All Forum Posts by: Brett Hoover

Market is in Lawrenceville GA, a suburb 25 min north of Atlanta .

Dupex, list price $129,00 , 2 bed 2 bath, foreclosure, Zillow estimated rent to be $879 total or $440 per unit, Zillow now Zestimates rent to be $918 total. Taxes $718 in 2014. Zillow also estimates it will sell for $102,864. 

I got the listing that night when it first came out, I emailed him and said I want to see it. He was telling me we need to see it ASAP the next morning/day. He was going to contact the listing agent to see when they were going to set the lock box out, and was going to call me to let me know when the lock box was out. The next morning I didn't hear from him so I called him around lunch. I also asked him what he thought about the spread sheet with the deal analysis I sent him. He was less than pleased when I asked him about the spread sheet the next day, his tone of voice had completely changed. 

The property was listed on June 18, its still on the market. He was telling me we gotta put an offer on this property ASAP to lock it up, it won't last long!!

He also advised me sometimes you have to "buy a property take a chance see if you can increase rents and make it work."

Should I find a new real estate agent?

Small Multi family deals are hard to find in Atlanta, not seeing many deals that are even close to the 1% rule.

I ran a property I was looking at through my spreadsheet that accounted for rental income, debt services, expenses (insurance, property management, maintence expenses, vacancy rate ), calculated NOI, cash flow, cash ROI, Cap rate.

In this case it was listed for $150,000 and the only way I could see making it work was offering $100,00 to account for all the built in expenses. 

My agent said that in this market (Atlanta) there is not going to be a perfect property and that I will never get a property running it through those formulas. Accounting for vacancy, property management ect.. would never allow me to get a property b/c I'm talking myself out of it before I begin.

 He said that now investors are “buying income/cash flow” as in putting down large amounts of cash to make a deal work. So they are finding a property that is made of good material (brick) in a good neighborhood and then putting down large amounts of cash to make it cash flow, even if the rent to value ratio is well below 1%, b/c they are buying good cash flow. 

Is that a good mindset to "buy cash flow"? Should I find a new real estate agent? He does a good job and is very responsive and a “go getter” but one part of me doesn’t trust him as he has the motivation to just get me to buy something so he can get a commission. I want a partner who will help analyze deals and set me up for success in buying my first property. 

My real estate agent tells me I should be flexible/change my formula when accounting for expenses in order to find a deal, is this smart? #askBPpodcast 

Should I "buy income" and put large amounts of cash down on a deal?#askBPpodcast 

Hello,

I'm looking for an investor friendly real estate agent/broker. I'm looking to buy in Atlanta or just outside of it. I own my current residence in Cobb County, and am looking for my 1st investment property. I have already been pre approved and I'm at the looking/shopping for the right deal phase. Any references would be appreciated. 

thanks, 

Brett 

@Frankie Woods  Thank you 

@Scott Trench I completely agree, its a great approach. You will learn a lot through that process. Even if you don't "swing the hammer" yourself you will see what goes into different elements of it through your contractors. 

@David T. Thank you! Yes I am finally getting my town home how I want it/needs to be. 

@Gage Miles Thank you Gage I agree networking is key to most everything in life/business. 

@Gerald , Aggreed. 

@Brandon Turner Thank you for the warm welcome. I love the podcasts you guys put out on itunes!! 

Thanks @Elizabeth Colegrove I checked out your website and found it helpful and I liked it. I added it to my favorites!!

-Brett 

Hello all,

Current home owner in Atlanta. Working on building my business plan and preparing to purchase my first investment property. 

I bought a fixer up in 2011, have put a lot of time and money into it, I have learned so much along the way. I have a roommate/tenet and currently am "house hacking" as I believe either Josh Dorkin or Brandon Turner call it (can't remember which one calls it that). 

Looking to connect, meet some cool people, learn about real estate, and make some money along the way :). Plan on taking a slow growth approach to growing a portfolio. 

thanks,

Brett Hoover