All Forum Posts by: Christian Styles

I would list with a realtor in that area for sure, a good one should effectively market the property for you, but I would ask them this same question and see what they do to market outside of just putting it on the MLS.

Hi Angela! Welcome! definitely follow others advice and open a separate bank account. I was at REWBcon this year and there was a vendor, Turbo Tenant, who said they provided pm software for people just starting out. I haven't used it myself but met the CEO there and they were great. 

Its also amazing to me the amount of people out there who do not screen their applicants. In my eyes this is a necessity especially because you will be living right next door. 

WebHarvy is pretty user-friendly and doesn’t need extensive programming knowledge. You can scrape data from multiple sites and export it to Excel. Octoparse is another easy-to-use tool that can scrape data from various real estate websites and even schedule regular updates.

There are also browser extensions like Data Miner, which let you scrape data directly from websites and export it to Excel without any coding skills.

Import.io is a cool Google Sheets add-on that can pull data from websites and import it directly into Sheets, which you can then export to Excel.

I have also used Propstream, which is a great tool for finding property information using filters that update every time a new property enters the filtered fields and can automatically generate a report using that data for you. 

Hopefully this gets you started!

Hey William,

First off, you’re not obligated to do anything specific for his parole—that’s his responsibility. However, you do need to handle this situation carefully, make sure you follow a standard screening process to avoid any Fair Housing Act violations.

I'm honestly not even sure if you can initiate the conversation with the parole officer, if they reach out to you, or the tenant provides the info and offers the opportunity to call them, that's a different story.
Make sure you apply the same screening criteria you use for all potential tenants. You have every right to screen the boyfriend to the same standard that you screen everyone. If you don't currently have a screening process I would suggest you create one immediately and include it in your application going forward. Fair Housing requires us to treat all applicants the same with regards to screening.

Does your existing lease specifically allow or exclude the potential for a mid-lease modification like this? That would be an important piece of info.

 If you decide to allow him to move in, update the lease to include him as an occupant. This helps protect you and clarifies the responsibilities for everyone. 

If you don't currently, I would require renters insurance going forward from all tenants and make sure they name you as an additionally insured party.

If they break up, she’s still responsible for the lease, just like she is now. You’ll want to clarify this in the lease addendum.

Hope this helps! Good luck! 

That's awesome that you're getting involved in the business with your dad in Austin! Starting an LLC can be a smart move.

First off, you'll need to choose a name for your LLC. Make sure it's unique and meets Texas's naming rules. You can check name availability on the Texas Secretary of State website. Then, designate a registered agent who will receive legal documents for the LLC. This could be you, your dad, or a 3rd party service.

Next, file the Certificate of Formation with the Texas Secretary of State. There's a fee for this. It's also a good idea to create an Operating Agreement, even if it's not required. This document outlines the ownership and operation of the LLC. After that, apply for an Employer Identification Number (EIN) from the IRS. You'll need this for taxes and opening a business bank account. Make sure to open a separate business account to keep your finances organized. Check with local Austin and Texas state authorities to see what permits or licenses you need. The City of Austin's website is a good resource for local business requirements.

Before you get started, it’s probably a good idea to talk to an attorney. They can help with the legal stuff and drafting an Operating Agreement. You could try your hand at one of the numerous online services that advertise this stuff but I've found it better to start the relationship early with an actual person as opposed to a faceless online service. A local accountant can advise on the best tax structure for your business and help with financial planning. An insurance agent can help you get the right business insurance.

UT Austin SBDC offer free advice and resources I would definitely reach out to them. 

Good luck with starting your LLC and this new business venture in Austin! If you have any more questions, just let me know and I'll do my best to help!

Welcome! Expanding your investments is always exciting. University Heights is a solid area, but I’m curious—what drew you to that neighborhood specifically? Knowing your reasons can help tailor advice or agent recommendations. 

Interested to know where your other investments are too if youre willing to share.

As for agents with investor experience, you’ll want someone who understands the buy-and-hold strategy and the local market dynamics. I've got a great agent ive used in the past, Ill send you a PM with his info

Hi Lianne, I'm in that area often checking on our properties. if you want to shoot me a Pm im happy to go check on it for you and send some pics.

Welcome to the world of real estate investing! 

Brick is definitely known for being durable and low maintenance, which can make it a great investment for the long-term. Vinyl, on the other hand, is cheaper upfront but might need more upkeep over time. Like you pointed out, brick generally fetches a higher resale value, which is something to keep in mind for future appreciation. 

You mentioned that the brick property would break even or just about cover costs, whereas the vinyl property might give you a bit of cash flow. If you’re okay with not making much monthly profit and focusing on long-term gains, brick could be a solid choice. Just make sure you’re not dipping into negative cash flow territory, especially with today’s interest rates.

Location, Location, Location

Don’t forget, location plays a massive role in appreciation. Look at the neighborhood trends, amenities, and future development plans. Sometimes, a great location can make a vinyl property appreciate just as well as a brick one.

Maintenance

Brick will likely save you some maintenance headaches over time. Vinyl might need more frequent repairs, which can add up. If you prefer less hassle, brick is a good bet. Its not without hassle though, that's an important distinction, tuckpointing, brick sealing, and potential wall separation/collapse are always considerations. 

Think about what’s most important to you. If you’re aiming for long-term appreciation and low maintenance, the brick property might be worth the higher initial cost. But if you want some immediate cash flow and are okay with a bit more maintenance, vinyl could work.

At the end of the day, it’s about what fits best with your financial situation and goals. Take your time, crunch the numbers, and go with what feels right for you. Good luck, and keep us posted on what you decide!

Welcome to the BiggerPockets community!

Calculating the Cost of a Rehab:

Biggerpockets has some great calculators for this under the tools section but obviously you'll need a number to put in for rehabs. I personally like the rehab estimator on here.

1. I would make sure to get an inspection on any property you're serious about

2. If possible, have a contractor (or multiple :)  quote out the repairs. This isnt always possible but sometimes overlooked as an option.

3. Break down the rehab into smaller tasks (e.g., plumbing, electrical, roofing) and try and estimate the costs for each. Add a buffer (typically 10-20%) for unexpected expenses.

Positive Cash Flow vs. Just Breaking Even

While breaking even is better than a loss, it's generally not ideal.

I would aim for properties that provide positive cash flow immediately to ensure you're making a profit after all expenses. This serves as a buffer against vacancies and unexpected expenses. 

Operating through an LLC can certainly provide some protection, but many mortgage companies include a "due on sale" clause in their contracts, which means transferring the property could technically trigger the need to pay off the mortgage. Before transferring a property to an LLC, check with your lender. Some may allow it, but you might need to refinance the mortgage under the LLC.

I have a couple of lenders I could send over I've worked with in the past that could better assist you with that question. Ill send you a PM.

Hope this helps! 

Hi Sandeep, congratulations on the purchase! 9 units can be that tricky number where its harder to manage from a distance. I think about the obvious things like vacancy and maintenance. 

I know you said they're occupied currently but should that change the 16 hour round trip to show your unit is going to be killer. 

Maintenance is a little easier you could always call out a vendor, or partner with a handyman. But not having someone there with the properties interests in mind to verify the work being done is quality would personally make me uneasy.

I would definitely look at a local PM for the long term and then after the first year and hopefully the first round of renewals you can make a more educated decision as to whether or not to keep them around.

No matter what you decide to do, congratulations on the investment!