All Forum Posts by: John Chapman

Welcome to BP, Prescott. The DFW members are very active and very helpful. (You should keep your eyes out for the meetup, it's usually every few months.) What REIA groups are you attending? My initial bit of advice is to proceed with caution. I attended a bunch of them in the DFW area a few years ago, and they were terrible. (Just a bunch of sales pitches and sharks looking to take advantage of new investors.) They were nothing like some of the groups I read about here on BP. There may be new groups or new management in place, as I haven't looked at them in years, but I would still be careful.

Well said Rob K. I've never understood the fear of giving out your number as it's on every single check you give out to every random person. Having them text me after they make the deposit is the only way I have ever figured out to be able to discern who's payment is who's (which, as Jon Holdman points out, is the main problem with having them deposit the check directly)

Brian Hoyt, that's awesome that you're moving to have them direct deposit. Way more productive.

As for the lawn, I'm going to offer a slightly different perspective. I would say that at least here in Texas there's very little to be gained by haggling about lawn maintenance with tenants. The weather is brutal here,tenants are not usually going to water very often, the grass is going to grow very slowly if at all. I've only once or twice got a notice from the city about weeds growing too tall, and it's not a big deal, they just tell you to cut it. Basically, in my experience expecting them to maintain the yard like a homeowner is wishful thinking and is just not worth the stress. (Presume they'll do a crappy job, and count it as a cost of doing business.)

Here's my perception as a buy and hold investor. Basically, really good wholesalers (i.e. ones that do their own marketing and don't just sit around marking up junk off the mls) are very had to find and don't have any real need for more buyers. In my opinion, it's much harder to find a true deal than a cash buyer, so the way to get in with them is to develop the reputation as a serious buyer so that you can move up on their list. I think it helps if you have pretty flexible investment criteria (e.g. you don't only buy in one small part of town). You can also try partnering up with them, help split marketing costs, etc.

Jon K. Lumber Liquidators was about $2.5 square foot, so more than basic Allure (I see basic selling for $1.79). Agreed on the basic Allure. I like the finished product but the imperfections due to subfloor are annoying.

Hi Nathan, welcome to Bigger Pockets. I agree with Peter Giardini but figured I would offer the following additional observations. First, when you are starting out, I think Fannie Mae financing is definitely the way to go (terms just can't be beat and the fixed rate for that long is great hedge against inflation). You'll have no problem until you get to 4 mortgages (including primary), then it gets tougher, but not impossible.

If you are going to use Fannie Mae financing, then my experience is that it's tough (if not impossible) to finance a loan amount below $50K. You might want to target a little higher end properties (if they work from a rental perspective).

I also think 80% LTV might be tough. I know I can only go as high at 70%, though I'm over four mortgages so this may be the reason.

He is also absolutely right that you want to buy private money (rolling repair costs into the note) and then refi immediately. This is the only way that I know of that allows you to refinance immediately as opposed to having to wait a year.

Adam, I know there have been a ton of posts on this topic. (Unfortunately, I briefly tried finding them and couldn't). I've done both 15-year and 30-year, and you should definitely do a 30-year. You can always pay it down faster if you want but it doesn't work the other way. (I love watching the balance on a 15-year go down pretty fast, but the flexibility a 30-year affords can't be beat.) I would also opt for the smaller down payment. Can't imagine it's going to affect your monthly payment and it's more cash in your pocket for investing.

Thanks Steve Babiak. It looks like the Lumber Liquidator 5 mm vinyl wood planking is comparable in thickness to the Trafficmaster Allure Ultra (and it is much cheaper).

I've know we've previously discussed the pros and cons of vinyl wood plank flooring in other topics, as well as Trafficmaster Allure, but I've recently seen this new product at Home Depot Called Trafficmaster Allure Ultra. It's twice as thick as the regular Trafficmaster Allure but instead of glue snaps together. I realize it's a pretty new product and may not be cost effective ($2.99 square/ft), but it has a lifetime residential warranty. Curious if anyone has had an experience with it. I've been moving more towards vinyl wood plank flooring (instead of tile) down here in Texas because the soil moves so darn much, I need a floor with a little give.

Hi Alex, welcome to Bigger Pockets. I think you'll find the DFW members are very helpful and knowledgeable. That being said, it would probably be useful for you to provide more detail about your situation, your goals, and what kind of relationship you are looking for in a mentorship.