All Forum Posts by: Jeff Sechrest

Jesse,

So what's your eventual goal? 

If you can get loans through an institution or private money and refinance after the new properties are renovated and rented. The BRRR strategy. Then press on. The requirement for some cash upfront is there though. Closing, holding, rehab and refinance costs. If you get the numbers right, you'll get all this back but it could take a few months.

Sounds good to me but maybe a little change might get more to bite. 

Bottom line is you're marketing your property to maximize your time or minimize your handling of the tire kickers and non-qualified. I understand and agree 100% with your rationale. 

The problem is people in general are inherently lazy. So when I look at your property posting I see, from a lazy persons point of view, a wall to jump over.

That wall is necessary but shouldn't be the first thing potential tenants see. 

Great pictures with a great description and the address more of an area like this. On Green street a couple blocks from Whatever School or Walmarts or something distinguishable. Something to give a general neighborhood or section to reference.

On that posting I leave a cell # and ask people to text their full name and number for more information. Screening starts here. Simple direction following is key. I then place the received number on a group text I send out to everyone interested in the property. Usually a week before I'm ready to show the property at an open house. (I then park a truck at the property and leave the lights on with a radio playing inside.)

I list the Address and the time for the open house and...  

So here's the key to this working. I let everyone know out the gate there's a great deal of interest in the property because of whatever special quality the house or neighborhood has and we'll be reviewing the applications, backgrounds and credit checks  on the evening of the open house so get them completed asap. 

I also let them know the open house will be from 5:00 pm to 7:00 pm on Thursday the whateverth and there'll be other potential tenants looking at that time.

The word is "GAMIFICATION" and it really works. 

By giving the qualifications, having everyone do all the screening and view the property at the same time. It seems to create a frenzy every time we have to fill one.

***And before we purchase a property we always post a simple Craigslist add stating 3b/2bth for $XXX per month in whatever area by The XXXXX store. I leave a cell # and ask them to text for more info. I respond to every one saying the property will be ready in 30 days and also save them for future availability. Its a simple way to gauge the rental market in that area*** 

Since no details were given to income or current situation. I'll start off with a few general bullets.

#1 Save your money for a down payment on a property which will allow you to live in as well as bring in some additional cash for your real estate journey. Duplex or bigger if you can. 

#2 Do not buy a nice... anything. Stay away from cars, trucks, boats... You will have plenty of time for all that later.

#3 Read everything here at BP and read Robert Kiyosaki's book "Rich Dad Poor Dad" this week.

#4 Your credit matters when you start dealing with lenders so be smart about building a good score while keeping your debt to income as low as you can.

#5 Even if you don't agree with everything Dave Ramsey has to say about finances. He does have a wonderful slogan to live by. "If you live like no one else, later you can live like no one else". This basically means be smart, think about your goals for the future, stay out of stupid debt, reference Robert Kiyosaki's book above.

#6 Surround yourself with people doing what you want to be doing. Go stuff envelopes for an active investor, realtor or Broker. 

#7 Research your areas real estate groups. They're meet ups in towns and you'll get to talk about real estate and real estate related topics in person with people doing it. Talk to an agent, they may be able to point you to one.

#8 There's an enormous amount of information out there but remember this key piece of advice. You can move mountains with other peoples money if you know what you're doing BUT CASH WILL ALWAYS BE KING!!! 

I agree with your reasoning 100%. 

Hmmmmm

Wasn't Biggerpockets built for the newbie in the first place? I dont ask that to throw shade, just an observation of sorts. 

" for the investor large and small"

It would seem there's an opportunity here for BP or maybe one of you "big boys".

I'm with everyone saying to get rid of the carpet now. 

I have a question though you didn't offer this info up front. So you've just purchased the property and are attempting to get it occupied. The original question was does changing the carpet now make sense? 

Is there a refinance in your future?

If you plan on pulling your down payment, closing, holding and rehab costs out of the property once rented by way of a refinance then replace that carpet ASAP.

I know your post is a heart felt "Cry for help" but that's too funny.  Ok ok I'm sorry. I do have a couple suggestions though...

1- Maybe a motion detector like a light but attached to automatic sprinklers on a short timer.

2- You said a fence would obstruct views but if it isn't a huge yard. Maybe a plexiglass/ lexan and post fence. See through and kinda snappy looking by water but could get pricey if you don't find a wholesaler for the lexan.

3 - Benjamin Marauder.  Shhhhhhhhhhh

Thanks everyone for your time and answers. 

The job is in Kenai but don't have a specific area or town picked yet. We understand Nikiski, Sterling, Soldotna and Kasilof all could work with a small commute. 

Single and multifamily is our main focus for now. We do own a few mobile homes but they're proving to be more maintenance intensive than we really want. So we're attempting to have them "Rented to own" before we leave. Just one left to fill. 

It's interesting to hear about the proposed project for the near future. Could be an opportunity for many years to come. We currently live in an area with one large oil refinery, which is where I work.

@James Cash

@Connor Maloney

@Nate & Sharon Shaw

 Alaska anyone? CFO's 9 to 5 is changing and we're moving up in the middle of winter. Time to learn a new farm right when we thought we knew this one. Any advice on the market?

@Stanley E. Is the property in your "FARM"? If it is or not, what should the rent be? Have you been in the property or seen current photos? Does it need work? Have you or your lawyer read the current rental contract? How are the comps priced? Is the 15K what's left on a mortgage?   This could be a deal but if he's painting a beautiful picture then why is he selling it? As @Carolina E. said this is most likely his headache and I'll add that you're his Tylenol.