All Forum Posts by: James Watts

Hi @Mark Robinson. I too welcome you gestures to the community. You should make some great friends here. I have a fourplex in southern Michigan that is up for sale right now that might fit your criteria: 16.88 CoCROI. My formula has been to take a cheap flight to Chicago and drive from there to points in the Midwest where I can find properties that give the best return on my money. For me it has worked better because there is less competition and it takes less work to find the best properties. Take a look:      http://app.rehabvaluator.com/e2jUjg0b184A-H

Jim Watts

208-559-2540

Hey Zach, please send any more information you have on the property and photos to [email protected]

What needs to be done to improve the property? What is the age of the roof, hvac, electrical, plumbing, hwh, etc.?

Jim Watts

2085592540

Glad it helps Dalton. Call me or email whenever you want.

Jim Watts

Hi Dalton,

I took a cue from Sharad Mehta (podcast #155) last year and decided to start looking for properties in the Midwest to invest in. Listen to the podcast and you'll be inspired to hear that he had 50 paid off properties at time of the interview. I take a cheap flight to Chicago ($200) and drive to southern Michigan once a month to buy cheap houses. Right now I have a fourplex for sale in great condition that is a 2% property and all the major systems have already been changed out. I could never find anything similar here in the Bay Area. For years I was afraid to invest outside of my home town (Boise) but now I've discovered that by leaving home I have access to an overabundance of great moneymakers. It has also forced me to build my team very quickly because I don't live where I invest. Sharad looks at about 25 homes in a weekend when he travels to northern Indiana and then picks the best one or two. http://app.rehabvaluator.com/e2jUjg0b184A-H

Jim Watts

Link:          http://app.rehabvaluator.com/e2jUjg0b184A-H

2015 Roof; 4 electric meters; 4 gas meters; 4- high efficiency gas furnaces installed 2010; 2010 vinyl windows; 1- 2010 hot water heater; full basement; all pex plumbing; updated bathroom fixtures; updated electrical service; completely updated electrical 3 wire/ outlets/ switches; Call for detailed inspection reports on each unit.

Jim Watts

208-559-2540 

Hi Perri,

I do have many of those things and failed to put in the link to them on my first post. Here is the link:

http://app.rehabvaluator.com/e2jUjg0b184A-H

BUY AND HOLD STARTER KIT- FOURPLEX AT 518-524 W JACKSON ST, BATTLE CREEK, MI

CAPITAL EXPENSES             INSTALL DATE

ROOF                                          2015

WATER HEATER                         2009

APPLIANCES

518

520

522

524

DRIVEWAY/ PARKING LOT

HVAC 518                                    2010

520                                               2010

522                                               2010

524                                               2010

FLOORING

518

520

522

524

PLUMBING

WINDOWS                              MOSTLY REPLACED

PAINTEXTERIOR

INTERIOR

CABINETS/COUNTERS

STRUCTURE/ FOUNDATION                    1915

LANDSCAPING

EXPENSES                      YEARLY                    MONTHLY                      PERCENTAGE

TAXES                               2000                              $ 167

INSURANCE                                                               200

VACANCY                                                                  105                                   5

REPAIRS                                                                    105                                   5

CAPITAL EXPENDITURES                                         210                                  10

WATER

SEWER                                                         WSG     125

GARBAGE

GAS                                                                       TENNANT

ELECTRICITY                                                        TENNANT

HOA N/A

SNOW REMOVAL/ LAWNCARE                                100

PROPERTY MANAGEMENT                                      210                                  10

MORTGAGE: 86,560 @ 7% x 30 YRS =                    575

TOTAL  EXPENSES                                            1797

TOTAL  INCOME: 495 + 525 + 550 + 550 =       2120

There are no laundry facilities on site. There are no storage units for the use of each apartment. There are no carports or garages for each apartment. The building has a full basement that could be utilized for both storage and laundry facilities, adding value to the property and a potential increase in rental income.

A complete, detailed inspection report can be accessed for each apartment at the links below:

518 W Jackson, Battle Creek, MI Inspection Report

520 W Jackson, Battle Creek, MI Inspection Report

522 W Jackson, Battle Creek, MI Inspection Report

524 W Jackson, Battle Creek, MI Inspection Report

The above reports detail all of the needed repairs for each unit. Overall, this is a well-kept multi-family with all of the major systems in fairly new condition. The work done on this property seems to have been done well. Contact me with any questions you might have at: [email protected] or 208-559-2540

Jim Watts

Welcome Stefano,

good luck in your investing. Last year I listened to a podcast (#155) interview of Sharad Mehta that inspired me. Since Bay Area property values are a little too hot for my taste I take a cheap flight from SF to Chicago once a month and invest in cheap properties. Right now I have a cashflowing fourplex in Battle Creek in the marketplace but every time I go I find cheap properties for sale. Good luck in your adventure.

Jim Watts

Hi Niyi,

Good luck on your move. I live in California and but the property values are too expensive for my blood so I've opted to travel to southern Michigan once a month to do my investing. I've found some smaller cities there with a wide variety of property values that are very amenable to investing- specifically Battle Creek, Kalamazoo, Marshall, and Jackson.

Grand Rapids is the fastest growing area of the state and so you have a lot more competition with retail buyers and other investors for undervalued properties. Kalamazoo is in a similar situation. My formula is to buy homes under 20k, fix or not fix them and sell them owner financed for long term income. I fly to Chicago once a month, drive to southern Michigan and spend a week looking at houses. I have found ample properties in Battle Creek, Jackson and Kalamazoo that fit that formula.

I can't tell you what Detroit is like but much of western Michigan is very desireable for raising a family. Lots of suburbia with good schools, low crime and family oriented. Kalamazoo even has the Kalamazoo Challenge (a program that provides free college education if you graduate from high school there). I would recommend western Michigan as a place  to invest because of less competition low priced properties than many places in the U.S. I can't tell you how many times I've heard investors nationwide say they're having a hard time finding the same number of good deals as before. That's not happening as much in western and southern Michigan.

As a side note, I just posted a very reasonable fourplex for sale in Battle Creek that leaves about $800 income per month. If you ever want to check out southern Michigan, contact me and we'll meet and I'll show you around.

Jim Watts

Nearly Turnkey Buy and Hold, Cashflowing Fourplex. Two units leased Section 8 and two not leased. Roof replaced 2015, 4- gas, forced air furnaces in 2010, Hot water heater in 2010, windows replaced, electrical service replaced, all interior electrical upgraded to Section 8 standards, plumbing upgraded, flooring and paint has been upgraded as needed. Fourplex is located in a green crime zone. Professional inspection available with all repairs listed for each unit. It doesn't get more straightforward than this. Move quickly to nab this Moneymaker. With 3 more of these you could quit your job.

Shawn,

What city are these in?