All Forum Posts by: David Bowles

@Richard Frazier Hi Richard! Welcome to the area. I’m a new investor with my first property under contract right now, but I’m looking for more! I also am looking to expand my network and would love to have a conversation with you!

@Sue K. I hear everything you are saying.

@Josh C. I also hear you!

Though I’ve never worked with any PMC nor managed any of my own properties, I know people that do both. The self managers are very happy with their decision, and the folks that go with PMs are generally happy with theirs!

I think it’s safe to say that with any service business (car repair/excavation/home repair), there are companies that are out there that will take advantage of the under informed and gullible.

My plan for my first few houses will be to self manage. I also realize that after I grow, a PM will be a necessity if I ever want to “step back” from growing and start coasting in the future.

By then, I’ll be much more aware of the industry and workings of maintaining a rental. I can only hope that I find a great PM like @Josh C!

Thank you both for your input! It is all equally valuable to see both perspectives!

@Michael A. The seller is a very good friend of (and partner on a few past deals) of a REA friend of mine. That is why he is willing to sell under current market value. He’s not looking to try and market a property right now with the COVID lockdown, and also doesn’t want to pay agent fees on a normal market sale.

I have decided that if I am going to buy the house, it will be cash. 30k down and the rest over (insert terms here). I’ll avoid the horrendous loan fees and everything else that comes with a conventional mortgage.

I do plan to have an inspection done to cover my own tail, but will most likely skip a lot of the things that a normal lender forces on you.

Thanks for the post!

@Mary Mitchell Don’t they also take the first months rent on a new tenant? To me, that sounds like a great deal if they need to place 2 or 3 tenants a year! I also plan to self manage starting out. I feel like I will learn valuable lessons which will help me “manage the managers” once I build a larger portfolio.

@Mary Mitchell Good advice! I have already spoken to a local credit union that has no issues with it. I’m also considering just paying cash as that’s an option (why add more complexity up front. I can always refi later?). After all this discussion, it turns out the tenant doesn’t want us in the property right now due to COVID-19. The moratorium is supposedly lifting on May 1st, so I’ll see if I can get in there on that day. I certainly don’t have my heart set on this house! If for whatever reason, I need to move on to the next opportunity, I’m ready!

@Sue K. Your experience in real estate shows. Thank you so much for all of the info! I too have heard that PM companies make loads of money due to problem tenants!!!

@Josh C. Thanks for clarifying that. I do value your opinion and appreciate your input!

@Josh C. I’m not sure if you’re trying to be condescending to me, or the other posters on here. Maybe I’m misunderstanding what you are trying to say.....regardless, it isn’t appreciated. I am trying to be as professional as I can on here, and would appreciate that same respect in turn...

I know absolutely nothing about the tenant, except what the owner is telling me about her. My fear is that he is not being up front and honest about the current tenant. The point of this post was to try and get some differing perspectives on how to proceed down either the path of keeping a potential problem tenant, or starting fresh with a tenant I place. Thank you for your opinion. I’ll take it under advisement.

@Carl Millsap Thank you for that great advice! I especially like your advice in dealing with new/inherited tenants. I agree that no matter which way I decide to go with her, it will be a learning experience!

@Lisa Hoover Thanks for your input Lisa! I definitely plan to put my own lease in place, even if it is month to month!