research areas, find a lender, and find a property, purchase a property, then manage it (or higher a Property Manager).  You can find a mastermind group that can help push you along, but at the end of the day you need to do your own due diligence.  

If you want to create a business, then you need to change your mindset and find the time to make yourself successful.   If it is your dream and passion you will find the best way that will work for you

Nathan

Your due diligence is required for any deal you want to make, whether it is purchasing, lending, or even classes.  

Most people are honest and want to help, but you never know. 

You're in the right place to learn.  I love your book list, you could add the One Thing from Gary Keller, it changed my morning routine and helped move our company forward.

Dor

You may want to shop for lenders first.  Most lenders will not give a newbie a loan on new construction.  There is just too much risk.

You may want to consider finding a great contractor with experience do some kind of partnering agreement with them.  Be careful, I have had great team mates and terrible team mates.  The bad ones can break a deal.   

Christian

First, make sure you understand real estate investing and the risks (not just the rewards). Bigger Pockets has allot of valuable information. There are many podcasts available. Also, join a local real estate investor group and/or an online REIA group.

Second, if you want to move into the property when you move, do you have a destination in mind.  Looking for out of state rentals takes work so know where you want to look first.  If you don't have a destination - then what are your specific parameters for a destination and locate areas that fit where you want to live and work.

Third, investigate the area online (if it is to far to drive) use google earth to take a look.  Understand the crime rates, school systems, and overall neighborhood scores, use google and type in the area using the key words words after and you will find amazing results.  Neighborhood Scout is good, but there is a fee for all the access.

Forth, start building a team in the area.  Local realtors and property managers are a great source.  Make sure you talk to ore than one and get a good understanding of who they are and the particular area they specialize in.  I have properties in 5 state.  Finding a great team is what will ultimately make or break you.

Feel free to reach out if you would like to talk.

Wendy

As you said, it does depend on your long term goals.

If you want to grow a long term rental portfolio or add this house to your long term retirement plan you can keep the house and

1) have a conversation with the tenants about raising the rent or having them move out.  If they move out you will most likely need to do some renovations and find a new tenant so factor in time where you need to cover the cost of the house and renovations.

2) since you just refinanced, based on the current market value, is it worth doing it again based on the current market rates and the equity you have.  Than you can use the extra money for a down payment on another property.  If you are not raising the rent this is not necessarily a good solution because it may decrease your net cash flow. 

If you don't want to be a landlord then you can sell the house and invest passively.