All Forum Posts by: David Goings

@Chris Manglicmot I invest in the Columbus market, I have't had much success finding a property manager I can trust. Makes me nervous about you renting. 

Are you stationed at the Old Guard? I'm assuming you had to move due to a PCS from Benning. 

Where is the house located? North of Macon road? 

- Dave   

Hello all,

My current strategy has been cash only on my deals but I have began exploring the possibility of leveraging. 

I recently sat down with a commercial loan officer from a relatively small bank. He seemed eager to tailor loans to form a relationship. Eager to the point where i'm a bit suspicious.  

I advised him that my upfront issue at underwriting would be the lack of W2 income. I am a full time house flipper, excellent FICO, healthy liquidity and healthy assets.   

He advised that a relationship needed to be formed initially in order to get around my W2 issue. On the first deal we would have to do a "dollar for dollar" loan. Ie, I would put down 100K for a low interest only 100K loan. 

So after this first deal I would have on paper experience with the bank which would then open the possibility to do less and less money down on future projects.  

 Am I missing his angle here? It makes sense to earn my reputation with them, I was just a bit put off by how eager he was.  

Thank you all in advance, 

- Dave 

https://www.biggerpockets.com/renewsblog/2016/06/03/best-diy-skill-learn/?utm_content=bufferc1f5a&utm_medium=social&utm_source=facebook.com&utm_campaign=buffer Check it out! ^

Ben, Looks like a nice property. If I understood you correctly your going to list the property for sale to test the market prior to renting? I like the idea. I'd say spend your money on the kitchen and bathrooms. Back splash, refurb the cabinets (they look sturdy), fancy faucet, possibly tile kitchen floor (easy to do yourself btw) fresh paint.... Onto the bathrooms.....tile the showers and get fixtures that make it look trendy. I've seen inexpensive vanity's out there that look like they're straight out of a magazine. Are the carpets salvageable? Steam clean um and move on. Leave the AC where it is....hide it with curtains or create a cool fence around it so it's not that bad to look at. Anyway, I like your idea of testing the buyers In your area. But focus fully on your initial plan when you bought this place. If you get lucky, awesome but bottom line save as much as you can. I believe if you Focus your cash on the kitchen and baths you'll have a better chance attracting a buyer....but worse case you attract a better renter!! Hope this helps....good luck. - Dave

First thing I would want is a background check on the current tenant. I've seen sellers simply get any tenant into a property so it looks more attractive. They might be under qualified and you'll have to evict them as soon as you close. Ask for the rent roll. D+ area makes me nervous. I'd verify that there are plenty of reasons for a good tenant to want to rent in that area. Ie good jobs around. Asking price is super low...how were the minor fixes verified at 1,000 dollars? What will the ARV be? But if the rent roll looks good, the current tenant checks out and there's no serious damage, Id say you got a nice little BRRRR property. 500 a month (less Maitnence) passive income is a nice income trickle. Trust your gut. - Dave

@Jade S. thank you for the actionable info. Good luck to you both

@Jade S.

I'm on the selling side of the FSBO fence.

If I get the word out that i'm offering a 4% commission to the buyers agent do you think it'll make my place much more attractive? 

Still saving me 2% and provides some incentive to the agent to lean towards my property. 

Thoughts? 

Thanks all, 

- Dave

Jessica Chaney glad you decided to follow your passion, you won't regret it!...most of the time ;) So I don't no too many real estate minded people that went to a formal school (outside of getting a license) and I think there is a reason for that. Too many real estate scammer "schools" out there to trust the trade. Honestly, you don't need it. Everything you'll need to know to get started is online and the people on bigger pockets / the podcasts are the best education you'll get before you make moves. But like most professions you learn the most by participating in deals. Developing your style and eventually mentoring others. Some schools have great info but save your cash for your first deal!!! Trust your gut. Good luck and keep us posted. - Dave

Zillow is worth every penny ;)

Donald Hruska I have in the past. State and federal...after all it's money out of your pocket and Uncle Sam is a partner you'll have on every deal, only made since to factor his cut in for a more accurate ROI. My estimates have never been exact in this respect but it gives me a warm and fuzzy knowing the money I'll owe is accounted for. Good luck, - Dave