All Forum Posts by: Account Closed

Sounds like you'd be spending a big chunk of $ at 8% interest to get a multifamily in California. 

I personally would invest out of state in a midwestern market. I CA is so landlord unfriendly that I'd want no business owning there. I am an analyst at a firm that helps clients invest out of state. I'd be happy to chat if you want to learn more. 

Thank you for your service! 

Where would you go live? Would you rent or own?

Would you want to borrow at 8%?

Hey Marvin,

That's a long list. I assume it's a rehab strategy.

Where do you plan on investing?

Hey Vincent,

I work at a real estate investment advisory firm and we are investing in two midwestern markets. Shoot me a DM, I'd be happy to tell you what we see in those and some things we look for in markets. 

Hey Aiden,

Congrats for wanting to start so young. 

BRRR and single family are very similar. In fact, I have issues with "BRRR". Buy, rehab, rent, refinance, repeat - This is what real estate investors do. BRRR is not a unique strategy. BRRR is just "real estate investing". Social media has put off the notion that BRRR is a unique strategy that differs from managing real estate. It does not.

I am an analyst at a real estate investment advisory company in Denver. Many of our clients are new investors that need much guidance with purchasing their first investment property. We model homes and connect clients with our partnered property management companies and lenders in our two midwestern markets of focus. We are based in Denver and are not currently investing here. Good appreciation, no cash flow. 

I'd be happy to hop on a phone call and give you a rundown of our business and/or give some pointers that I wish I knew when I was 18.  As a younger guy in this game, I get how daunting it can be.

Thanks!

 Yeah I mean low prices fix high prices and high prices fix low prices... Rents and values can only rise so much in your legacy cities before people start looking for cheaper living. We like to measure rent as a proportion of monthly gross income. Still pretty low in KCMO. Denver, for example, has little room to bump rents more before people throw in the towel and move. 

That's going to vary widely based on many factors. 

I am an analyst at a real estate investment advisory firm that is investing our capital and helping clients invest theirs, in two midwestern markets currently. 

I'm happy to chat about our services and what markets we've picked and why.

Feel free to reach out. 

I don't think buying in markets that are yet to be widely gentrified is a 'stupid' idea. For example, my firm is buying up many homes in Kansas City, MO. If you know anything about Kansas City, you know that there is some improvement potential there, to say the least.

As the acquisitions analyst, it is my job to know the market in and out and that comes with knowing what the city and state is doing to change the area.

In the case of Kansas City, there are huge developments planned that effectively sandwich the rough areas between wealthy areas and large developments. They're building a streetcar line right through the rough areas to raise the traffic to new developments. They've deemed areas as "blighted", and have passed tax abatements that freeze homeowner's property taxes for 10 years if the owner shows they've put in $5,000 of upgrades to their homes. There are other drivers there, and my point is that it's really, really important to have legislature behind you when investing in 'transitioning' areas. 

I am not well-versed with Cleveland so I can't provide any insight there. 

If you'd like to hear more about Kansas City and our other midwestern market of choice, feel free to shoot me a DM. I'd be happy to chat.

Thanks

Your tenant quality will likely be lower on average in mobile home parks as opposed to apartments. While they may be similar in size and bed/bath layout, there is a profound psychological difference between living in an apartment and living in a mobile home. 

If it were me I'd keep my cheap debt as long as possible to avoid going out and borrowing at 8%. 2.6% may never happen again in our lifetimes. Just my psych and thoughts.