All Forum Posts by: Chris Baer

@Orlando Ortiz I just locked a 3.3 30 year conventional on my 9th rental. I’m trying to refi 7 of them which average around 4.65%. I’ll probably have to go commercial so if anyone knows a national lender, please let me know. Getting a 3.3 rate on these 7 will save me $600/month.

I bought 5 more sfh's in 2020 to add to my portfolio. It's tough to fight off the REIT's paying cash for properties as they are willing to operate at a lower COC return than I am. But I guess if you are buying in an area when there are REITs, then that probably means you're investing in the right area. If I created a fund and/or raised private money, I know I would be getting at least another 3-4% return or more for my investors than they currently are. Maybe some day. Anyhow, I'm looking to buy another $1.5 to $2 million more worth of houses or possibly even an apartment complex if competition continues to subside in that space although that would be new to me. I think we'll have another 6-9 months of favorable interest rates and then we'll see them start rising and affecting cash on cash returns. For the liquid investors, if there's a gap we can hit where the rates are still low while the market corrects, it could be good but I have a feeling that'll be a short window. We'll see.

Your numbers don’t look good to me. I own 2 houses in this neighborhood that cash flow very well. Both 3/2. One, I paid 85k for and it rents for $ 950 and the other I paid 95k for and it rents for $1025. I did nothing to either as far as work. You gotta watch the higher taxes in Horn Lake and the street matters.

I have some rentals in Colorado but most of my rentals are in Mississippi.  They are all paying so far.  One asked me to pay late (he still has his job and just moved in last month) and I said nope.  I have noticed that the ones that I have listed for rent are getting way more attention than normal and renting very quickly.

I think about this and how my leverage and risk changes with every rental I buy. I have 10 rentals and could pay mortgages for over a year with real estate only account reserves if no one pays me rent. Several years I guess with all cash accounts. I also factor in some anticipated maintenance like a roof I'll need soon for one of them and some HVAC work on others. As far as personal risk, my wife and I both have day jobs, and have always had the strategy of controlling living expenses so all expenses can be paid by only one of our salaries. It's worked out well and I want to add 10 more rentals by the end of the year. Hopefully the market cooperates!

Take a weapon if you go look at any houses there and if you hear a whistle, you better run. I grew up close by in 38116.

Done. 

I have properties in Colorado where I live, and Memphis area, where I grew up. I'm in growth mode acquiring more and more RE and need a good Estate Planner and a better tax guy. Do I get separate CPA's for properties in each state since state tax laws can be quite different? Same with a legal Estate Planner? 

Anyone have any thoughts?

From my understanding, as soon as the Courthouse get the info it legally becomes public at that time.  So from the time from then to the Tax sale funny things can happen.  One town where I buy property, the mayor would get the list and contact the owners with offers.

@Mehgan Moore

Mine has worked out well. It's in the Vail Valley in Colorado. We bought for a ski/summer condo and used it for a few years and then we moved to Crested Butte, CO from Denver and rent it out now and get $800/mo. Cash flow. Plus, it's appreciated 61% since we bought it 4 years ago. Make sure the HOA is in good shape and find out any major upcoming improvements. They put windows in the buildings and the HOA went up $100/mo. for a year. I'm kicking myself for not buying 2 more when I had the chance.