All Forum Posts by: Brent Lowry

In the short run, some cash strapped homeowners that can't pay for repairs may be willing to sell at a discount for homes that require substantial CAPEX. I don't see valuations changing that much due to the thaw.

The more interesting question to me is the long run, and whether events like this are tied to climate change.  With climate change these "once in a century" events will become far more frequent.  Investments to improve the grid and adapt to a changing environment will be made, and costs of living will necessarily rise to pay for it.  It's worth considering how that will change affordability and desirability in 20-30 years time for extreme colds and heats.  

If climate change is a thing, and it does cause human migration on a large scale, what is very cheap now that won't be in the future?  Cleveland, Detroit, Duluth and the whole upper Mid West have access to fresh water and won't have the same humidity heat events as the growing SE US.  With a view towards the long term, I'm very interested in a strategy that can generate yield today in some of those markets, with opportunity for generational wealth levels of appreciation in 20-30 years.

As others have said, this is a hot market. If you're looking at MLS deals I recommend setting up keyword alerts on the MLS for the area / property type you are looking for and every time a deal comes up, run it through your deal analyzer. Know the numbers inside an out. If something looks good, make an offer as quickly as possible. The on market deals that I've won in this market didn't necessarily come from having the highest offer, but I was the first offer and the seller said yes.

In a hot market, don't try to nickel and dime the contract.  Give your seller every reason to say yes to your offer.  A lowball offer with every contingency under the sun is an offer that will rarely be accepted.  My strategy is if their asking price works with my model, I offer full asking and only an inspection contingency.  I try to do it within an hour of hitting the MLS. 

If you're a space geek like me Huntsville is plenty touristy.  Make sure you budget at least 2 hours for the Space & Rocket Center.  Standing underneath a 36 story Saturn V rocket and seeing the Apollo 16 module is pretty dang awesome. 

My business partner and I live in LA and own 2 properties in Huntsville and are currently trying to get more.  One thing that I can tell you and I can't stress this enough, is that you need to physically go to Huntsville, drive the streets, and break bread with the people you are working with.   You're making a trip there soon, so you're ahead of the game!  

Relationships matter a lot in this business, and face to face contact is huge.  Good luck, and let me know if there is anything I can do to help.

+1 on recommendations and cost.  Also, phrasing...lol.

@Joe Splitrock, as with everything, YMMV.  You're absolutely right that some people live only for today and need a little Dave Ramsey in their lives.  That said, I don't think it's necessarily a choice between  broke with a memory of fancy cars or financial freedom.  For most BiggerPockets posters, it's more often a choice between financial freedom in 10 years vs 20 years.   

Am I personally comfortable retiring 5 years later than I otherwise could in exchange for going to Europe, South America, and Asia in the (hopefully) first 1/3 of my life?  You betcha! Of course I don't live my whole life thinking only about today.  I drive a beater car with no note that will hopefully get to 200,000 miles and the roof over my head is 1/2 of what I could actually afford.  I'm getting ready to close on my first cash flowing rental property.  

Tl;dr, it's ok to eat steak instead of rice every once in awhile if done responsibly.

To each their own.  Without knowing @Rob Z.'s W-2 income, job, and outside interests and hobbies, it's just idle speculation on whether or not a $45k car is worth it.  If Rob is a car enthusiast making 6+ figures in a W-2, perhaps a luxury automobile is something that provides personal joy and satisfaction.  

If I took 50% of the money I spent on travel, live sporting events and other splurges in the last 5 years I'd have more than enough for a down payment for 2 cash flow generating houses and much closer to financial freedom.  But, none of us gets to take anything with us, and I have no idea when my number will be called.  It's ok to live a little today.

@Zachary C., read your profile and wow, bought the property management company!  Hope to be able to sit down with you to learn more about your property management company services, as well as your story in general. 

@Aristotle Kumpis and @Samantha Soto, great to see other SoCal investors in Huntsville.  I'd love to know how your portfolios are going over there and any advice you may have for out of staters in the area.  Locals welcome too!

Hi @Tim White, I'd love to learn more about Rocket City, thanks for the advice.