All Forum Posts by: Joshua Wilson

As a combination response to what both Pearce and Joe mentioned.  I understand the whole setup completely.  And you've touched on my biggest obstacle to getting started.  There are so many options of ways to position myself financially to acquire a property.  I don't think I'm stuck on "analysis paralysis"... But I can't see an option that makes enough sense to me to execute except "Save money for a year."  I know they are there but I just can't get it straight in my head.  I really hope I can find a local mentor.  Still working that one out too...

I think my best way to get started is to just decide on a name to operate under.  "Josh Wilson Real Estate investing" or something similar.  Then I can setup some social media pages, get some business cards ordered, and simply spread them out.  Just blanket my business network from other ventures, and spread the word that I'm buying homes.  With persistence I'm sure a good deal will come across my desk that I can wholesale to get some starting capital.  I'm not a fan of the normal disingenuous approach that is so popular, but I feel that if someone truly needs out, then it will benefit all parties.

Welcome to the community!  can I ask that you ask those questions in the forum?  Better out than in and all that.  Maybe someone else can learn from your questions and leverage your perspective from your experience as a pm.

Full disclosure I focus on Buy and Hold properties as well and I am always learning!

In advance, let me say thank you for the feedback.  I'd love the good and the bad.  Balance out my expectations if parts of it also look particularly good!  Thanks to @RyanMoeller for the template from his post here.

1. Mission Statement – I work to acquire Multifamily rental properties to generate at least $5,000 a month.  Allowing me to be a stay at home father and support my wife's medical and missionary life goals.
2. Strategy – While maintaining my full time position I will acquire *plex properties at a minimum 10% cap rate.  Initially focusing on the sub$100k market and moving into larger properties as deals/income permit.  For the first two years, all profits will go into property improvement, maintenance funding for the properties, or saving as capital for further acquisitions.  Utilizing the domino affect of a growing portfolio to allow for exponential portfolio and income growth.
3. Market – Hillsborough county within 30 miles of the Tampa city center.
4. Criteria – LTV - 80%
   Annual gross income - $15,000 annual
   max purchase amount - $100,000 (Pending revision after growth)
   max rehab amount - 5% of appraised property amount
   max timeframe - 2-3 months? I'd love input on this, I am not even sure how to determine what a max timeline is or should be for buying a property. I'm treating it as maximum time from offer to closing.
   Constructed after 1985
5. How to find deals, marketing plan – Acquire my real estate license for access to MLS, agents, online searches, direct mail to lists, other? This is the 2nd biggest mistake, investors do not find good enough deals and it all comes down to marketing and persistence with their marketing plan.
6. How to finance deals – This is a grey area for me. As I'm just formulating this, I'll put my expectations. I intend to use conventional mortgages. Focusing on 20% down and loaning the rest to net positive cash flow is the goal. Seller financing if it helps skews my LTV positively.
7. How to do deals – Working with a licensed broker/realtor in my area I'll complete the purchase. Perform cosmetic repairs(paint, fixtures, or cleaning),  Hire the appropriate repairman based on recommendations from property management company, turn the property over to property management company, oversee applicant process and tenant placement,  maintain property until my cap drops below 5% then exit.
8. Exit strategies, Backup Plans – Unless capital would be used to purchase further properties, use seller financing to sell the property and maintain an additional(unmanaged) long term ROI.
9. Team & Systems – Realtor/broker to do initial screening and for acquiring properties.  Everything but the closing can be handled remotely.
   
   Property Management company - Manage tenant and property autonomously
   Using property manager vendor recommendations makes this simple
   
   QuickBooks Online with accountant access - autonomous accounting
   
   Local Real Estate Attorney -
10. Illustrate example deals – See below for description from ideal property found on loopnet.
    
    3 bed, 1 bath floor-plan. Built in 1987. Over 1/4 acre lot. Unit A leased at $799. Unit B (currently vacant) previously leased at $799 (vacated 7/31/16).
    
    Cost Analysis Performed as Rental Property
    In:
    Rent - $19,176.00 (Verified as accurate)
    
    Out:
    (Annual) Actual Taxes - $1,433.00
    (Annual) Estimated Insurance - $1,342.32
    (Annual) Property Management (Optional) - $1,629.96
    (Annual) Estimated Utilities/Lawn/Vac - $1,917.60
    Total Costs - $6,322.88
    
    Net: $12,853.12
    
    Earn:
    Total yearly net equates to - $12,853.12
    Total monthly gross equates to - $1,598.00
11. Financials – Due to my personal finances being intertwined with my financial plan, I'm going to leave this vague for the purpose of this post.  
    Income:
    Enough to cover these expenses with a comfortable buffer
    Expenses:
     ~$3000/mo($1600/mo mortgage, $400/mo car payment, $600/mo utilities/food/gas/etc..., $400 living money)

thank you for the warm welcomes.  

Edgar, I'd love more avenues to find properties. Right now I'm just using zillow/loopnet and a couple realtor friends.  What would you advise?

Brett, got it uploaded to my kindle so I can knock it out!

Hello everyone! Mine name is Josh and I'm from the Tampa area.  I'm a bit of a serial entrepreneur who has tried everything from real estate, to IT support (Server Admin by trade), to fire spinning performances.  out of everything I've done.  I've always had the itch to fry my hands at real estate again. 

I spent time as a government contractor overseas and was able to meet a decent savings which let me pay cash on a great deal on a condo. I rented it out for s year and in that time loved seeing my hardworking turn into something physical that gave me true equity and money in my pocket.  I ended selling it to find a startup that ended up not working out. 

I'm back in a traditional job that pays well,  and I'm ready to use it!

I look forward to and appreciate all the criticism, support, guidance, and mentoring I'm sure to see from this community.