All Forum Posts by: Uwe G.

Hi @Alfredo Young, from an investment standpoint I would go into buying this home with the following in mind.  Under the assumption you are moving into an owner occupied home I think the key is to insure if you had to move out of it, you wouldn't be forced to sell and you could rent it out more for what you have to pay via loans, maintenance, hoa, insurance, and management fees.  The key is to not get "stuck" into a place that keeps you handcuffed in case better a job prospect comes along somewhere else or a life event takes you somewhere else.  Bottom line, only buy it if you could rent it out and make money on it every month.  

Hi @Matthew McNeil.  I feel energy stocks are a great value right now so that might be a good option and the dividend ones cash flow much better then average cap rate you are looking at. 

I am a fan of SFRs and am looking in Vancouver, WA for 4 bedroom houses. We have a shortage of 4 bedrooms for rent. What kind of cap rate are you looking for on your SFR?

Hi @James R. Copeland,

I used the HELOC strategy you are talking about to buy houses in Vancouver, WA and it worked out well for me. Although the rate is variable my particular bank allowed me to get a fixed rate at very low rates for 1, 3, or 5 years. The underlying HELOC rate was also less then a 30 Year Fixed rate so I wasn't bothered too much with using the HELOC.

BUT, BUY RIGHT....that is more important in today's market.  Having your wife as your realtor is an awesome move, so congrats to you both on that.  If you can find something at a 6% cap rate (or more) I think it would be good to stay local and build up scale with your property manager.   Also, for most property managers they should present you with a schedule that decreases as you build your portfolio.  Clark County is getting expensive but for the right reasons....but it is still time to be careful.

Best of luck!

Hi @Paige Kelsey,

You are spot on but missed one thing.  All the Vancouver residential investors left Vancouver and now are up in Cowlitz County flipping in Longview and Kelso.

I would love to get your help on the commercial side.  We are looking for new office space and my business partners want to buy a commercial property instead of leasing.  If this is your specialty I am all ears...would love to meet up for coffee to discuss.

Hi @Steve Milford, I agree with your approach and it is a method I also use and prefer.  I am currently working as many angles as possible to meet people and direct mail is on my list of one of those methods to try in addition to all of my in person methods.

Hi @James R. Copeland,

I am in the same boat as you in wanting to jump into a larger apartment complex at some point in the future.  Right now I am cautious on multi-family because of the large amounts of supply that have come online and are continuing to come online in Vancouver, WA.  Seek out the best locations and stick to that thesis for multi-family.  Also, think about liquidity across all of your investments and use a 1031 if possible if you are selling your existing SFHs.  We are nearing the end of the business cycle so make sure whatever you pick up is at the appropriate risk adjusted cap rate (especially with rates rising 2-3 more times this year and another 3 times next year).  I personally want more cash flow but will probably stick to the SFHs because I feel they are more liquid then apartment complexes and I don't like the cap rates on multi family right now when I compare them to SFHs in Vancouver, WA.  I find the supply is better in the right locations for single families.  I do admit this strategy is for people starting out or having a handful of properties.  This is advice is more for the smaller investor like myself that wants to continue to grow profitably for the next 20 years.  I hope this bit of advice helps.  Best of luck!

@Steve Milford,

Thanks for the tip.  I am thinking I may tweak the letter to focus more on our core mission, but still in the testing phase.  I am getting a 2-3% call back rate but no business yet.

Hi @Emily P.,

Looks like you did a fair amount of good research.  I am personally a fan of the long-term prospects of Rose Village.  The area is turning and it is turning fast.  Your rents are estimated correctly based on what we are seeing.  We are finding anything under $1300 per month for rent is getting a very high volume of applicants (Especially the west side of Vancouver).  I help a lot of folks with investing in Clark County so feel free to reach out at any time.

@Damien Dupee & @Rapy Narruhn,  Thanks for commenting!   I am sending out 25 letters a week and officially started this week.  I am looking forward to the response.  Over the long-term I am hoping for about a 3-5% response rate.  That might me a little high but I will be tracking the data closely.

Looking forward to attending!