All Forum Posts by: Christopher Huber

Well, my life is officially changed as of today. Two years ago, I began my RE investing journey. I bought my first house which was a fixer upper. This is the house my wife and I currently live in. In April of 2022 I purchased my first rental house. I'm in Southern Alabama where houses are more affordable and got that one for $35k. After $15k in renovation, I can now rent it for $900/month. In October of 2022 I acquired my second investment property. Purchase and rehab came out to $58,500 and it also rent for $900/month. In August of 2023, my third property was purchased at $85k and rents for $1200/month. I was very excited with this progress. Then in October, I was able to take over a 5-unit apartment on a lease option for $250,000. This was very exciting as I now had 8 rentals.

However, an investor in my area that ive built a relationship with, reached out to me and said he's ready to retire and would like to sell a portfolio including a trailer park and 15 SFHs. After some negotiating, we agreed on a contract of $2.15m @6% over 35 years! The I ing on top is we settled on a down payment of only $5000. I was able to enter a deal that will cash flow $4400 on day 1 for only $5000 out of pocket!! In the last two months, I was able to jump from three units to 54 total units with room for another 40 trailers in the park.

I knew I was on a journey that would lead to this eventually, but I was willing to be patient and for the right opportunities and grow slowly at first. I am absolutely blown away going from 3 units to 53 in the last 31 days. You could say I was lucky to get this opportunity but there have been several opportunities go by that I have been unprepared for. I believe in God's timing and I believe that He provided this opportunity for me in a season when I was prepared for it. I've listened to countless podcasts of investors telling similar stories but it is a whole different thing when you get to experience it yourself. Keep working and pursuing your goals, and trust that your process will move you along a path to success. The work begins!!

@Richard F. Thanks! I'm in Alabama. I'll check those laws out. What you said about non renewal is what I was hoping. I just don't know enough about all those laws yet. Finally got a property and now learning how to manage it!

@Trevor Schmitt thanks! I used the lease from BP so it's probably in there somewhere. I didn't memorize all 12 pages

@Theresa Harris correct. I'm in alabama and rent is only $800, but they are $700 behind. Sometimes they pay an extra $50 and then be $100 short. The first time it happened I was lenient because she changed jobs after her hours got cut and only paid $300 that month. It's always another excuse though.

This one is for the landlords!

I have some renters who have never been awful but haven't been good either. They've never gone a month without paying rent but they have paid partial rent a couple times with long shot promises of paying the rest when they get paid in two weeks. It never happens. Their lease ends in October.

Have any of you let a tenant go by not renewing their lease? Is that different from an eviction? What is a good way to do this to avoid escalating the situation? Open to any tips and advice you have for me!

PS: This is my first rental and my first ever tenant. I definitely learned some things to do better when screening!

Thanks

So I'm working with someone to build 72 affordable houses to rent in an old trailer park that has been emptied out. Currently have 6 complete and working on the next 6. We have funding through a couple private lenders to complete 19 houses. I have tried to connect with private lenders before but have only been able to find scammers. I'm sure there are plenty of lenders on here but how do I go about finding legitimate lenders for this and future projects? Also, if you are a lender and interested in what we're doing, I would love to connect with you!

Thanks for your advice!

@Erik Checkur Alabama

@Rachel Kokosenski I checked with them and they'll only finance on a 10 year amortization which makes it so my numbers don't work. Thanks though!

I am trying to purchase two lots, each with a mobile home on it. Purchase price is $170k and monthly rent is $2550. My problem is finding a lender who will finance mobile homes. How would you go about getting financing on these? I've called several banks and mortgage companies but no luck. Any suggestions on lenders who may finance this?

@Brian Bohrer, Right, it's 2 of the last 5 in my state. Thanks for the confirmation