All Forum Posts by: Ian Russell

Hi I am looking for a new place to invest, I like multi family 2plex- 4 plex but would potentially do something bigger.   Currently have properties in Spokane,Wa, Caldwell, Id, Reno, NV, Little Rock, and Benton Arkansas.   The only place that seems logical at this point is Arkansas since the values have gone up so much in the other places.   Im looking for anywhere that I can get close to the 1% rule.   I am not as much interested in appreciation as I am cash flow.  Have 5-600k to spend and would like something to yield over 5000 a month.  Any ideas let me know thanks

Ian

Thank you both for the advice that helps alot

Ian

Just had a question about doing a 1031 exchange.  I am looking at selling a property and buying another property in a state that  I will most likely move to in a few years. I would rent out the property for a while and eventually move into it?  Am I able to do something like this or can you not make a 1031 a primary residence? 

thanks

Ian

I have a duplex that sits on a big lot and I spoke with the county today and they said that I can build a property with a maximum of 11 units.  This is an area that I dont have any knowledge in.  They told me my first step is to get it approved which I need to fill out an application and go to a meeting to get approved.   Would my first step be to contact a builder and get the exact costs on how much it would cost to build a duplex/4 plex or what ever I decide?  I know they need to have a plan when I go to the meeting so Im assuming I would have to hire a builder to draw up the plans.  Any advice would help.  I am sure its pretty complicated but seems like something I should do 

thanks

Ian

Thanks @Phil Wells I am in the process of trying to find a new manangement company.  The one I currently use has been shockingly bad but its my fault for not getting rid of them years ago

Ian

Thanks for all of the good feedback, I am always impressed with the amount of knowledge on this forumn.   I have been investing for a while but have to admit I did not educate myself before I started buying I learned along the way and have made more than a few  mistakes.      I am going to focus mostly on the Spokane duplexes and triplexes and try and get some more advice.  

The first duplex I bought is now paid off    I bought it for 150k and was getting about 800 per side.  I put 50k down and financed 100k.   I have been really happy with this property rents are now 1000 per side and the value is now 300k.  I havent had much maintenance with this one so I guess I should probably just continue to keep this one?  Thoughts?

I have another one that I bought at roughly the same time for 130k   I put 30k down and at the time was getting 700 per side now I am getting close to 1000 per side.   The issue with this one is its not in the best neighborhood and the appreciation just has not been as good.  Its probable worth 250k max.   This one is not paid off and I owe probably about 90k on it.  Im thinking that it might make the most sense to do a 1031 on this one and get into something a bit better?  I am still pretty happy with the monthly cash flow though and as I said in my previous post its hard to find many properties in this area now that have a good return on my investment because the values just seem to high.  The other properties that I have in Spokane are very similar to the examples that I showed above.  3 others are completely paid off and one other duplex I owe 100k on it.   I guess it may come down to my comfort level.  I am pretty satisfied with my monthly cash flows on all the properties but due to the age of them I am dealing with a lot of maintenance.  On the other hand I sometimes feel like I could sell  them with a good profit d0 the 1031 exchange but now I would have mortgages again which is somthing I was looking to avoid.   One other option could be just to buy more properties with the profit I am making on the income that is coming in.  Would love to here your thoughts.   

Ian

Hi would love to get some advice from some multi family real estate investors.  I began buying properties in Spokane Wa, about 10 years ago.  Most of them are duplexes and I also have 2 triplexes.  4 of the properties are completely paid off and 2 of them I have a mortgage of about 100k on each.  Most of these properties were built in the 70's.  I also have duplex in Boise and a few properties in Little Rock, Arkansas thanks to the advice on people from this forum.   The issue I am having with the properties in Spokane is basically just a lot of maintenance issues do to the age of the properties.  The properties have all appreciated very nicely and I get good rents in all of them but am spending lots of money every year on maintenance.  Is it worth starting to sell these properties and upgrading on new properties even though I probably will not be able to get the cash flow that I am getting now since most of them are already paid off.  The other issue is that values have gone up so much in Spokane that I just cant find any deals worth buying.  Should I sell and look for newer units in other parts of the country where there is still good value?  I feel like I am at a crossroads but want to make some moves.  Any advice would be much appreciated or other areas of the country that offer good value.   thanks alot

Ian

First I want to say I have had some great advice on the forums on this sight.  Thank you all that have answered some of my previous questions.  Anyways I bought a duplex in 2014 for 130,000   it brings in rents of about 850 on one side and 900 on the other.  So I am getting decent cashflow.  I owe 100,000 on the property.  I talked to my real estate agent and she said I could probably get around 220,000- 230,000  if I sold the property.    The property was built in the 70's and seems like it has one issue after another which has cost me quite a bit of money.     My question is this.  Am I better off selling the property and doing a 1031 exchange and getting into a new better property?  I would probably get about 85,0000 that I could use and put another 100,000 down on a newer property that hopefully wouldnt have as many maintenance issues.   Maybe find a 3 or 4 plex for around 300,000 -400,0000 that could bring in 2500-3200 per month in rent.     Not sure what to do or what the best use of my money would be here.  Any advice would be appreciated.       I also could just hang onto the property since it is yielding decent money but I am just tired of all of the problems.  thanks

Ian

@Robert Freeborn  

Robert the 188,000 would be the down payment and I would finance the rest.  I also have cash to add to the 188,000 if necessary.  Am looking for anything thing that would generate cash flow, not worried about appreciation at this point.

thanks

Ian

Don

Either one,  whichever makes the most sense.  I know that the loans change once you go past 4 units 

Thanks 

Ian