All Forum Posts by: Joel Fine

Here is what I would suggest.

I would first max out on the *free* education you can get on BP... Webinars, blog posts, podcasts. Then go for the "nearly free": books in the BP library, maybe a pro membership so you can dig through the webinar archives and get unlimited use of the calculators.

At the same time, find a few meetups in your area. Attending those will advance your education AND help you develop a network. You'll meet people who are ahead of you in this journey (often just barely ahead) and learn first hand what has worked and not worked for them.

Next I would get on Zillow, learn how to run searches and find properties that might be good investments. Learn to analyze them using the BP calculators.

After all that... Then, and only then, decide if you need a paid mentor, and what you would want out of that relationship.

I aim for maximum cash on cash return. 12-15% in the market where I invest (Cleveland). Rent to value ratio is fun to look at but ultimately incidental.

Totally agree! That's why I've been investing in Cleveland. Sounds like I should look at OKC when I'm ready to add another metro to my portfolio. (Actually 3% appreciation sounds excellent. I underwrite my deals assuming no appreciation. Thanks to the power of leverage, 3% appreciation would add about 10% to my cash on cash returns!)

Welcome to the site @victor Lau. You'll get some great value here whether you go pro or not.

I'm investing in Cleveland, Ohio right now. Mostly mildly distressed small multi family, in need of cosmetic rehab and some repairs. Terrific cash flow. But, historically, not much appreciation.

I'm averaging around $200 per door, once I'm through renovating & have them leased up.

I'm investing in the Cleveland metro. Small multi-family, mostly 2-4 units but a couple of slightly larger buildings. 

My pleasure @Paige Yu!

Some of the properties I've found online (Zillow), some were found by my agent. But all have been publicly visible at the time I made offers - no "pocket listings" or otherwise off-market. All of my purchases have been in various stages of distress, with rehab budgets ranging from $3k to $25k per door. Some have been sitting on the market for many weeks; others were in contract with another buyer but then fell out. So in many cases I'm dealing with a seller who has reason to be discouraged or impatient. That may be why I've been able to get them at modest prices that cash flow well, even after paying for the rehab.

I have not been touring the properties in person, for the most part. My agent, my contractor, and my inspector are essential members of my team and help me evaluate each property.

Regarding areas, I've bought all over Cleveland: West side (Brooklyn, Old Brooklyn, Clark-Fulton) and East side (Cleveland Heights, Shaker Heights, Waterloo, even one in East Cleveland (not the war zone part)). Neighborhood quality ranging from "A" (Shaker Heights) to "C-" (Clark-Fulton). Rents ranging from 1.5% to 2% of acquisition cost. Basically where-ever the numbers can work and my spreadsheet says it will cash flow.

Just a nit, I'm pretty sure you aren't actually buying *from* Roofstock. They bill themselves as a marketplace bringing buyers and sellers together. Roofstock handles some of the due diligence but otherwise is just facilitating the transaction. Roofstock people are pretty active on BP so maybe one of them can correct me on this thread if I have this wrong.

There are many cities in the Midwest that cash flow quite well, but historically those places have not appreciated much (or at all). I've been investing in small multi-family in the Cleveland area, and the cash flow has been pretty solid. 12-15% cash on cash with 25% down. And all my deals have been on MLS, no off market deals.

I'm in Silicon Valley. Cash flow stinks here. That's why I'm investing entirely out of state.

Check out David Greene's book "Long Distance Real Estate Investing." It's chock full of advice on how to do this. You can't eliminate the risks but you sure can reduce them.