All Forum Posts by: Scott Dixon

Hey @Traver Vliem,

I have kept things fairly simple and really only buy inherited property lists from USleadlist.  The cost per lead is much higher than if you were just pulling your own list on criteria such as out of state owners, high equity, purchase date, etc. but I feel the quality of each lead justifies the cost.  

Have you considered getting an online presence?  You might want to consider A facebook business page, google business page (google maps), and maybe a website from Carrot.  It will take you a while to get traction but if sellers are coming to you (inbound) the likelihood they are motivated is much higher compared to you blasting out postcards and yellow letters (outbound).  Both strategies have there place but having an online presence is a must and will only be more important going forward.

Welcome to BP @Justice Carter. Best of luck on the move to the Big City. What niche in REI will you be focusing on as you get the ball rolling?

Hey @Justin Kanipe

I guess I would throw the question back at you.  What's your rough plan?  Are you going to share your knowledge in a certain niche within personal finance?  Alternatively are you thinking more of a vlog where you will document your journey along the path of investing.  

Youtube has a TON of opportunity but at the same time like most things it is a bit of a grind at the start.  The way I started was not to overthink it and just put my head down and work for 20 videos.  Once I produced 20 videos, then I did my first round of analysis to see what was working and what was not for my DIY Home Repair niche.

Best of luck!

Scott

Hey @Dan Crowe

Welcome to BP and nice to see another Central Illinois member on the forum.  My first property, which I still own, is in Bartonville just on the West side of Peoria.  

If you are just looking at the properties listed on the MLS (Zillow, Trulia, Realtor.com) it is very common for the numbers not to pencil out in the Peoria area.

What type of property are you looking to purchase?  Will you be managing the property yourself or looking to get a property manager?  Going after single family, 2-4 units, or larger?  

If you provide a little more info I would be happy to at least give my 2 cents.

Hey @Myles Taccini

Welcome to BP!  Champaign Urbana is a great community and the University is the main economic engine and #1 employer.  Like most cities you do need to take care as there are good and bad areas of town.  Also, specific to our community the number of new student housing projects has been cranking for the last 10 years and from my opinion out pacing the growth of the student population.  Thus solid student rental properties 5-10 years back are now much harder to rent.  Student housing is seeing rent pressures and driving many of the larger property managers to have to offer incentives to fill their units.  

If you have any questions let me know and I will echo @AJ Leman comment as J Leman has always been a great ambassador to the University and the community.  

@Quentin McNew

Nice work staying focusing and building up the portfolio.  Do you think moving forward you will focus more on commercial?  

@Kacie Heggemeier

Welcome to BP! I would say managing rentals in a college town should equip you with a lot of the tools you will need to grow your own personal portfolio. Is house hacking an option for you and your husband? I started off with a duplex and lived in one side while renting the other. This was a great way to ease into owning a rental and also provided a vehicle to leverage a FHA loan at a downpayment of only 3.5%.

When starting out make sure you surround yourself with others who are either on the same path or a few steps ahead. If you can't find people in your own area I would use a combination of the BP forum, Podcasts, and books. This way you can engage in positive and productive conversations to help you along the path of REI.

Best of Luck

Scott  

@Jacob Higginbottom

From what you have outlined looks like a no brainer.  

Pros

• You will still have 40% equity
• Lower your interest rate
• Most likely increase your monthly cashflow
• Free up capital for another investment

Cons

• Not seeing any

I have done a few cashout refinances over the years into 30-year fixed loans and have no regrets. Go for it!

Best of Luck

Scott

Hey @Brandi Klein,

I am also originally from up in your area.  From my experience If you find a solid property which is priced considerable under market prices you will be able to find the money.  Since you are just getting started whomever provides the funding will be taking on risk and this is why securing a great property and price are so important.  

What type of properties are you looking to purchase?

All the Best,

Scott

@Hank Stolz I know UIUC has seen a flood of investment over the past 7-10 years and as such has completely changed the supply and demand dynamics in the market.  I don't have personal experience with Bradley and the associated student rental market but I would definitely get in contact with a few of the operators or take a look at Zillow (For Rent) and see how many traditional student rentals are still not filled for this school year.  The wheels really come off the cart in student rentals if you miss the rental cycle.  

You might be able to find a great deal which pencils out but your due diligence will be key to mitigating risk.  If you find a place and want to discuss financing just let send me a message and we can chat.

Best of Luck,

Scott