All Forum Posts by: Gus Muller

Wondering for those people who first started out chasing off-market deals, what advertising methods did you use? Would anyone suggest hitting one in particular, or spend some money on each? The three we are considering are:

1. Paid ads on Facebook

2. Direct mail, postcards, local paper ads, local paper inserts, door hangers.

3. Possible radio, TV, billboards/bus benches.

I have also heard that spending money and getting our site optimized (carrot.com) would be a good investment, but we are worried about watering down our brand.

I'd like to hear what others have done, success stories, failures, etc. Please share your experiences and thoughts!

Thanks everyone for the advice! I did run it through the BP rental calendar and it doesn't make sense as an investment. Especially spendy when the HOA is such a large chunk of the income. Good practice!

Hello everyone! I've done my share of fix and flips (12), and am now looking to get into rentals. I have a lead on an off-market condo in downtown St. Paul, MN prime walking distance to a ton of happening things, concerts, hockey games, etc.

It is very small about 400 sqft, but is on the top floor and I believe is a corner unit. Seller has a tenant in place paying $800/month. I am finding out if tenant pays the HOA of $225/month. Owner has had it for 10 years with zero vacancy. The condo has very minimal upkeep (terrazzo floors, no carpet, no furnace, no a/c, no water heater to deal with. The only 3 appliances are fridge, stove/range dishwasher).

I could put 25% down which would be around $22,500 plus closing costs. And if it makes around $9,600 a year gross, or even $6,900 (if owner pays HOA) I think that would be a decent return? I know there are other factors, but just trying to gauge if I should pursue it more.

Please chime in with thoughts! Thank you!

@Sean M. great question. I have revitalized 12 properties, mostly in the city of Minneapolis. These older homes are smaller by nature as most were built 1900-1960. I tend to think that the smaller ones show better empty.

That being said, I have had amazing results with professional photography followed up by submission of the photos to Box Brownie. You can google them. 

Here is a link to one of our current on market revitalization projects, with professional photos and virtually staged:

Click the following link to view the listing:
https://matrix.northstarmls.com/DE.asp?k=2235590X77DL&p=DE-262206419-499

The cool thing with Box Brownie is how real it looks. They even get the reflections of the placed furniture in the hardwood floors. And, you can give them notes and guidance about placement of the items, unlimited edits if you want changes, and you can choose the style as well.

I worried too about buyers coming to the house and seeing it empty after seeing it with furniture online. So I do disclose on the main picture featured through the MLS, "Virtually staged".

Best of luck!

@John K. all very valid points. I'm skilled at analyzing deals, and the wholesale ones that end up being e-mailed out, or presented at the local MNREIA meetings and on their website don't seem like deals at all! I suspect that the wholesalers keep the best deals for their own investments, and the ones with a little bit of room for profit end up being "wholesaled" to the "investors".

I will focus on working my own stream of leads as this seems to be the best way to get first shot at a deal. Thanks!!!

Hoping some wholesalers will reach out! I have been able to find some of them with the above ways, but is there a website specifically that keeps a database of wholesalers?

I've tried traditional means of finding wholesalers with experience including the local REIA meetings, answering Craigslist ads, etc. Does anyone know of a better way to find wholesalers with property to sell in Minneapolis and surrounding areas?

@Ronald Mejia I agree with the above a free and clear property will put a lot more cash in your pocket monthly. And area/appreciation are valid points as well.

This is a perfect situation to get your feet wet as an investor/landlord/owner. I would do two things:

1. Rent it out for a year and see if you enjoy it, make money, learn, etc. A free and clear property doesn't come along too often for beginners, and the additional cash flow versus a rental with a loan will allow you to have some bumps in the road and still make some money.

2. Take out a HELOC while the market is up and banks are lending. All it takes is a market swing, and it will be much harder to secure one. I always advise to go ahead and get the HELOC, even if you don't end up using it right away. You never know what new deal may fall in your lap, and it is best to secure the capital now while banks are loose.

Best of luck!

Hello BP community! I have successfully purchased two off market deals through Craigslist. Both are done being rehabbed and are now on market. I know from books I've read that Craigslist is a massive site and can be used to find deals. I am wondering though if anyone has had luck with posting for deals? If so, what categories do you have luck with? There are the obvious ones (real estate for sale, real estate wanted, etc) but are there any others? I'd like to get my presence known on Craigslist!

Gus Muller

@George Kratee were you able to get it under contract? I have an outstanding title company if you need any digging done on the title side of things. Also, I have investors always looking to buy. Send me a message if you are interested!