All Forum Posts by: Account Closed

Thanks for your input @Dave Dash ! I have a few clients in Atlanta, and have been monitoring the rental, population and job growth over the past few years, so that's why I was originally thinking of Georgia. But there are a few cities in Oregon and Nevada, that have shown good numbers as well, so definitely worth looking into! 

Hi Everyone!

Looking for some guidance on which U.S. state to obtain my real estate license in, in order to provide "packaged deals" to investors. Thinking about starting with Georgia, but open to any other state with cities that have price-to-rent ratios of 20% or higher, turnkey median home price ~$225k, and where the pre-licensing real estate courses are available online. 

A few things to note:

- Target Client: Investors seeking an investment strategy that is as passive as passive income can possibly get! This service is NOT for the investor who needs and/or desires to control all aspects of their investment, from research to acquisition. 

- Value Add: Convenience

The service would be as follows:

An investor provides me with their preferences for acquisition cost, cash flow, property specs, location, etc. I research and locate properties on MLS.com and various real estate marketing portals. I visit and analyze the property, and estimate rehab costs (with experienced inspectors and contractors), add a buffer for unexpected repairs, and provide a financial model with an ROI comparison of a traditional rental vs. short-term rental.

Any guidance/tips (positive comments only please) would be greatly appreciated!

Hi @Minna Folkman ! It honestly depends on your investment goals. For example, if you are buying the property outright, i.e. no mortgage, that $1000 -$1500 per month goes to your expenses, (utilities, capital expenditures, vacancy, etc.) and the remainder is your net cash flow. For the majority of newbie investors, this situation is not very realistic, as not many of us just have $200k-$250k lying around. If you instead mortgaged the property, i.e. put down 10%-20%, your end goal would most likely be appreciation. Since I don't have experience with the "buy and hold" or appreciation strategy, my advice would be to personally reach out to one of the "buy and hold" investors directly, which you can do with your BP Pro-Membership. I'm sure they would be happy to answer your questions, and help you narrow down your investment strategy.

My expertise is with short-term rentals, and the investors I work with that have acquired properties, instead of using the rental arbitrage model, are specifically seeking a higher net cash flow, than traditional rentals provide. So instead of $1000-1500 per month, they receive $2400-$3500 per month. However, as with ANY investment strategy, there are MANY variables to consider when using this model. Your monthly cash flow will vary from month to month, state to state and city to city, depending on location, target market, marketing strategy, etc. Feel free to PM me if you have any other questions!

@Eric A. I will definitely research those areas! Thank you! :)

@Eric A. Thank you for mentioning that! We are actually looking at a few suburbs outside of Orlando, specifically for this reason. Where there is a high demand and a low supply, there is an opportunity! :) 

@Peter Ledger Absolutely! And I can DEFINITELY understand why everyone is crazy about Cleveland too! Thank you again for your input. I'll have to PM you about Cleveland. I work primarily with investors looking to open short-term rentals, but at those prices, a fix and flip could also be an option. @Account Closed mentioned he had to start with. But if I come across any investors that are looking into property in Sacramento, I will be sure to send them your way! ;)

Hi Jon!

PM me with your details, (number of rooms, monthly rent amount, number of occupants, etc) as I place guests seeking short-term rental accommodations. 

@Lateeka A. Use that finance background to your advantage! If you analyze a few deals for properties in the $200k-$250k range, that show the numbers investors want to see, you will have no problem finding a private lender to partner with. There are a LOT of private lenders, who are looking for passive income investments. And if you can't find any, let me know. I met quite a few at the last AZREI meeting in Phoenix. The interest rate they offer may be a bit higher, but it is definitely possible. One of my clients just signed a contract for $30k from a private lender, to be used to purchase a 2 bed/1 bath home in Phoenix that was priced at $215k. Interest rate was 14%. If you're willing to extend your reach to Phoenix or Atlanta, let me know.

I don't work in NY, but I'd look at attending local REI meetups and of course utilizing BiggerPockets. With your Pro membership, you can search for members by location and specific criteria, i.e. private lenders. Feel free to PM me with any other questions. I'm happy to help!

Hi @Richard Alvarado ! Welcome to BP! A few tips: 

1. I would stay far, far away from investing in California, as a beginner, as the cost of acquiring ANYTHING here is WAAAYYY too high

2. Look for places to invest where the median rent is under $1000, and the median home price is $200k - $250k, Phoenix, Atlanta, Colorado Springs, Orlando...there are many metropolitan cities that have homes and rent in these ranges - and this includes homes that don't need to be rehabbed (turnkey properties)

3. Out of state investing is your best bet, IF you want to start right now. If you don't want to work with a private lender, you could do what is called "rental arbitrage", where you rent out an apartment or house, and offer it to be used as a short-term rental. You'd want to plan on investing between $5k - $10k, if you decided to go this route. Many people may tell you this can't be done, but trust me, it can. This is something I do for a living, so if you need help in this area, let me know. I currently have multiple clients across five states that have followed this model. Start with smaller, owner controlled rentals, if you decide to go this route. You'll be doing a LOT of work, scheduling appointments with landlords, and visiting multiple properties, but it has one of the lowest start-up costs of any other real estate investment model.

Feel free to PM me with any other questions! 

@Melanie Hartmann I just wanted to check in and see how things were going! Girl, you've gone viral!!! CONGRATULATIONS!!! See how much further positivity goes?! I wish more people understood that. But for those of us that do, what a POWERFUL life we live!! Anytime you need a bit of inspiration, motivation or a reminder that ANYTHING IS POSSIBLE, you let me know!!!! :) 

Here's a piece from my favorite motivational station on Spotify to end your week right (I also attached the full version, in case you wanted to hear it!): 

"The Oath of Champions" - By Fearless Motivation

In sound body and mind I make this oath. The oath of kings. The oath of kings and champions.

I declare I am not perfect.

I trust there will be challenges to surmount, and I swear on the graves of all that have passed before me, and the power of this universe…I will fight through the challenges with all my soul, all my spirit, all the strength I have inside me.

I swear I will outwork any and all human beings that come before me. With all respect to those that have tried before me, they have NEVER tried as hard as me. They do not have my heart.

They do not have my spirit – the spirit of kings and champions that bleeds through my bones!
They do not have my heart. My courage.
They are not blessed with my unrelenting effort.
The effort that NEVER says that’s enough.
The effort that knows no pain.

I swear to be strong in hard times.
I swear to persist when others give up.
I affirm to remain hungry long after I reach the top.

I affirm I will never settle. NEVER SETTLE. I affirm once again I WILL NEVER SETTLE!

This is MY dream, and I don’t really care if nobody else believes in me. I believe in me!

I affirm my effort will always be switched on.
Nobody can take that from me!

I swear my belief will remain strong at all times.
Never will I stray from my goals.
Never will I create a plan B.
My plan A is the only plan.

And that plan is the one I am going after with all my soul!

This is my oath. 

Full recording below:

https://www.fearlessmotivation.com/2015/07/30/the-...