All Forum Posts by: Elizabeth Colegrove

Why dont you just manage it yourself? Your managaer costs you are $2,200 a year depending on their specific costs. If it is a low maintenamce long term area. Why dont you just put the tenant in yourself? We long distance manage it has it ups and downs but I feel like it is worth it.

I personally emphasize curb appeal in the form of modern, clean and well kept feeling. The front of the house looks nice. There are personal touches through out. I dont know if I would glaze windows or remove awnings. I would power wash the house if it is dirty. I qould painr clean and make someone feel comfortable upin entrance.

I personally painted everything. I was a hold out. One of my rooms they had already painted the trim, the doors, windows, everything!!!!! It looked so much better and more modern. Now I am a convert even after spending hours personally painting everything!

I personally found after 4 very hard. If you can get past the 4 house rule. Most banks require you to have 2 years of experience OR you carry ALL the house dedt on your income structure without counting the rent income. We have only found one located in one state. That has been willing to just view reserves. The new rules make it hard for you to heavily leverage yourself if you are just starting out.

In addition to the lease. I highly recommend you also come up with a roomate agrement so.everyone has the same goals/views. We found putting everything in writing helped when people "forgot" oral agreements.

We buy out of state where we have a support network. We buy "destressed" property when describing the financing more often than home condition. We find that the best way for long distance. We also buy more expensive houses but less issue/turnover to make it easier. This has lower "profit" margin than other but has allowed us to be successful. We have a buy and hold plan. Are goal is cash flow for retirement in 15Annapolis years.

@David Ramos

Thank you for your kind words. Please be very careful with the VA. We do not buy "flip" houses. We buy permanent residents that we rent out once we move due to orders. We often times renovate them while we live in them but this is long term. VA requires at least 1 years unless you have a great reason to leave. My husband's career just happens to be one that is moves a lot and suddenly PLEASE PLEASE make sure you follow all government regulations to the fullest extent of the rules. Not the following the rules can have large long term repercussions, banning of using .

As for other markets especially Texas and Arizona. Please be very careful. We have done well because we have examined the areas that we have been in for sometime for some reason. We have always had contacts and know the area. As a service member you do not have the ability to just "pop" overstate lines if it is out your "bubble" if there is an issues.

In our situation it works because "I" take care of the real estate/business/non-military execute side. His profession requires long hours, last minute trips and24/7 available. He is rarely available when issues happen. This is not saying that you won't be able to handle the rentals. Just realize they are alot of work. Depending on your career and spousal choice. You might want to evaluate your plans and make sure that your goals and military commitments line up.

Just wanted to say good luck. When my husband was transfered 2 months ago, I lost my job. I personally have not found lenders flexible even if everything else looms good. If you find any way arounds conventional rules I would appreciate it if you post it on this thread.

Third Question: I have found that depressed properties have been a great way to get deals. My favorite are short sales. I found you can get as good as a deal if not bettee than foreclosure. Short salws also need less work as they are voluntarily being given up. Honestly the only house that needed work was the foreclosure.

I forgot to mention, as we do conventional financing. Our current biggest hinderance to growth has been getting financing. We are beyond the magical "4" mortgage number. Therefore we are finding it more difficult to find financing as we have to hold all the dedt on our income/dedt ratio.

Last note: I worked for 15 months in commerial real estate/multi family background. I also have a MBA with my undergraduate in finance and accounting. Therefore I learned from my employers and have thr finacial knowledge.

@jason tinder

Please excuse any spelling mistakes I am on my phone

1) We buy our investments in two folds. We leverage our personal property (therefore little to nothing down ) and we do investment loans. We bought two houses using the va loan. Because we bought cheaper we were able to get 2a for the 1 va loan. Since it was va loan we put limited down. Alll of out priperties have been distressed. Our first was a foreclosure. We gutted it ourselves with help from my oarents. We redid the house for 10k but were able to buy it for 50kish less.

After the foreclosure I got to know real estate better. I found if I had time (which we didnt the first time) that short sales were a better option. People were turned off because of the headaches. Well by dealing with those headaches I have been able to buy great houses with less work. Honestly our last 3move houses have need about $500 inorder to either move in or install a tenant. Most of that was cleaning the place.

2) we manage them ourselves. In both of our distance locations we have friendz that will look at something or help us show the house if needed. Even if i needed to fly out every now and than it wouls still be cheaper. I calculated that having a management agency would cost me over $3700 a year for one house alone in management fees. That is alot of plane tickets!!! Note: We rent to professionals. We are at .75 to 1.2 depending on the market but these people need less hand holding. They will meet any repair people if needed. Most od the houses are newer. I do have a friend who I pay to be my eyes if needed but honestly I found that trust/respect goes along way. Fyi my husband is gone alot so even if we were close I would usually have to hire someone. So its no different if the company was called 2the miles away or 2,000 miles.

I currently do not work so I have time to handle the calls. Yes there are "issues" or bumps along the way but doing it this way saves me 8,000k year.

Oh second note: i know there was a discussion on another thread about military. They are our bread and butter. We are able to do this long distance because of them as our market. Military usually rents from Military so we are use to handling repair/meeting people. They are usually amazing 3 years. Personally "I"personally have never had an issue nor do I know of anyone else who had an issue. Most service members have a security clearance. If they dont pay I will go to their command. Not only will their command not be happy but they could lose their job. Our tenants have been high enough due to the level of house that they have alot to lose.