All Forum Posts by: Sean Dezoysa

Owner quitclaims property into an LLC. You then buy LLC. I believe this completely avoids the need for a title company -- other than seeing what is on title. Does anyone have suggestions on how to have a title search run without also opening escrow?

Residential Care is purely for basic assistance with ADLs vs Assisted Living which includes more skilled care. My market is Jackson MS and I plan to start a 3 bed Personal Care Home - no license to start (legal up to 3 clients in MS).

I want to find at least some of the clients on my own. If I have 2 on a waitlist, I may then use a placement agency to pick up the 3rd. Can anyone advise on how to find these types clients? Things I have on my to do list are to regularly call social workers and other facilities for referrals. Also to advertise on Craigslist and Social Media.

@Scott E. The strategy this would be used in goes like this:

1. Find a sub2 in foreclosure
2. Mod the loan to lower payment
3. Buy the house with modded loan in place

So there is a use case for it, investors in my group are doing it.

In your experience is a loan mod a laborious process? Would you rather pay $2,500 for someone else to handle it, or do it yourself/internally with a staffmember?

Doing this to help the homeowner mod down

the payment before I buy the house with

loan sub2.

Anyone pay someone to handle it? What do they charge you?

I was quoted $500 up front, and another $2,000 if they determine if it's a good chance and get ready to submit paperwork. $2.5k makes me think I should bring this in house and buy a book on executing a loan mod.

Hi, I'm currently paying $500/month for mentorship from a coach who knows wholesaling and also creative finance. I will also pay 50% per deal when we get there. The structure of the coaching is quite limited. On the other hand his personal calls to plan out engaging the serious leads both inform me and give me confidence to aggressively pursue them. I am currently averaging about 3 leads per week from signs and mailers.

I'm thinking of doing Pace Morby's program in the future. My thought is to get a deal per month or two going, and then join. I would (hope to) skip the lower level basics, and participate in higher value materials, to maximize my time in the program. Do you guys who've taken the program think this is a good strategy?

Also: I was recently banned from Facebook. How much of a problem would that be? I'm trying to reinstate my account now. A filipino VA was logging into it, so there is a chance they may unban me.

Originally posted by @Aaron W.:

@Sean Dezoysa Every market is a little different when it comes to cash-on-cash. What CoC return are you looking for? Then target markets that have those types of returns.

If you are giving your local PM management duties, then is there a reason to keep the tasks of marketing, payment, and repairs instead of allowing your PM to handle those?  How much will you really be saving by doing those tasks yourself?

Hi AJ,

I'm of the belief that the best job is done by myself. Well, I have a virtual assistant who is quite good in other areas and is happy to take on work like this.

The agent/manager will still have a fair amount of local responsibility: property showings, lease signings, eviction oversight, etc. But I want to offload tasks where I can.

As for a target COC return, I'll take whatever the top option is without spiking risks and management intensity. To me that means B/C properties in Cleveland. Still curious what a reasonable target COC return is if anyone knows

Hi all,

On the Toledo forum I mentioned hoping for a 10% cash on cash return for turnkeys and several people said that's too low for Toledo. That's always good to hear.

Plans have changed a bit and I think I now prefer to deal scout the MLS with an investor friendly agent, then giving her local management duties while I do my part remotely in terms of marketing vacancies, payment handling, repair requests etc.

What range would you guys target as a cash on cash return for C/B properties that are reasonble MLS deals but nothing stellar? Bank financing 75-80% loan to value.

Maybe 12% cash on cash return, up to 15% max? Putting 20k down that would be $2,400 to $3,000/yr in net cash flow. Seems like a pretty high amount to me, I'll take it if it's sensible though!

I've been looking into a plan for buying a small park sight unseen but it doesn't seem there is a good way. Unlike SFR/MFRs there seems to be no inspection/appraisal sub industry available to handle those aspects. Meaning not doing an in person inspection yourself is a huge risk.

Is this accurate or has anyone found a good way to inspect an MHP without visiting and doing it yourself?

In his book "Landlording on Autopilot" Mr. Butler suggests doing a surprise in person inspection of the tenant's current residence. If the tentant doesn't agree the application is immediately rejected. The idea behind this method is that the tenant's current upkeep is the best predictor of his/her upkeep of your property.

Seems highly invasive but also highly effective. Do you guys see this as a strong screening tactic? I've most commonly read here to collect a big deposit not exceeding 2 months rent, use a screening service etc. This method though, I think could do even better. Just my opinion at the moment.

Even though it seems the entire state of Ohio is a good cashflow market, I am strongly considering Memphis TN based on information I saw here. No state tax. Low natural disasters. Easy evictions. Landlord friendly in general. 

Does Ohio also have these qualities? Anyone knowledgeable about landlording in both of these markets care to comment? Thank you@