All Forum Posts by: Jonathan Taylor Smith

@Parris Taylor - I provide "affordable housing" to a wide variety of persons in different programs. Beyond just Section 8, one such program is for disabled persons, and includes stroke victims, elderly, etc... So YES - I will make certain accommodations for the reasonable capabilities and circumstances of the person. To do otherwise would be cruel. You can't tell a stroke victim to figure out how to use the portal. So I have a staff member who such persons can call (NOT ME) to handle things like opening a ticket in the portal. But it has to be reasonable for the condition and circumstances of the person. Is there a legitimate reason they can't use technology?

@Parris Taylor... Each valid concerns that can cause problems for new landlords. Have you made corrections? For example...

1. I set my mortgages to auto-pay 3 days before a late fee would hit, which tends to be after the 20th of the month; whereas my rents clear well before that (even those who pay late).

2. Tenants do not have my cell number. And I make sure those who obtain it somehow (usually my lapse) never get satisfaction from texting or calling me directly. All will get the same response of "Thanks for letting me know - but I need you to open a ticket on that in the portal." - But I would make an exception to that for FIRE.

3. If they cannot sign the lease digitally or otherwise make use of online tools, they'd better get a family member or friend to aid - otherwise they do not qualify to rent from me, as I'm leasing properties in 2025, not 1995.

I find that you get from tenants (and people in general) what you accept. I set my standards and tend to stick to them. Most people thereby get on my page. And those who won't would have just been problematic to my life anyway.

@Matheus Souza - Why do you prefer NOT to house-hack? Were I getting started today (before wife and kids) - that is exactly what I'd do... I would have done it even after family if not too much of a downgrade or disruption - but somehow it never occurred to me back then. Does your $30K towards down-payment tap you out? Because you will also need money for closing and holding costs. And if doing the BRRRR strategy (my favorite), you'll also need reserve funds to get the rehab started. And is your credit good for best financing options?

@Thomas Paynter - What is right varies for each of us and differs for time and circumstance... I got into REI at age 43. And I had a very strong feeling that I was in the midst of what might be a once-in-a-lifetime low priced market where properties could be bought for less than their replacement cost and at all-time low interest rates. So I used HELOC, personal loans, retirement savings, credit cards, private lenders, lease-options, seller financing, etc... To buy everything I could justify to my wife :)

It turned out better than even I expected, but that was by no means a guarantee. And I took actions to make sure that a worst case outcome would not ruin us.

@Lance Turner - I've done several creative financing deals, such as lease-options, subject-to and seller-financing - where friends and family were heavily advising the seller against it (they always do). My own mother advised me against getting into rental properties. People who love you want to protect you from anything that is different. So, in some cases I suggested inviting the primary "advisor(s)" (who are against it) to join us at our next meeting on the matter. In other cases, I asked for specific details of their concerns that I could speak to. And ask questions to reveal the real concern... Many times you'll find that these "other people" don't actually exist.

Hello @Emmanuel Dawah - Welcome to BP! So what do you seek to do in Raleigh / Durham in the way of Real Estate Investing? What shall be your focus?

@Carol Burns - Clover, SC is York County? I'd need to know the zipcode for your property to know what HUD will pay up to for a 3BR at that location. You can check it yourself at: https://www.huduser.gov/portal/datasets/fmr.html - to learn if your $2,100 rent ask is within the range of what Section 8 might pay here. If so, a little over 1/2 of my units are offered to voucher holders in various programs ("Section 8" or Housing Choice Vouchers being most common). But it will depend heavily on how the program is ran by your local housing agency. Some are good and relatively easy to work with - and others are a train wreck in a hurricane. You'll need an effective lease and somewhat enhanced tenant screening to find an ideal tenant. With the right combo of tenant and housing agency - it can be a great experience. But the full opposite is also possible if either or both are suspect.

@David Litt - I don't recall where I first heard it, but the saying that changed my approach was "They've got to know that you care before they care what you know."

Hello @Samuel Awosolu - Welcome to BP! So, do you happen to have / offer a 2nd position HELOC on investment properties titled under an LLC or Trust?

@Rodria Mays - I got my license in between purchasing my first and second investment properties - and I did it at the time almost exclusively because I wanted to get paid as my own buyer's agent (also for education and greater access / tools). But as my unit count grew, I did start to perform as an agent for other investors and I also added property management as a service. In both cases it wasn't too hard to start doing for others what I had become great at doing for myself. I also started doing BPO's and property inspection reports for pay, which took me to places I might not have otherwise gone - greatly increasing my market knowledge.