All Forum Posts by: Jeff Neikrie

Hi BP Community, I'm an investor in a few Ohio markets and I'm looking to break into Detroit. I live in New York.

My initial research points to Detroit being an excellent cashflow market, almost too good! I would love some candid feedback from those local in Detroit especially those of you RE professionals that work with out of state investors. 

What are some up and coming neighborhoods?
Outside of the typical challenges for out of state investing, what are some of the pitfalls that may be unique to investing in Detroit?
Why are you excited about Detroit as a market in the long term?

Feel free to reply anything else you would like to share. I'm looking to network with best-in-class Agents, Property Managers, Contractors, and Lenders. 

Thanks for taking the time read my post - happy investing!   

Jeff

Hey BP Community, I have two single family homes in Akron OH. One purchased in cash late October, rehab will be complete this week. The second SFH I closed on today with cash. This second one is more turn key; it needs some cosmetic work and should be rent ready in 1-2 weeks.

I live in NY state and have had a challenging time finding a loan for both these properties. First, because the loan will be small $80-$100K per property depending on the appraisals. Second, because I'm out of state. 

I've called about 10 local banks and credit unions in Akron and the surrounding area, none of them will work with a local investor. I'm working with a broker who has exhausted all of his resources and said I need to wait until I acquire a few more units and refinance them in a larger bundle loan. Another broker I found can make the refinance work, but at an 8% interest rate, 5, 7 or 10 year arm but with 4 points in fees. A final lender can get me 30 year fixed at prime rates, but this would require a 6 month seasoning period.

I'm looking for a commercial loan, so that I can pull my cash out asap and purchase my next property. Is it unrealistic to think I can find a commercial loan that would bundle these two assets in the 6.5-7% range with fees under 3 points? Also, I would like to refinance as soon as possible because there are a few comps in my neighborhood that are 3-6 months old.  The longer I wait, the more vulnerable the deal is if prices drop in the coming months and my comps weaken. 
If anyone has any resources or recommendations please let me know. 

Thank you!

Jeff

@Stephen Brown thanks for the post! I’ll definitely reach out. Would love to learn more about what’s worked for you in your first year. 

@Andrew Jennings Freerks thanks for the reply. Awesome how your experience as a city planner clearly gave you an edge. For a long time I saw price out here as a barrier to entry and was more keen on out of state markets but have since learned enough about creative ways to finance that I made decision to get started here because of my understanding of our local market. Ill shoot you a message, would love to learn more about what you have coming up next. 

Hi BP Community, 

I'm sharing this post to introduce myself and learn from experienced local investors.

After diligently listening to the BP podcast and reading a number of real estate books over the past year, I'm ready to take immediate yet thoughtful action on my real estate journey in the NY metro area. 

Thus far I've built what many would consider a successful career as a sales leader in the Fintech space, though I work 11-12 hour days and my time and attention are absorbed by the business (that doesn't belong to me). Later this year I'll be getting married and starting a family. My biggest priority is to build enough cashflow to be an available father, and more present spouse to my wife. 

If this at all resonates with your personal "why," myself and the BP community would love to hear your story! Here are some prompts to spark the conversation:

Why did you get started in real estate?

Knowing what you know now, what's one piece of advice you would share with your younger self?

What's something unique about you, or your situation that gave you a competitive advantage?

Tell us about a failure, what you learned from it, and how you turned that failure in to your success story.

Thanks for participating!

Jeff