All Forum Posts by: David Mo

Hi @Michael Olson! 

You should 100% work with a buyer's agent who is an investor themselves. If you can find one with a similar investing strategy to yours, then even better. For example, an investor who primarily flips or has a short term outlook will ask very different questions vs an agent who has a long term outlook. Working with a buyer's agent means working with someone who cares about your interests and is legally obligated to represent your best interests. It would be like if you were to enter a legal case with a lawyer on your side or not. 

As for your price range, sub 100k now a days is going to put you in a rough spot with a lot of issues, and honestly it'll be hard to find a good agent who's willing to work in that range in those areas. 80% or lower of real value is very unrealistic. 

Hi @Uriya Nadav! 

I'm a realtor and investor in Milwaukee County. $100k for a single family home is going to land you in a C class area with a higher crime rate, and I would not be surprised if there were a list of delayed maintenance items that would need to be addressed. With that being said, there are definitely neighborhoods in that class that are better than others. Harambee, Silver Springs, Hampton Heights, and parts of Roosevelt Grove come to my mind. Again though, you're going to be dealing with a higher crime rate at that price point! 

Hi @Spencer Krautkramer! 

House hacking is a great first step in your investing career, and Wauwatosa is a fantastic location! 

I will say that Wauwatosa is more known for the appreciation than the cashflow. Areas close to Mayfair Mall and downtown Wauwatosa come to mind for what you're looking for tenant and people wise, but inventory is low and prices are on the higher end. Happy to connect and discuss further! 

Hi @Irvin Nguyen! 

Investor from Milwaukee, WI here. There are a number of tertiary markets in Milwaukee County that I would classify as C+ to B- that offer a good mix of cashflow and appreciation, and our real estate market here is still looking healthy. Prices for duplexes in those areas are going between 180-260k with 4 units going up to 400k (albeit overpriced IMO)...happy to connect and discuss further! 

@Timir Shah What made you decide to look outside of the Milwaukee market? Do the numbers here no longer fit what you're looking for, or are you just looking to diversify into other markets? 

Hey @Trevor DeSimone! I use @Joe Latson with Backflip Capital! 1 year durations, and I got an 8% on interest mid May. 

Hey @Ryan Holyn! 

Congratulations on deciding to pursue FI and welcome to BiggerPockets! I'm also from the Naperville Bubble :) 

First I'd like to say that I think you've already started in the right direction and you're in a great position. You have no expenses related to rent, a car payment, utilities, etc and your biggest expenses right now are your student loans. I'd look to pay those off as soon as possible as it'll free up a lot of your cashflow to invest in other things. 

I'll bring up a point I haven't seen others mention yet as it hits close to home. I'm a very spontaneous person and budgeting/planning/looking at the big picture do not come to me naturally. Since you've mentioned that you're not great at budgeting, I'm going to make an assumption about you that you're similar to me in that regard. When I first started my FI journey, I didn't have a FI plan/clarity on my timeline. When do you want to achieve FI? What timeline are you giving yourself, and is it a realistic timeline? A 5 year timeline puts a lot of pressure on you to make the "right choices" and maximize/optimize everything. Having a clearly defined "target" may make it easier for you to prioritize where to put your money. Allowing yourself enough time to achieve FI may relieve some of the pressure you feel. My priorities for retiring in 15 years vs at 59 would be vastly different. 

If you plan to hit FI sooner, then I think your retirement accounts fall to the bottom of the priority list and that you should focus more on assets that can produce cashflow now/pay off debts to increase your cashflow. A house-hack is a great way to start your real estate investing journey and I highly recommend it, and I think @Ty Ash gives a great example as to how you may be selling yourself short on how much of a mortgage you can afford. 

With regards to budgeting in general, I've personally found a less specific/strict budgeting plan to work best for me. I allocate a percentage of my monthly income to my living expenses/fun budget, and focus more on staying under that percentage every month, rather than going down to the nitty gritty individual expense...I've found that to be less restrictive which works better for my brain. And it personally took me a long time to build the HABIT of budgeting...it takes work and effort before it becomes habitual. I hope this helps a bit! 

Hi @Pete Woelfel! 

My clients and I have used Kris Schoonover with Skeleton Key Inspections and really enjoyed the experience. He has very detailed reports, warranties baked in, and works a lot with investors. 

His website is https://skeletonkeyllc.com/! 

@Louis Chatfield I love the information that you got from speaking with the tenant! They usually know all the issues with a property and can be a plethora of valuable information. In your case...seems to have worked out very nicely :) 

Hi @Ricardo Ortiz! 

I'm a Milwaukee based realtor and investor. Milwaukee is a very diverse market and can have drastic changes as you go from neighborhood to neighborhood. Because of this, I think your experience and success will vary heavily based off which areas you choose to invest in, and the team you put together. With you being out of state, I think a solid property manager will be a huge part of your long-term success.

Your renting experience will vary depending on which areas you choose to focus in. C class areas are easier (less expensive) to get into, but you're more likely to run into headaches and maintainance requests that cut into your bottom line.

My renting experience in West Allis which I'd consider a C+ to B- area has been great so far. Apart from 1 problem tenant, the rest have been wonderful with no complaints and they take good care of my properties. 

Overall, I think your experience and success will depend on the areas you choose to invest in, and the people you have on your team based off those areas. Milwaukee is great because you can succeed with a plethora of strategies and in different areas...I personally think it's more about figuring out which areas/strategies resonate the most with you and what you're trying to accomplish, and then working from that. 

Please don't hesitate to reach out if you'd like to connect! I'd love to chat more about it anytime :)