All Forum Posts by: Cornelius Brady

BP family, 

I wanted to get a different set of eyes on this. We purchased a new build in 2020 as our primary residence. We moved out in late July of this year because of the military, and planned on using the home as a long term rental. My wife and I left on a 10 day vacation in late July prior to moving and when we came back, what we thought was just a normal drywall crack from foundation settling expanded into a hole that opened up in the ceiling to the point where we could see the insultation in the attic. I contacted the builder since the home is still under warranty, and they sent out a foundation surveyor yesterday and his report stated that we have a foundation issue due to insufficient drainage of the property. He noted in his email that our sprinkler system was set to water 6x/wk for 33 minutes each day, and that that was the primary cause of the foundation sinking. Someone from the warranty department was out there with him yesterday and she asked me about that, but a few minutes later told me she had read it wrong and that the sprinklers were set to water once a week for 33 minutes, which is the setting I've had it on since we occupied the home in November 2020. The surveyor recommended a follow on survey in 120 days to more accurately diagnose the issue prior to making any repairs, which means I'm unable to rent this property for at least another four months. That means I'm paying two mortgages for that time. 

What would you do if you were in my situation?

Thanks for the help, 

-Neil  

Hey there everyone, 

New BP member/real estate investor here. I'm in the military and plan to focus my investments in buy and hold rentals (SFH/small MFH). I purchased my first property (SFH) in 2020, which I currently use as my primary residence. I'm moving from San Antonio in July, so the plan is to turn that into a rental and buy another SFH.

My ultimate goal for investing is to be able to work when I want to, not because I have to. Don't get me wrong, I love what I do, but I think having the option to choose to work out of desire rather than necessity is powerful. 

Fun fact about me - I've lived just under half my life in Saudi Arabia! 

I just wanted to put myself out there and start getting to know the BP community. I'm always happy to make new connections. 

-Neil 

Hi everyone, 

I'm in the military (currently in San Antionio, TX) and i'm trying to decide if I want to invest in each market I PCS (permanent change of station) to or if I want to invest in one market. I'm not sure how to perform/what goes into a macroanalysis for a market. Could anyone shed some light on what to look at/what resources to use to look at each component? 

I know of a couple factors, such as, employment rates and population growth, but that's about it. 

Thanks so much for your help

-Neil

Wale, 

That's a fantastic list. Thanks so much for that. 

Quote from @David Bain:

Originally posted by @Cornelius Brady:

Hey all! Green investor here. 

Quick background: I've been in the Army for a year and a half and will be for the next 12 years before I have the opportunity to get out. I bought a single family home as my primary residence in San Antonio, and plan on renting it out upon leaving for my next duty station. I have two main questions:

1) I hear in the podcast and reading through the forms that knowing your market as an investor is critical. If there are any active duty military reading this, how do you go about really getting to know a market while moving every 2-3 years? Of course, advice from those not in the military is greatly appreciated as well. 

2) This one is for military - how do you go about managing rental properties when you have to deploy? I assume it would involve having a spouse who understands the needs of your portfolio and how to deal with issues when they arise. However, what if you don't have a spouse? 

Thanks in advance. Looking forward to the conversation. 

-Neil 

Aloha Cornelius, 

Army veteran myself.  Glad to see another Sm getting into the game early.  RE will absolutely change your life.  Be sure you keep doing what you're doing.  

I've got a very solid network of veterans who work in RE/mortgage/PM and etc. We all work super hard to support our own. Having a solid PM will carry their weight in gold, especially when deployed. The logistics can vary, however, so I'd create a plan or POA while away if you want to be safe.

How long do you have left in SA you think? 

David, 

Thanks for the reply. I'm PCSing to Ft. Hood come July and am currently trying to figure out the rental/PM piece here in SA and looking for a multifamily for my new primary residence. Do you have any suggestions for PMs here in SA? 

Cade, thanks for the input. I've been weighing the pros and cons of staying in one market vs. owning property in multiple. I appreciate the viewpoint. 

David, Thanks for the reply. That's a great point about the legal red tape and associated fees when dealing with nonpayment. I hadn't considered that. Thanks. I'll definitely look into making those connections with other military investment groups. Any advice on how to go about finding them? Also, thanks for clarifying the process for going to collections. 

Doug, Thanks! Great to be here. If you don't mind me asking, where did you start and what direction did you take with your investments? It'd be good to hear from another active duty member. Mostly, I hear about service members buying and holding at as many duty stations as they can while they're serving with the ultimate goal of paying off the home. 

Tim, I appreciate the info. Thank you! 

Jim, I have considered STR for this property, but I don't think it's a good fit. The property is in Converse, which in my opinion, is a less popular/nice area. I also don't have the money to fully furnish the home when I leave come July. The main value I saw in this property was that it is sandwiched evenly between Randolph Air Force Base and Ft. Sam Houston since the military is my target rental population. All that said, I could be wrong. I don't know what makes a property a good Airbnb rental. If you could provide some insight on that i'd appreciate it.

 Brad, I'll keep you in mind. Thanks! 

Thanks so much for the comprehensive reply. There are a couple things in that list that I'm not familiar with myself (i.e. accounting reports, AMO, CPM). Where can I go to learn more about why those are important for PMs?

Hey there friends, 

I've got a SFH in San Antonio, TX that I'm using as my primary residence. I will be moving come July. I plan on renting out the property and want to use a property manager (PM). This will be my first time renting and wanted to ask those who are more experienced what I should be looking for in a PM.

What kinds of questions should I ask when interviewing? What's the best way to go about finding a PM? What are qualities you want in a PM? What are qualities you don't want? 

Additionally, If anyone has any advice at all they wish they knew for their first rental I am all ears! 

Thanks so much. Looking forward to the conversation! 

-Neil 

Thanks so much for the response, Karl! 

That's a great point about having built in accountability/security for monthly payments. I knew contacting their chain of command for lack of payment was an option, but I had no idea it would affect their security clearance. Could you go into more detail about the process of going to collections if the tenant isn't paying? Would you begin with their chain of command first?