All Forum Posts by: Jimmy Smith

@John Franklin, thank you!

I am aware of those rights, but declined to address that potential issues as I have a strategy to lessen the potential of that happening. I intend to purchase properties that would best serve a family as to ensure it is still rented to the members family while the member is deployed, thus potentially having the tenants for an entire duty cycle or more should they remain in the area for another duty. Do you think that is an effective way to mitigate the potential issue?

@Frank Geiger, thanks!

I do understand that sometimes bases shut down. The particular area I am looking to farm has two bases in the area with twenty minutes of each other, separate branches. One is a small Navy base at which I was stationed while the other is a large Air Force base. The rents do align with BAH and the Commander reference certainly does get used, it's never pretty. Have you had any luck investing in military areas?

@Sean McDonnell, thanks for the input!

I am aware that they can break their lease should orders come up. I'm fairly familiar with the process having been in myself, and also familiar with the notion of less reputable service members. In order to mitigate those mentioned issues, my strategy is to target properties that would house a family rather than a single renter as the members spouse and children would remain there whilst they are deployed. Thus potentially locking down the tenant for an entire duty cycle. Do you believe that would be effective?

I am currently looking to take my first leap into REI. I've had a few ideas as to what I want to do and have decided that rental properties and the BRRRR strategy are what I need to focus on to achieve my goals. The market I currently live in -Long Island, NY- is very expensive and I believe after running some numbers my best bet is to invest in the south. I also believe I should invest where I was stationed there.

Here's my thought process in (a condensed version of) pros and cons.

Pros:

-I have an agent I trust, with whom I served with at the end of my enlistment. He also has connections to help me build my team.

-Inexpensive, the numbers are great.

-Large, consistent renter population.

-I'm familiar with the area.

Cons:

-Appreciation in the area is low.

-Flooding could be an issue if there is a big storm. It has happened in the past and stifled the appreciation.

I'm just curious on other's thoughts on investing in military areas. Any input would be appreciated, especially from those who have invested in these areas.

Thanks!

@Derek Rodenbeck, it’s quite a bit for the forum. I’ll shoot you a pm.

Welcome, @Derek Rodenbeck! I’m fairly new here and a student veteran as well (US Navy Civil Engineer Corps, studying business). This is a great community and I have started to make connections already. I’m meeting up with a beginner and a seasoned investor in my area for coffee this upcoming week, and I’ve been on this site less than a week! You definitely came to the right place. If I’ve learned one thing from the community so far, knowledge is probably the most important commodity in this industry.

Best of luck in your endeavors!

I haven’t done this yet, but from what I’ve read there are plenty of options.

1. Hard money- high rates but available quick. They have the ability to foreclose, so if you use this make sure you have multiple exit strategies, like refinancing to pay it back.

2. Private money- you may be able to raise private capital from people to whom you show a tangible plan and offer a good deal. This depends on your plan for the property.

3. Refinance- most traditional option of these mentioned. You can use the equity you have in your first house to start another project given you have the credit necessary.

Again, I haven’t done any of these yet, but from what I’ve read they are all proven ways to do it. It’s all about being creative.

Knowledge. Arguably the most important tool for new investors starting out.

I have not yet began my first venture, but do have tangible achievable goals set for this quarter and year. I’m currently working on attaining as much knowledge as possible through podcasts and reading, as well as beginning to network.

While I've been reading about REI mostly as of late, plenty of other books I have read in the have gotten me into the mindset of success that led me to real estate. I believe reading and learning is key to success, especially when you model your choices of those you believe are successful (many of you in this community would fit that description for us newbies here)

My question to you all; what are the three books that most shaped your life/career in real estate that you recommend, and what value did those books bring to you?

One on real estate, one on life, one of any relevant genre. Mine are as follows:

Real Estate: HOW TO INVEST IN REAL ESTATE, by Joshua Dorkin and Brandon Turner. I wouldn’t be here had I not read that book. It made me confident enough with real estate basics to get over analysis paralysis.

Life: MEDITATIONS, by Marcus Aurelius. This book really helped me change my mindset about life and perception on how to deal with it.

Other: TOOLS OF TITANS, by Tim Ferriss. While this book could fall under “life,” it needs mention. I really believe this book is essential for any person who has struggled with getting what they want out of life by providing a small glimpse into the life of many successful people. From world class athletes to entrepreneurs, this book shows you what tools they use to achieves success.

Thank you, all! I’m very excited to begin my new ventures!

@Vincent Villani, I’m looking into purchasing my first property on Long Island as well. I’ve lived here my entire life, less while I was in the military. I’m further out east on the island and am very familiar with Patchogue and the surrounding areas .

While it is “up and coming” it is surrounded by some not so good areas. I often joke that if people had told me ten years ago I’d regularly go to downtown Patchogue for drinks one day, I’d have laughed at them. The surrounding areas still hold that sentiment. Outside of the immediate Main Street area, it is either very nice pockets of town with some homes that are multi-millions, and others that are run down and you wouldn’t want to walk down the street at night.

The latter mentioned parts sound like they might have potential to appreciate over time, but Patchogue’s turn around started the better part of a decade ago and those parts still haven’t turned around. Thus, I’m a bit weary personally, but I do still keep an eye out.

I’ve been looking at properties near where you have mentioned also, though I’m not nearly as familiar as I am with Suffolk county. Being that we’re both new to this and have similar goals, I think that it might be beneficial to us both to meet up for coffee sometime and bounce some ideas off each other. Feel free to PM me if you’d like to set something up.