All Forum Posts by: Clarase Mika

Hi @John Bucknum, 

It's a challenging situation, but communication is key. Consider arranging a meeting with the tenant to discuss the ongoing issues, share the details of the discovered problem, and explain the steps being taken to fix it. Transparency can help build understanding. Offering a rent concession for the inconvenience might be a fair compromise, and stressing your commitment to resolving the plumbing issues promptly can also reassure the tenant. It's crucial to maintain open lines of communication to address concerns and find a solution that works for both parties.

I would also add stickers directly to all toilet seat covers on your property and update all contracts with an intentional damage clause that clear states inserting unapproved items in the sinks and toilets is not allowed. Repeat offenders may have their leases terminated and are always responsible for repair and replacement fees. 

Have you thought about getting ahead of the issues that seem to be reoccurring at this point. For example, depending on the costs involved you might want to consider incentivizing your tenants who do not have any unnecessary repairs each year. 

Lastly, maybe you and your wife want to consider bring in a professional life coach/ therapist to talk to your repeat offenders on your behalf. I know this is technically not something a property owner should be doing. However, a pattern has developed and you and your wife seem to be the ones paying dearly for your tenants dancing on your noses. It seems like the risk reward relationship will soon be upside down if you two don’t find a creative way to get ahead of this issue. I pray the exact wisdom and follow-up you both need finds you! 

Have a great day! 

Best, 

Clarase 

Hi @Becca F., Sounds like you’ve learned some valuable property owner lessons. My dad calls this taking a LL (life-lesson). I would also suggest you put stickers on all toilet seats covers. I fixed mine directly on the seat cover so each user has to see it. The glue on the stickers I ordered must be superglue. I tried to reposition it but had to leave it alone. You can order them online! 

The secret life of bees: Children put things in sinks and toilets without adults noticing. You might want to add a parents are responsible their children and pets line. Been there; seen that one too… 

In situations like these, clear communication is key. For SFH#2, considering the tenant's positive track record, you might want to split the cost this time. However, updating your lease with specific guidelines on what can and cannot be flushed is a prudent step. This can help avoid future misunderstandings and clearly establish tenant responsibilities for plumbing issues arising from their actions.

Hey Orlando Investor,

First off, kudos on your financial success and the ambition to dive into real estate! You have enough to think about linking up with a family office or buy commercial property. Have you considered investing in Europe with a company like August. Here's some tailored advice:

1. Hawaii vs. Mainland

Hawaii can offer a unique lifestyle, but it's crucial to understand the local market intricacies. Consider the balance between appreciation and cash flow, especially in Honolulu with its high demand.

Miami has been a hot market, and Space Coast Florida may offer a mix of affordability and potential.

2. Short-Term vs. Long-Term Rentals

STRs can yield higher returns but involve more active management. In Hawaii, you might benefit from the tourism industry, but be aware of regulations.

- Long-term rentals offer stability. In Houston, the MTR approach aligns with steady cash flow.

3. Self-Storage Business

- The idea of self-storage branding and corporate scaling is intriguing. Research thoroughly, understand the market demand, and explore the feasibility of this venture.

4. Starting Small and Scaling:

- Begin with a manageable number of properties or units, considering your time constraints. Starting small allows you to learn the ropes without overwhelming yourself.

5. Local Expertise

While you have a strong understanding of CRE acquisitions, having local experts like an agent, insurance professional, and loan officer can be invaluable. They bring market-specific insights and help navigate local regulations.

6. Balance and Diversification

Balancing your portfolio with a mix of residential and potentially commercial properties provides a diversified approach.

Consider starting with a few STRs or multifamily units, gaining experience, and then exploring larger ventures.

7. Exponential Growth

Investing in growing markets and staying attuned to emerging trends, like the self-storage concept, aligns with the goal of long-term wealth multiplication.

Remember, a measured approach, thorough research, and leveraging local expertise will be key. It's a journey—learn, adapt, and keep your eye on those 2077 goals!

Best of luck on your exciting venture,

Clarase Mika 🏠💼

Hey there @Jeff Hines, Future Real Estate Mogul,

Sorry for your loss! Congratulations on having a clear goal and a solid financial foundation! Considering your circumstances, here's a strategic roadmap for your real estate journey:

1. Out-of-State Investing:

- Exploring markets with lower entry points like Detroit, Alabama, or Ohio is a savvy move. Closer to home, you could look at military communities with lots of financially stable uniformed and civilian members eagerly looking for a nice place. If your place is very well maintained you may be able to achieve higher than average returns. Also, if you develop a business plan and your target group are military; you may be able to get a military lender to help fund your property acquisitions. Navy Federal Federal Credit Union comes to mind. 

- Renovate, rent, and refinance (BRRRR) is a proven strategy. Ensure thorough market research to understand the local dynamics. Find a reputable real-estate coach. Property appraisers and home inspectors can be excellent realestate coaches. Many of them have tons of market experience and investment knowledge because of the nature of their work. Just call up a few and ask around. You might find a good one, like I did, that won't even charge you for their mentoring. Reciprocity always! Be sure you buy their professional services and refer them to others in your network! I did this and it ended up being one of the best decisions and money spent. My appraiser really talked me out of a really bad decision I was totally convinced was an opportunity. The lovely house I was interested in but didn't buy because of his mentorship later collapsed. 😳

2. Leveraging Debt:

- Spreading your funds across multiple DSCR loans is a viable option, optimizing your capital for maximum door acquisition.

- Explore different financing options and interest rates to find the best fit for your strategy.

3. FHA Loan Planning:

- Waiting to secure a stronger financial profile with two years of work history and W-2s is a prudent choice.

- FHA loans could open doors with lower down payments, offering a more traditional approach to real estate investing.

Are you a military Veteran? If so, utilizing your CoE benefits to buy investments could skyrocket your plans! 

4. Alternative Financing:

- Research alternative financing options beyond DSCR loans. Private lenders, hard money loans, or partnerships might align with your goals.

5. Educational Investment:

- Invest in your knowledge base. You are here so you are already leaning way in so great job! Attend real estate workshops, engage with local investor groups, and absorb insights from experienced investors. Education is your best ally. Check out your local historic preservation society about historic property development. You might be surprised at the wealth of knowledge and support you might find in that niche area. 

6. Risk Mitigation:

- Diversify your investment portfolio. Consider a mix of long-term rentals, short-term rentals, or even exploring commercial real estate based on your risk tolerance. Covid made diversification even more critical than ever before. 

7. Local Networks:

- Leverage local connections in North Carolina. Networking with real estate professionals, agents, and other investors can uncover valuable opportunities like off market, trades, and even owner financing deals.  

Remember, each path has its pros and cons. Tailor your approach based on your risk appetite, long-term goals, and the specific market dynamics you're comfortable with. Go gingerly; but go… Here's to building your real estate empire!

Best Regards,

Clarase Mika  🏡💼

@Errol Sadler

Greetings Property Protector,

For your noble quest to safeguard your kingdom of 30 doors, I present to you the fortress of security— Abode Iota!

Why Abode Iota?
1. Cellular Might: Abode Iota boasts cellular backup, ensuring an unwavering connection even when Wi-Fi signals falter. The reliability you seek, without dependence on a single tether.

2. Remote Sovereignty: Rule your realm from afar! Abode's user-friendly app allows you to monitor and command your security fortress remotely. No more quests to reset cameras; simply wield your smartphone scepter.

3. Versatile Vigilance: The Iota Gateway not only guards against intrusion but also detects smoke and water leaks. A vigilant guardian for your properties.

4. Expandable Garrison: Should your kingdom grow, fear not! Abode allows you to expand your security forces, adding more sensors and cameras as needed.

5. DIY Mastery: Easy installation means you won't need a legion of tech wizards. Save your gold for fortifying other aspects of your empire.

6. Integrations Wisdom: Abode plays well with various smart devices, offering compatibility with third-party integrations. Seamless synergy with your existing tech allies.

7. No Monthly Tributes: Abode offers self-monitoring for free. Should you wish for professional monitoring, it's available as an optional allegiance, without imposing heavy levies.

In choosing Abode Iota, you embrace a realm where security is steadfast, and your peace of mind reigns supreme.

May your kingdom prosper and your watchful eyes remain vigilant,

Clarase Mika
Mixed Use Castle Maven 🏰🔒👁️

Hello @Georgia Cooper, 

When considering using Other People's Money (OPM) for short-term rental properties in Europe, structuring the deal with investors is crucial. Due to affordable housing shortages, Some European cities, like Frankfurt am Main, have restricted and/or banned short-term rentals like Airbnb. It's important to know market restrictions by conducting a thorough due diligence process. Common approaches include:

1. Equity Partnership Investors contribute funds for a share in property ownership and future profits. Define each party's responsibilities and the profit-sharing arrangement.

2. Private Loans

Investors act as lenders, providing funds with agreed-upon interest rates and repayment terms. This can offer more straightforward arrangements.

3. Joint Ventures

Collaborate with investors as partners, sharing responsibilities and profits. Clearly outline roles, risks, and the distribution of returns.

4. Crowdfunding

Utilize crowdfunding platforms to gather small amounts from multiple investors. Each investor holds a share based on their contribution.

5. EstateGuru

Pitch your projects to a focused investor group eager to fund your projects for handsome returns. Their secondary market feature enables paid members to also trade properties on the platform.

6. Financial Brokers like Marcus Göhler

Does not have to be Marcus but partnering with an experienced financial broker can help you avoid pitfalls. Allow the broker to take care of the financing part of your deals. You do not pay them out of pocket. Their financial partner lending institutions pay their fees. 

Ensure legal and financial advice is sought to structure a deal that aligns with regulations and protects all parties involved. Good luck with your investment venture! 🏡💼

Have a great day! 

Best, 

Clarase Mika

Hi Gary Wright,

Congrats on your upcoming move to Germany! I’m happy to assist you and your wife find a place and securing financing. According to some local policies, members must purchase a property before one year anniversary of their report date. I offer TLAs in Bad Kreuznach and Wiesbaden as well. Here are some initial thoughts:

1. Is it worth it?

Owning property in Germany can be a good investment, but it depends on various factors like your long-term plans, market conditions, and personal preferences. Generally, your idea is a good idea since you’re really leveraging your housing allowance to build equity and wealth. I was also active duty and invested in Germany. I lived in the condo I purchased in Wiesbaden during my tour. When I returned to live in the US I rented the condo exclusively to Americans. My plan was always to return to Germany after separation; which I did. It has been overwhelmingly worth it for me. 

2. Risks:

Legal and cultural differences might pose challenges. Ensure you understand property laws, taxes, and local regulations. Currency exchange rates can also affect costs. With that said, a lot of people will be against you investing here because only a small amount of us have actually done it! So your perspective and idea to find people with first-hand experience is spot on! The rental market is very stable and there are options for renting your place to other Americans if you purchase a home and live their during your tour and rent it out after you leave. I can actually help with this. I’m offering a small rental service and starting a private investment club in 2024. 

3. Financing:

Mortgages are available for non-residents, but terms might differ. Consult local banks or international lenders for details. Some military credit unions offer business loans and mortgages for buying properties. Consider exchange rate risks. I highly recommend finding a financial broker, like Marcus Göhler, who packed my last deal. He speaks English and started his own company in between he’s so good! He’s a beast and would be glad to help you and your wife out.  You do not pay him directly. His bank partners pay him for brokering deals. 

For more detailed insights, connecting with me, expat forums or seeking advice from real estate professionals with experience serving Americans buying in Germany could be beneficial. I’m happy to connect with you both and be of service. Good luck with your move! 🌐🏡

Have a great day! 

Best, 
Clarase Mika