All Forum Posts by: Dominic Eickert

Hey everyone, I’m an investor in Montana and the market is really hot making deals harder to find. I’m starting to look outside of my state for areas to invest in.

Does anyone have tips for evaluating economies to find areas that are growing but that the markets might not be so crazy? Thanks for any advice!

@Patrick McGowen

Hi Patrick! My wife and I live in Bozeman and are trying to get into real estate! Would you add me to your list too please?

@Will Sanzone

Hey, I am actually in the exact same situation as you, I live in Bozeman and have been scouring properties across western Montana without really finding any deals that would cash flow. Billings and Helena have been the most promising but I have starting looking out of state.

I have also been considering trying to do an Airbnb which could potentially bring in higher rates and justify a higher buying price.

@Billy Daniel

Thanks for the insights! I will definitely need to double check with our lender that we wouldn’t be able to get a 30 year loan. I am still new on estimating costs but have been relying heavily on J Scott’s book and eventually an inspectors report. A couple nice things are that the road is only 3 years old and the water heater is brand new. The furnace is old but still works well for now. The carpet needs to be ripped or Anne one of the bathrooms needs re-sealing

@Joe Hammel

Hey Joe, thanks for taking a look. It definitely needs some improvements. I estimate between $5-10k and was hoping to negotiate that in the purchase price. I am confident in the income. Based on that county allowance and comps in the area (since it is a section 8 rental) $1,100 a month would still be $300 a month lower than what was set by the county for last year. I'm still on the fence with it right now. It's been on the market for almost 3 months, I was slow playing this a bit to see if that could help drop the price as well

Hey Justin, thank you for the awesome advice! Yeah, real estate in this area is ridiculous. We have had to look outside of our town to find somewhat reasonable prices. A 500 ft2 apartment was listed for $1/2 million recently!!

Thank you! The more guidelines I read about, the more I get a feel for making sure the numbers work!

Awesome! Thank you for your insight! Are you allowed to ask for those documents while under contract in Montana?

Broad questions for anybody who has experience with low-income housing! 

My wife and I are looking at purchasing a low-income housing unit as our first rental investment. The history that comes with it is the current tenant has been there for 3 years and the seller hasn't had a problem collecting rent from her in that time period. The property is in a shadier part of town and there are definitely some minor rehabs at the next tenant turnover, but the current tenant seems to keep pretty good care of the place as is. She just renewed her application for low-income approval from the state, which guarantees at least 60% of the rent to be automatically paid by the state. The seller's REA said there is very little turnover with tenants and that the demand for low-income housing far exceeds the supply, which also decreases the vacancy rates.

What experiences do you guys have with the Section-8 rentals and any advice for a newbie jumping in with 2 feet?

Thanks in advance!!

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Hey guys! This is my first deal that seems like it would cash-flow well even though it miserably fails the 2% rule. Would love a second set of eyes looking at this.

Thanks!