All Forum Posts by: Brock Thomas

@Stephen Sikes you must be over priced. It’s always price or condition.

@Reece Hendrickson this sounds like a question for the attorney that is going to handle the lawsuit. I’d love to know the builder since kc is my market. I would be contacting the national builders association to get some advice. I would be studying the builders contract because most of them ask for mediation and the ability to cure. Best of luck

@Matthew Farmer all your comps need to be in Shawnee mission north hs. You can go outside city limits but don’t go out of the high school. Sm east is more desirable and prices reflect it.

@Codi Clausen I own about 20 in that zip code. Renting and selling is easy. Older properties for the most part but affordable. It’s also a safe suburban market.

@Alex Mina those are pretty rough areas of town. Check into the crime maps of our city. It would better to be in the 64131-64134 to find a brrrr deal. There are other areas but those are a couple areas you may want to look into

@William Beck let’s connect. I am looking for opportunities around Kimberly City.

@Rob Bianco congratulations on your purchase.

I think you have the right approach. In my experience it is difficult to find many quality tenants between November and the end of February in Kansas City. It’s cold this time of the year.

The eviction memorandum ends at the end of 2020 however we may see that extended with our local government. Jackson county is going to be the toughest to get things done. It’s very important to know your lease in this environment. My attorney says they are having success with evictions from lease violations outside of non payments and with unlawful detainers.

I have raised rents during the pandemic and we leased many units this year. The rental market is still strong in KC however we do see seasonal slow downs in the winter. Best of luck

@Ryan Hazelwood 40, I own 100 units for a little while longer. I have a 40 unit under contract to sell. I’ve owned it for 12 yrs and was ready to take the equity to another project. I own 26 sfr, a twelve unit apartment and some duplexes and quads. Goal is to own 500 by 45.

Investment Info:

Single-family residence buy & hold investment in Gladstone.

Purchase price: $43,500
Cash invested: $20,000
Sale price: $165,000

I rented this house for 9 years and collected over $80,000 in rent. I remodeled it after the first tenant stayed there for 7 years. I raised rent $300 a month for the next two years and have sold it. I currently have the proceeds of the sale with a intermediary to do a 1031 exchange. I am currently negotiating on a 6 unit. When I bought this it wasn't even a great deal. I bought it because it fit the criteria I had for rentals and I already owned a few in this neighborhood.

What made you interested in investing in this type of deal?

Location and floor plan

How did you find this deal and how did you negotiate it?

This was a foreclosure auction on the courthouse steps

How did you finance this deal?

I paid cash. I later put this in a line of credit with a few other rentals to maximize my cash efficiency.

How did you add value to the deal?

I rented it back to the guy who lived there for 7 years. Bank of American did this guy no favors and shouldn't have been able to foreclose on him. He passed away and I updated the house then. He rarely asked me to make any repairs because he was handy and treated it as if it was still his home. The second tenant took great care of the house. I just did a couple minor repairs after she moved out and received multiple offers when it hit the market.

What was the outcome?

It cash flowed from day one and I had a nice exit. My goal is to 10x the number of units with the capital from the sale and greatly improve my cash flow.

Lessons learned? Challenges?

The long game is where it is at. When I bought it was a terrible time to sell. When I sold it was a great time to sell. I could have easily rented this house again but I think I maximized the ROI.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am a licensed Realtor so I found, managed and sold it but I worked with many great contractors and professionals during the process. Having a great team is so important. I do the real estate but have many professionals and advisors to handle other aspects in the business.

Investment Info:

Single-family residence buy & hold investment in Gladstone.

Purchase price: $43,500
Cash invested: $20,000
Sale price: $165,000

I rented this house for 9 years and collected over $80,000 in rent. I remodeled it after the first tenant stayed there for 7 years. I raised rent $300 a month for the next two years and have sold it. I currently have the proceeds of the sale with a intermediary to do a 1031 exchange. I am currently negotiating on a 6 unit. The funds will give me the down payment plus some of the renovation budget for the 6 unit that has a BRRR potential. The investors who play the long game always make money is the moral of the story. I was the only one at the auction for this house in 2011 and it wasn't even that great of a deal back then. I bought it because it fit the criteria I had for rentals and I already owned a few in this neighborhood.

What made you interested in investing in this type of deal?

Location and floor plan

How did you find this deal and how did you negotiate it?

This was a foreclosure auction on the courthouse steps

How did you finance this deal?

I paid cash. I later put this in a line of credit with a few other rentals to maximize my cash efficiency.

How did you add value to the deal?

I rented it back to the guy who lived there for 7 years. Bank of American did this guy no favors and shouldn't have been able to foreclose on him. He passed away and I updated the house then. He rarely asked me to make any repairs because he was handy and treated it as if it was still his home. The second tenant took great care of the house. I just did a couple minor repairs after she moved out and received multiple offers when it hit the market.

What was the outcome?

It cash flowed from day one and I had a nice exit. My goal is to 10x the number of units with the capital from the sale and greatly improve my cash flow.

Lessons learned? Challenges?

The long game is where it is at. When I bought it was a terrible time to sell. When I sold it was a great time to sell. I could have easily rented this house again but I think I maximized the ROI.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am a licensed Realtor so I found, managed and sold it but I worked with many great contractors and professionals during the process. Having a great team is so important. I do the real estate but have many professionals and advisors to handle other aspects in the business.