All Forum Posts by: Joe Norman

Second everything JD said! Based on a quick google search it looks like Minnesota does require PMs to be licensed by the real estate commission so you may be setting yourself up for issues if you continue to allow your friend to represent himself as the PM.

Your options are to either learn the rules fast and take on self management of the property (you can still present yourself as the manager or representative of the LLC and not disclose who truly owns the LLC), or to hire a licensed, professional PM.

Have they paid their September rent? If so I would probably just send them instructions on where to send the October Rent and ask them to confirm receipt. If they do they I wouldn't worry too much.

If they haven't paid September rent, however, I would file for eviction immediately.

We prescreen tenants before scheduling showings. This weeds out a lot of the chaff so we can focus on qualified and quality applicants.

First they have to watch a video tour of the home to confirm they still like the layout, etc. 

Next they have to complete a (free) preliminary application where we ask them questions about income, evictions, etc. This isn't fool proof since its all honor system, but we do remind them that major discrepancies between the preliminary application, and the full application, will be interrupted as an integrity issue and a major ding on their application.

Only if they watch the video and if their preliminary application is satisfactory will we get in the car to do a showing.

Awesome, way to make the commitment to start! I think your first step, especially as a first time investor, should be to build your team. Specifically you'll want a Realtor, a Property Manager, and a Lender. All three should be familiar with real estate investing and have experience working with investors.

In the meantime you can also start getting familiar with your market. Find some listings on your agents portal (or Zillow, if you must), walk the neighborhoods, and run some comps.

Good luck!

Def talk to a few Brokers to get a feel for the culture of the office. Ask to come to an office meeting or training. Talk to not only the broker/team leader, but also the agents in the office.

I'm really happy at Keller Williams Gateway (main office is right in White Marsh) and would be happy to introduce you to a few people there if you're interested.

Congratulations on passing your Pre Licensing!

I can't speak for STL specifically, but I generally agree with @Travis Biziorek Any map is probably unreliable within 1-2 years of its creation, if it was reliable in the first place. 

Local knowledge is the best way to understand a market. Get out and look at a LOT of houses all over the city. You'll get a feel for what neighborhoods you want to be investing in pretty quickly.

Keep in mind that if you're using an FHA loan then you must occupy one of the units for a certain period of time. You mention residing in CA but looking for other markets - do you plan to move? If not you may need to reconsider your financing.

Talk to a lender for sure and get some options. Make sure you speak with someone who offers DSCR loans as well as Conventional and FHA (may not be the same lender, but can be). Good luck!

There are absolutely situations where the buyer is expected to pay some, or all, of a Buyer's Agent's commission. As Ned points out above, the Buyer Representation Agreement will lay out the minimum commission owed to a Buyer's Agent. If the co-op commission being offered by the Listing Agent is less than that, then the buyer will have to make up the difference.

The OP's question, I think, is more around paying the buyer's agent commission so that the offer is more competitive. This is NOT the case generally and just over complicates things. If you're willing to pay $5k in Buyer Agent commission to "make your offer more competitive" then just add that to the offer price instead.

And don't forget to get a copy of the lease (or, better yet, an Estoppel Certificate)

What does your Broker say? Thats who I would defer to.