All Forum Posts by: Ben W.

Could not agree more with the comments about guru's.  Knowledge/information is power and many people will always try to take advantage of others.  Some guru's do have solid backgrounds as investors, but many are dillussional in believing that their way is better, newer, etc.  Go back to over a decade ago and the Nouveau Riche University which totally flopped; great packaging but it was pretty amazing how few people never did deals after "going to school".  Find someone who lives by the practice of giving before you get.  They are out there.  Find someone who really believes that real estate investing is a team sport; someone who will take the time to talk to you.  You may have to buy them coffee or a meal but just like finding deals, finding a great resource is about sorting and sifting.  Time is precious and most of us cannot waste it, which is why people will pay for courses.  But while many people will pay dearly to try to get ahead faster, hands on experience is a great teacher.  There are many aspects of real estate investing where you can get started part time and with a modest investment.  If you believe that wholesaling may be your thing, try it out; don't let others tell you that it is really just buying yourself a job. 

yes we have.  We have owned pptys many years before a development like this, as well as before other meaningful changes in an area (rezoning, shopping center addition, etc).  Theo, it really depends on what is going on around there and the access that your property has or how it is impacted.  We know the area you are discussing very well and have a number of pptys in that general area.  The government purchased the needed land years ago so no real changes now.  More access on an off of this interstate is not a real deal changer here since other interchanges are so near already.  This one merely relieves some congestion at the other interchanges.  What you do want to look at now in that area is the development that has been going on, and we now believe is increasing in pace.  Also, since that area does have more lower income housing and much is dilapidated, what streets are ripe for turn.  As we say with our investments, Follow the Money (the bigger developers or the government). 

Best wishes

Best wishes.  Stay focused.

Tavari, as you gain more experience you will understand and appreciate the fact that leverage can work to your advantage in real estate investing. If you can find debt at a lower rate than your return on investment, then you have what is called positive operating leverage. Over time, if you can also grow your rents higher and maintain your cost at more of a fixed level, including your financing costs, that also adds to the positive operating leverage. Use the free cash flow and or equity that you build up on your first deal to then leverage that into another deal. While it sounds nice to be able to quickly pay that property off it may take more time or personal assets to get to that point. Treat your real estate investing as a business and try to make sure that the profits payoff the related debts rarher than you having to dip into your pocket. 

With respect to one side of the river or the other, the Cincinnati market is obviously much bigger and more diverse with respect to real estate investing. It also relates to where you live and how much time you want to travel back and forth to your property. Happy to connect with you as you have questions or want to grow your team. 

Angela, as the earlier posts implied, you really need to do your homework. Doing this remotely could pose some challenges. I would suggest that you get a clear direction from the JV investor as to the criteria: rehabs come in all shapes, colors and sizes. Some are more cosmetic while others require very thorough coordination as multiple subs are being used. In Ohio and many cities, contractors have to be licensed by the municipality. Get a resume, references, scope of capabilities, etc. Not to impose my personal concerns, but you also need to vet the investor company that hired you. Get references from contractors and investors who partnered with them to ensure that they are easy to do business with. Many of these companies try to exert extensive control and what sounds like a great opportunity on the front end could turn into a nightmare as you have to deal with unhappy rehabbers, investors, investor, etc.

You will learn a lot about the RE business along the way.  It is a fabulous industry.

Matt, are you focused on just NKY or do you go across the river into OH?  I find that the Cincinnati market is vibrant and diversified. 

DL,

I am a seasoned investor (own over 150 housing units in the Cincy area) but just now starting to use BP.  I have used Dave Donnett for years.  He is one of the guys who lives over there.  He is efficient and reasonable.

I know Joe Beyke as he does a lot of foreclosure work.

Also, would be happy to meet for coffee sometime to discuss RE investing.  I actually have a career so my investing is my hobby/passion/addiction,

Ben

Jerome, 

I agree with Ryan. Also, be careful of neighborhoods/areas that are on the downswing. We look a lot at police stats as well. My partner and I have invested heavily in metro Cincinnati and are now in about half of the 52 Cincinnati neighborhoods, so we have a good sense of the market. As many will say, real estate is a local business and it could not be any more true here. It is street by street, block by block. We have chosen to focus more on SFR (75% of our portfolio and up to 4 family MF). Happy to give you more insight into what we have found or direct you to other resources. I am not an agent.

Have fun.  This is a great market.

Ben

I agree with David.  Sell and develop a plan.  But, be care who you trust.  Hang in there.  There are plenty of deals out there.  A good property manager will be more than worth their weight in gold.  Although I manage my portfolio in the market I live in (over 150 housing units plus commercial property), I use a property manager for the portfolio I have in another city.  I tried to manage from 100 miles away and it was just too hard.  I have actually taken some plays out of that PM's playbook (we are now upgrading out property management software to Appfolio).  Happy to answer other questions for you.

Welcome Tyler.  Real estate investing is a team sport.  Seek out others who will truly add value; there are many out there who try to "get" before they "give" so be careful who you listen to.  This is a good community.  There are so many resources out there that you can easily get bogged down.  So, take action.  Create a plan.  Vow to take one step every day.  Yes, there will be setbacks, but with the right attitude and the right execution, you will be successful.  Now go out there and have FUN.