All Forum Posts by: Jennifer Slaughter

@Josiah Cooper I might have missed it but what is your exit strategy-are you going to flip it or refi into a conventional mortgage or just use the heloc to finance?

I think it just depends on your personality or what you want to focus on.  

My PM's are worth their weight in gold and I would rather spend my time managing my property managers than managing my tenants.  My PM's more than make up the 10% I pay them in increased rent because of their pulse on the market, their marketing ability and connection to the community, etc. It usually comes down to the value of time-how much is your time worth and how do you want to spend it?

@Christian Wathne, I'm sure it's becoming more competitive but you guys are doing great work, keep it up

Hey @Christian Wathne, your place looks great and congrats! What part of Seattle? I lived in Bainbridge a few years ago and I remember seeing a lot of potential in the Bremerton/Tacoma area but I know the whole Puget area is experiencing a ton of growth.  The area is so similar to the bay with the tech boom/lack of room to build on because of the water.  Leaves a lot of opportunity for gentrification and appreciation.

@Antoine Martel I grew up in the bay too, small investing world, huh. I'm doing BRRRR's in Memphis too, you'll have to tell me how you settled on Memphis and Cleveland!

The title of this thread made me laugh, good question! 

One thing is right, you can expect a 4% cap rate in LA.  My friends that invest in northern and southern California do it strictly for appreciation and are making so much money in other businesses that they use the real estate as a tax shelter.  They are usually cash buyers and aren't approaching it from the "passive income from cash flow" perspective.

I agree with @Mindy Jensen, I wouldn't post any identifying information about the potential deal.  You could post a screen shot of a proforma or ask about some of the numbers you might be getting.  It's helpful to get feedback from local market experts about what kind of returns are realistic (1% rule, etc.) as you are creating your own criteria.

Absolutely what @James Wachob said, if I invest out of state I want my broker, PM, maintenance, etc. in the same building, it just seems like it makes communication much easier.

Hey @Anthony To, I got a small loan for an amount similar to what you're talking about.  I did it in Memphis after I refinanced a property and pulled my cash back out.  I was actually just there for an investing conference and most of the other investors I met were from SD/OC.  PM if you would like the lenders info

Keep saving, reduce spending, see if you can add income, go to networking events, build relationships and find ways to solve problems or add value to more experienced investors.  Investing takes time and persistence 

I agree with @Laticia Braxton.  Also, do you have a policy and procedure manual in place?  I find its helpful to have one so that in a case like this you can reference your criteria instead of making a decision based off of emotion. It also protects you from discrimination allegations if you make your decisions based off your criteria.

Hey @Raymond Guillotte and welcome! I admire your transparency and knowing your numbers is one of the first steps in making a change and setting realistic goals.  When I was first getting started, I was given the advice to start analyzing deals.  You can get easy to use apps or software, start looking at properties and start running the numbers.  To that I would add, go to meetups, network and get to know more seasoned investors.  You don't have to wait until you're investing to do that and a lot of investing is building relationships.  Best of luck!