All Forum Posts by: Brandon Penn

Thanks man! I'm always happy to talk real estate. Shoot me a message whenever!

I'm always happy to meet with other investors. Erie has a lot of opportunities along with some challenges. Would be happy to talk with either of you further or meet up if you are ever on town!

I just hit one of my major life goals of owning over 100 units! I just closed a 70 unit deal which puts me at 118 units total. The reason I post this in the starting out section, is it is important for anyone just getting started that it really does start with that 1st deal. I got my start in 2013 by renting out my residential home instead of selling it when I moved. I hadn't thought about becoming a true real estate investor at that time. I just wanted to buy residential homes and rent them out when I moved so that when I retired I would have a little extra income coming in. From there I realized how much I enjoyed being a landlord and thought about maybe doing more than just a couple properties. Fast forward to today and I now have over 100 which has been a major life goal for me for the last 3 years. This allows me the option to quit my job if I ever decide to, as well as secure that I will be able to retire by the age of 45. I'm not where I plan to end up, but this is a huge step forward for me. When people think of success or wealth they see the fancy cars, big homes, and amazing vacations. They don't realize all the time, most of which is unpaid, sweat, and tears that goes into becoming successful/financially independent. They don't realize the sacrifices you have to make with friends, and family. The sleepless nights of wondering how the heck you are going to pay for all these bills starting pile up. My advice to new investors is to just keep pushing through. Make sure you are educated with what you are doing, and just keep moving forward. Eventually everything falls into place as long as you don't give up!

Thanks Dennis, I wish i could say it was all mine haha. I only own about 45 myself. Trying to get to 100 by the end of 2019 but we will see!

That's also a really good idea. I use contractors for much of the work as well besides cleaning and painting

that's a great idea! I never thought to give them a letter at the start about what we did to the unit prior to move. I definitely charge for removal of furniture and trash too

So It's a discussion I've had with so many people on both sides of the table. I don't know why, but there always seems to be a lot of confusion about whether a tenant deserves their deposit back or not. I've seen it on both sides where the landlord is just nit picking and is going way past reasonable deductions, and tenants that are so far out there that don't realize they are going to be charged when they leave dog poop on the carpet for the landlord to clean up. I think a lot of the issue though comes down to communication. I'm not an expert by any means but I do manage between 500-600 apartments and I usually I don't have a lot of fight from a tenant when I deduct from their Deposit. I credit that to having a clear and outlined checklist for the tenant to follow during move out to insure they get their full deposit back. 

-All walls must be wiped clean, with any holes whether they be nail, screw, tack, or punch hole patched AND painted.

-All carpet must be washed, free of stains, and no odor left

-Locks must be in good repair and key's returned to the owner along with a forwarding address of where you are moving to.

-Windows, countertops, stove, oven, refrigerator, bathtubs, toilets, sinks, and cabniets must me wiped down, clean, and fresh.

-No holes in any doors, walls, or ceilings

-Fire alarms and CO2 detectors in good working order

-Lightbulbs working, and all light fixtures in good repair.

There are other things that I will sometimes look at but for the most part this is a good punch list to insure getting your full deposit back. I always charge $85 per hour for my time when calculating what to deduct from a deposit. I would love to know what you guys think. Is there anything that suprises you if you are a tenant? Is there anything you would add or do differently if you are an owner? Let me know in the comments!

House Hacking for those interested in getting into the buy and hold world. I think that is the best way to get started as you can live in one unit and rent out the others. It also gives you a small taste of what it actually means to be a landlord. You can read all the books and go to all the seminars in the world, but nothing campares to the actual experience of owning a rental and dealing with tenants on a daily basis. Easy to get out of as well if you find out you don't really like being a landlord.

Thanks a lot for the info guys!

Hey Gang, I'm looking to get some properties refinanced. Does anyone know of banks (or if it is even possible) that would appraise a 1-4 unit rental property based on cashflow? I deal with mainly higher end units which get phenominal cash flow, but the problem is there isn't a lot of good comparable data. Most rentals in our city tend to be on the lower end of condition. Any advice is greatly appreciated!