All Forum Posts by: Erich Henson

@Mark Cruse I took a look at your profile, and I see that you have more experience than me. It looks like you’ve been investing for 15 years while I’ve only been investing for 13 years. It looks like you have several properties in multifamily and single-family and you have a large network. As a speaker myself, and someone who runs monthly meet up groups out of my building in Mesa, Arizona, and with a current portfolio of only 180 units, including six small mobile home parks, a commercial building, around 30 single-family homes, and a handful of short-term rentals, both in Arizona and also in Costa Rica, I’m only sharing things from my own experience. I can’t speak to your experience. But in my experience, and the experience of several people in the different mastermind groups that I’ve been a part of over the last five years, and with several of my coaching students increasing their net worth well over $100,000 during the year that I coached them, I would respectfully have to disagree with your premise that you can’t get rich quick. I will go on to say that I don’t believe that you can get rich easy. But I definitely know from my own experience and the experience of several people that I know personally, and that I am friends with, it is very possible to get rich quick.

Hello, I wanted to reach out to anyone that is needing for an extra hand in remodeling or in need of a handyman. I have some free time after work and on weekends. I recently moved to this area but I'm willing to travel if you know any people that need a hand. Message me if you guys need an extra hand or any work done. 

Thank you and have a blessed day. 

Utility segregation is a fantastic way to add value, BUT its not always easy and its typically not cheap. Depending on how the utilities were run when the building was constructed this can be easy or nearly impossible. For example if you have one main water line that runs through out the building and smaller lines branch off it to feed one unit which then feeds another unit and so on. You will have to rip open the walls and run all new lines back to your service entry where meters can be installed. Also to separate water would require installing separate hot water heaters for each unit. Depending on if the hot water heater is gas or electric you may have to 1) run new gas lines and exhaust pipe to correctly vent the carbon monoxide. 2) run new electric to each hot water heater. because the additional electrical demand this would cause you may have to upgrade your service (circuit breaker panel). 

Check your laws!! I don't know your state but what your doing with water bill back sounds illegal. 

I believe in the future a massive shift in demand for sub metered properties will happen as water prices continue to rise. 

 I will be closing on a 42 unit in a couple weeks where gas and electric were sub metered when the property was built (1989). Landlord currently pays water but what we found when searching was the water lines are individually ran to each unit and each unit has its own HWH. This means placing a meter at the start of each water run. We can sub meter each unit for roughly $200. This process will pass on the $28,000 annual water bill to the tenants. The property is a 8 cap which means the savings will increase our property value $350,000 with only a $8,200 investment.

Word of caution. When considering sub-metering, you have to realize what the market is accepting. If you are the only building charging for gas, electric and water while all others around you are not but you try to charge the same amount in rent as the other guys, it wont work.

Attached is a very simple graph to show you why one of my underwriting criteria has been the sub metering of water.

Feel free to reach out if I can help.

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how do we overcome the now normalized ponzi inflation, greedy city/county assessments, and commercialized resource gouging?