All Forum Posts by: Joshua McMillion

@Arsenio Hart

The market is tough right now. We placed upwards of 20 offers before we finally got one accepted. Keep trying, just like @Eric Fung mentioned, and make sure you have several systems to send you deals. For example, my agent on our last deal we found sent us an off-market deal we would not have found on the MLS. 

I would recommend finding a secondary market. 

Sincerely, 

@Tyler Daniels

If you have a property manager, you can ask them or ask the agent who sold the property. Another idea is using rentometer, but that is not free. BiggerPockets does have a free rent estimator for u; to eight times. After that, you will need to have a professional account. 

https://www.rentometer.com/pri...

Sincerely, 

@Ethan Aurellano

Just glad I could add value!

Sincerely,

@Ethan Aurellano

Focus on building connections and networking. You can read all the books in the world and listen to all the podcasts, but nothing beats real connections. That being said, determine the markets you want to invest in and start searching there and building a team (REA/lender/GC/PM). Tools you can use: Facebook groups, BP networking tool, and mastermind groups.

What is your niche? That's where I would focus my RE self-development. 

Sincerely,

@Antonio Feagin

Great advice is already given. Since you have 3 months or so left, is it possible to do the skills bridge program, or are you already on terminal leave? I first would identify the market you want to live/invest in. Once you have that submarket determined, start building a team. In my opinion, the agent is the critical piece. If you find a #ROCKSTAR agent, they usually will come with great references (lender, general contractor, PM, handyman, RE attorney). Once that is in place, use the acronym Brandon Turner created, which is LAPS. 

If you want a small residential multi-family, you need to house hack with a VA Loan

Don't hesitate to reach out! 

Sincerely,

@Jonathan Shnoravorian

When I look at areas to invest in, I look at the city's growth, plans to improve the area, and how that affects the specific zip code, I am looking at. To give you a specific example, we just placed an offer yesterday on a home that is in a C class area. However, the area is seeing gentrification that will naturally bring in better tenants. "My opinion". 

Nothing beats having boots on the ground. I am a firm believer that you should see the home yourself of finding an agent/friend that lives in the area and can visit the property often. 

Sincerely, 

@Dan Wilson

Congratulations, brother, on your success with REI!

Sincerely, 

Huntsville BP's! 

I am looking to find a general contractor in the Huntsville/Madison area. I have been looking on Home Advisor and other areas, and it seems this specific skill set is hard to come by, given the market right now. If anyone has a recommendation, please shoot me a DM. I would forever be in your debt! 

Sincerely,

@Julien Okey

I would recommend starting to network. @Allen S. was spot on with the meet-up advice. One of the fastest ways to shorten the learning curve with REI is networking. There are a lot of military investors out there too. Do not hesitate to reach out if you need anything! 

Sincerely, 

@Ken M Middleton

Good to hear from you again! Yes, I ran into this issue and given the market now and access to jobs, it seems that contractors are less willing to commit to creating itemized receipts. 

I recommend creating a firm-fixed-price contract with equitable adjustment. That's a fancy contractor language of saying that the material, labor, and fees (dumping, cleaning....) are fixed and provided upfront. However, if there is an issue that is found, the contractor will provide another contract as an addendum to the original to cover the work; I created a general rule of thumb with my last rehab by telling the contractor you can make constructive changes to the contract without notifying me if the total cost was under $250. You will run into small issues like that. 

Second, the cost is not the biggest issue I have had with contractors; it has been time. When you're vetting the contractors, ask them what key performance indicators they track. If one of those is not time per job, I almost guarantee you will have the same issue. One way to help solve this problem is by adding an incentive-based contract clause. Meaning, if the contractor completed his work within the scope and on time, you agree to pay an extra $1,000 or whatever you decide. However, if the contractor does not and busts the agreed timeline, the incentive fee is waived, and every day or week that the project extends, the contractor losses $50 (just an example) per day or week. Essentially you want to create an accountability system for the contract that ties them to cost, schedule, and performance (quality of work). 

I hope this helps Ken! 

Sincerely,