All Forum Posts by: John Rankin

Hi Charles, I'm also based in Honolulu with young kids and in a similar situation to you, have also thought about buying an investment property in Japan that we could use part-time and rent out at other times. I used to live in Tokyo for 6 years and would like to find a reason to go back more regularly but let me know if you want to connect!

 I have not yet, mainly because I am looking for cash flowing assets and that is harder to come by in Hawaii. 

Aloha Maile,

I live in Hawaii but invest out of state. Was in your shoes 3 years ago so know the feeling. It’s hard at the beginning because you don’t know what you don’t know. Defining your goals is super important but always happy to chat and share my experiences!

I second Investors Title Service, they have been great to work with!

Congrats Chris! Great story. I've purchased a few properties from you guys. Keep them coming :)

Hi Nick, I started investing in Indy about 1.5 years ago. Have picked long term rentals, short term rentals, brrrr's, flips...all from out of state. Let me know if I can help.

 Nathan, do you have a contact at Housemax you like using? TIA

Hi Michael, I also picked up a deal in Emerson Heights recently with similar features to yours. I think the rent could be higher but really it all depends on your level of rehab. One of the challenges I've found in this neighborhood are that the property taxes are a lot higher than some neighboring areas which eats into your cashflow. Because of that I am planning to sell mine rather than hold as a rental. 

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $50,000
Cash invested: $90,000

My first ever out of state investment was a single family rental property in Indianapolis purchased in August 2020 during the COVID pandemic.

What made you interested in investing in this type of deal?

Long term cash flow and recycling of initial capital utilizing the BRRRR strategy

How did you find this deal and how did you negotiate it?

After getting out-bid on numerous mls deals this one came through via a wholesaler. No negotiation on price and was risky buying as-is without any contingencies but I knew the area and market well enough to feel comfortable in the deal.

How did you finance this deal?

Cash. Since I used all of my own cash I didn't have any financing costs and actually delayed the refi process until about 9 months after purchase. This helped with the appraisal as the overall growth in the market helped push the appraised value of the home to $160,000.

How did you add value to the deal?

This property needed a complete cosmetic upgrade. Rehab was originally budgeted for $30k but turned out to be closer to $40k.

What was the outcome?

Home run BRRRR with infinite returns that cash flows $200 per month. I actually could have cashed-out more than I put in but decided to only pull out my initial capital to give me some extra monthly cash flow.

Lessons learned? Challenges?

Was very hesitant during the middle of the pandemic as the future was so unpredictable but had analyzed enough properties to know what a good deal looked like. Investing remotely is always a challenge but having a good boots on the ground team is key! While the timing of the market helped, the single most important thing that I did was take ACTION rather than mull over what could go wrong.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $50,000
Cash invested: $90,000

My first ever out of state investment was a single family rental property in Indianapolis purchased during the COVID pandemic. This property was acquired via a wholesaler for $50,000. The rehab which was budgeted for $30k turned out to be closer to $40k so I was all-in to this deal for $90k planning to use the BRRRR strategy. Since I used all of my own cash I didn't have any financing costs and delayed the refi process until about 9 months after purchase. This helped with the appraisal as the overall growth in the market helped push the appraised value of the home to $160,000. I could have cashed-out more than I put in but decided to only pull out my initial capital to give me some extra monthly cash flow. I was pleasantly surprised that my first out of state investment was a home run BRRRR. While the timing of the market helped, the single most important thing that I did was take ACTION rather than mull over what could go wrong.

What made you interested in investing in this type of deal?

Long term cash flow

How did you find this deal and how did you negotiate it?

After getting out-bid on numerous mls deals this one came through via a wholesaler. No negotiation on price and was a little risky buying as-is without any contingencies but I knew the area and market well enough to feel comfortable in the deal.

How did you finance this deal?

Cash

How did you add value to the deal?

Complete cosmetic upgrade.

What was the outcome?

Home run BRRRR with infinite returns that cash flows $200 per month

Lessons learned? Challenges?

Was very hesitant during the middle of the pandemic as the future was so unpredictable but had analyzed enough properties to know what a good deal looked like and this was one! Investing remotely is always a challenge but having a good boots on the ground team is key!!