All Forum Posts by: Donald D Michna

1. @Elaine Chua every area is different in many ways depending on the demographics, workforce, companies, and geography. Milwaukee has plenty of great areas for investing including many of the areas that have been big in the manufacturing in the past and are now being revitalized. Depending on the type of investment that you are interested in, opportunity zones are great areas to invest in. Due to the requirements of opportunity zones, many small investors may have a hard time utilizing this tool. The reason I say to invest in opportunity zones is because large investors are coming to these areas and taking advantage of the tax savings. Take note that most of these zones will not have much investment, but if you can identify the areas that are in the path of progress, I think there is a great opportunity for upside. Keep in mind this will take a lot of research into the local market but there are plenty of opportunities in Milwaukee.

@Steven Allen Jr I think purchasing a 4 unit property would be the best way to invest in multi-families if you are going to house hack as their is a greater probability of having your tenants pay your mortgage. Typically it is hard for your renter to pay for your whole mortgage when you have a duplex and depending of the property you may be just having your renters pay the mortgage with a triplex, but a 4 unit typically can pay for all expenses for the property. Depending on the location of the property, $100,000 per unit will provide you with a nicer investment, but will probably not cash flow very well unless you plan to purchase in a major metro. It is always easier buying something that is already fixed up, but you create real wealth when you can find a property that you can create equity. Creating the equity by fixing up the property to a better class or increasing cash flow by utilizing creative investment. 

Good luck on your future investments!

I work with Eric Zauner @ Robertson Ryan & Associates, they are a bigger firm, but they spend the time looking for what fits their clients best. Their rates are competitive and the do business, personal and benefits insurance. Here is a little about them, https://www.robertsonryan.com/about-us/

@Dan Miklosz if you are looking at opportunities north of the Illinois boarder other potential locations could be Racine, Kenosha or other surroundings areas. I know a few people investing in these areas where there are plenty of opportunities and growth. You can reach out or join the KRREIA on Facebook, it is the Kenosha/Racine real estate group. I’m not trying to push you away from the Milwaukee area as there are plenty of opportunities in Milwaukee, but areas south of Milwaukee have seen many small to massive (Foxconn) sized investments coming into the area and these residents will need housing. 

@Greg Earnest Rentometer, Zillow, and Craigslist are good resources to leverage to review near potential investment properties. Rents depend on the finishes, locations and amenities, but a good round number is a dollar per square foot for the Milwaukee area. A good property manager or real estate agent are also a good resource to use when looking at rental rates. Most of the time you can get this information by networking with others.

@Greg Earnest Rentometer, Zillow, and Craigslist are good resources to leverage to review near potential investment properties. Rents depend on the finishes, locations and amenities, but a good round number is a dollar per square foot for the Milwaukee area. A good property manager or real estate agent are also a good resource to use when looking at rental rates. Most of the time you can get this information by networking with othERS.

@Raven Hampton to answer your question, it depends... 

-What type of property are you looking for, a single family, small multi, commercial multi, commercial retail?            

-What type of area of investing are you looking for, rural, suburban, inner city?

-What is your price range?

A good article for selecting a flip investment can be found below.

https://www.biggerpockets.com/renewsblog/2016/04/11/7-commandments-profitable-flip/

 I think you can look up on the local county websites to see if they have auctions or call the county that you are interested in.

@Steven Nitschke I work for a GC in the Milwaukee area that does large commercial, industrial, senior living, medical facilities and other projects. We are currently building the Amazon in Oak Creek for example. Most projects have a 3-6% fee depending on the project in this climate. Being that you are building a few side by side condos, this type of construction would have a larger fee. The more doors you have typically the lower GC fee. 

If you have a good GC that you like working with, I would suggest that you keep working with them and help to refine your relationship with the GC. @Greg Dickerson makes a great point that you should focus on developing more projects and let the GC focus on the condos, this is how you will grow your business. That extra 4% that you are paying your GC is the cost of doing business. You can still visit the site regularly, but do it in a strategic way to build that relationship with the GC.  I hope this helps.

@Geoff Stuhr

 Thanks for putting on this event, the event has a convenient location near downtown to meet for lunch.  I attended the event last month and it was a great way to network with people in the area. I was able to learn about other investors ideas that I could use on my own investments. If you are able to make this meetup, I suggest that you attend. I myself will not be able to make the February meetup, but I look forward to attending future networking opportunities.

@Michael Henry,  thanks for sharing! This deal shows how much networking such as on biggerpockets can help to acquire new investments. Good luck on getting this one occupied!