All Forum Posts by: Josiah Barkman

@Jayson Hinkson Hey Jayson! Thanks for the response. I sent you a connection request. Feel free to send me a DM. I'd love to hop on a call sometime if you'd be willing!

Hey everyone, I'm looking to connect with investors, agents, and bankers in the Aiken SC area.

I'm considering Aiken to purchase some rentals and would like to talk with some locals about the market and economy there.

Reach out if that's you!

@Zach Woods before I switched to property management I was using Avail. It was it pretty simple platform but had everything I needed. At the time they had a free plan and a plan that was $5/mo/property. Might still be the same, I'm not sure.

@Will Gissendanner Hey Will, congrats on taking steps toward your first deal. So the #1 thing you will want to check out numbers wise is, does the property cashflow?

You gave us 1 piece of the puzzle there. But you will want to look at all your monthly expenses you will have on the house.

What's the taxes, insurance, maintenance, management, vacancy, mortgage payment & interest?

Add all these expenses up and subtract them from your total rent amount to get the monthly cash flow.

Different people have different numbers they want to achieve for cashflow. That is up to you to decide the baseline where you want to be.

The other number to consider is cash on cash return.

This is your yearly cashflow divided by the amount you have in the deal.

Just for example, if you cashflow 300/mo (3600/yr) and you have 30k into down-payment and closing costs that is a 12% cash on cash return.

Again that's a criteria you need to decide on. Are you good with a 10% roi? Maybe you would rather shoot higher for a 20% coc roi. Your criteria comes down to your personal preference & investing style.

Hope that helps some.

@Annie R. Hey Annie! So theres different types of deals you can lend on and different ways of structuring those deals.

I, like a lot of others, raise private money for single family home investments. Typically how we structure the deal is our lender gets a 1st position mortgage and promissory note on the property they lend on. In return they get a set % return for the time that their funds are in play.

Since they are not 'owners' in the deal, they do not share in the cashflow, appreciation, etc. Their return is simply the fixed agreed on rate.

Depending on the investor you're lending to and where they are buying you can get started with very little capital technically. For example I've borrowed as little as 25k to purchase a house. If you're lending to a flipper in Boston obviously that's not going to be the case.

I know of some apartment investors that raise capital from private lenders also as part of what is called a syndication. Some of these investors will offer a small piece of equity to their private lenders and those lenders will get to participate in the cashflow, appreciation, equity, tax benefits, etc.

Again the terms can vary quite a bit and typically these investors need to be accredited to invest in these types of deals.

@Andres Cardenas Hey Andres, so first off buying sight unseen in any situation is going to be risky. Typically if you are buying from a wholesaler you need to have done your due diligence and inspection up front before signing the assignment agreement.

It's a good idea to walk the property yourself or have your contractor walk it and give you a repair estimate if you are unfamiliar with rehab costs. Again, I'd recommend doing that before signing the purchase agreement because a lot of times wholesalers will charge a non refundable EMD at signing.

As far as order of rehab it really depends on the scope of work to be completed. If the roof is leaking you definitely want to dry the house in first. If the roof needs replaced but isn't leaking and causing interior damage then it's not necessary to don't first.

Generally you want to take care of things inside the walls first (plumbing, wiring, ductwork, insulation) then drywall/paint, then cabinets/vanities, then flooring and trim.

Obviously there can be other things that may need done but thats a quick general rundown to give you an idea.

@Ralph Corpuz Hey Ralph, I invest here in Canton as well. I wholesale, flip, and hold. Will be venturing more into the turnkey provider arena this year. I know the area pretty well. If I can help with anything don't hesitate to reach out.

@Sawyer Smith craziest thing I've seen was a choke wire strung across a bedroom door. That same house the guy had a hatchet on the floor by the door when we entered...all the windows were covered in plywood or something to seal them off. Some braced with additional 2x4s.

@Matthew Smith I'm in NE Ohio. I started out wholesaling and now added flips and rentals as well.

I have a partner in another business and we did a few turnkey flips last year. We are planning to scale that this year. If youre interested in connecting feel free to reach out to me.

@Paul Farley. Hey Paul. I invest in the Stark county area. My office is in Canton. I host a monthly meetup also. Would love to connect sometime.