All Forum Posts by: Alex Chin

Hello BP,

I'm looking at a couple of properties that meet a lot of the basic criteria that I want for my first potential investment and am starting to dig a little deeper and taking a harder look at them as possible rentals. Both properties handle the 1% and 50% rule nicely which got them on my radar.

I noticed today that both properties have been active listings for 2+ years.

BP Community: what do you think when you run into situations like these? What red-flags would you immediately start looking for to figure out why no one else has jumped in?

Hello Garret,

I would caution you to be prepared for some serious sticker shock when comparing housing prices in the Seattle area to the mid-West. If you want to live near Seattle, I believe the cheapest housing I've seen is a tiny little ~400 sqft. condo for $45k in Des Moines, which is about 18 miles outside of Seattle. Within Seattle city limits, I think the cheapest I've seen was a 1BR/1BA condo advertised at $100K with HOA dues around $400/month.

Regardless however, I wish you luck on your search, you should definitely stay active on BP if you move the area and jump into the REI market to connect with other investors.

@Kathleen Wilcox - This is the event I messaged you about.

Rock on @Engelo Rumora, just listened to the podcast you did a while back and got some good stuff out of it, particularly liked what you mentioned about finding the right folks whom you can build a long-term relationship with. Currently have two friends whom I've known for 10+ years that I've started talking real estate with who might be interested in partnering up. Gonna be taking the next 6-12 months to gradually build this and see where it takes us. In the mean time, I intend to jump into the market solo to start building my experience in the sector.

As a newbie, 26 year-old looking to break into the Seattle-area market, I wish you success in your endeavors!

Congratulations @Joshua Dorkin~! Let's keep this party rolling.

Seattle market has gone crazy. Just had an agent tell me about a great investment opportunity, $400K+ for a duplex that is currently in a B- neighborhood and is currently garnering $2,200/month in rent from a couple Section 8 tenants.

His manager was calling it a great investment buy because the rents would cover the mortgage with about $400 left over. There was no accounting for cap-ex, vacancy, turnover, etc.

I ran hard and fast and noted to myself to ignore anything that agent's manager says.

@Al Wilson - That's a good suggestion and one I will look into, thank you.

@Greg Baker - I really like this idea and will make that one of my questions that I ask perspective real estate brokers. I am also fortunate enough to have some connections to local contractors and construction companies that I will probably tap. Thanks for your thoughts.

@Tiffany B. - Don't sell yourself short, you have every bit as much capability to get it done as landlord and property manager as anyone else, all you lack is a bit of experience.

Luckily, you've already found Bigger Pockets, I would strongly suggest listening to all of the podcasts, and just asking as many questions of experienced landlords to help get you started. Don't be afraid to make mistakes, you'll do great and make a nice bit of coin for yourself.

@Casey Stuebs - Hey Casey, thanks for the tip about that podcast, I have it on my list of "things to listen too". I think at this point, general advice has been that an attorney on retainer is not necessary for a new investor, but I would be well advised to get my lease agreement thoroughly reviewed.

@Sam B. - It does indeed help, I don't think I'll be looking into the Seattle core markets any time soon, my concentration will lie more towards the south iniitally, in the Kent, Renton, Des Moines, and Burien areas.

@Account Closed - Thanks for the quick run-down on your experiences and I'll keep that in mind moving forwards.

Woo-hoo! Congratulations and hope this all runs great for you and good luck with your investing career.