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All Forum Posts by: Kelley Ogletree

Kelley Ogletree has started 3 posts and replied 19 times.

@John Underwood - I have thought about it. I'm just not trying to tie up all my cash and credit in Chicago.

Anyone have experience with STR arbitrage in Chicago? I travel to Chicago every few months and wouldn't mind having a place there, but want to be able to have it working for me when I'm not there. I'm looking for something in a decent area with a landlord who's good with it being an STR. Any suggestions?

(Please don't respond by telling me arbitrage is a bad idea... I have read all about it and know that some people on BP are against it. I'm not 100% sure I'm going to do it, I'm just seeing if it's a possibility.)

Post: Part Time Job to Learn?

Kelley OgletreePosted
  • Posts 19
  • Votes 18
Quote from @Joseph Cacciapaglia:

Has he considered becoming a real estate agent? The schedule can be very flexible, and if he focuses on working with investor clients, he could learn a lot that way. I'm currently training a part-time agent on my team here in San Antonio, and she's been able to make it work with her other job.


 We talked about it but didn't really know if doing it part-time would be worth the training and learning curve. But maybe hooking up with a realtor and helping with marketing, etc might be an option. Thank you!

Post: Part Time Job to Learn?

Kelley OgletreePosted
  • Posts 19
  • Votes 18
Quote from @Nate Sanow:

Being some type of acquisitions agent for a wholesaling company could be a great experience. Or starting one as a side hustle. Similarly, being an ISA for a realtor team could be good although that’s more outbound calling. 


 These are great ideas. I will be sure he's looking into these! Thank you.

Post: Part Time Job to Learn?

Kelley OgletreePosted
  • Posts 19
  • Votes 18

@Nathan Gesner and @Rick Pozos - What does it say that I asked the question? It says that I am a member of this community and he isn't (yet). He has been doing research on his own. I am also learning about REI and when he asked for my advice, I thought I'd throw the question out there for ideas. I am glad your snarky, judgemental remarks are not representative of the Bigger Pockets community as a whole.

Post: Part Time Job to Learn?

Kelley OgletreePosted
  • Posts 19
  • Votes 18

My son is interested in learning more about REI and also looking to earn extra money to put toward investing. He's trying to figure out a way to kill two birds with one stone. He owns a trucking business and his time is somewhat flexible (he can answer the phone, email, etc throughout the day) or focus on the side hustle in the evenings.

Does anyone out there have any good ideas for how he might be able to lend his services to other investors or management companies remotely that would allow him to get experience / exposure to the industry and make a little money at the same time?

Post: Too many options! Where do I start?

Kelley OgletreePosted
  • Posts 19
  • Votes 18
Quote from @Rudy Avila:
Quote from @Kelley Ogletree:

My position can't be unique... I have a 6-figure W2 income but really will never be able to retire on it. As a single mom, I made every financial choice based on my kids needs at the time. We have a great life and I raised fantastic humans, but I never planned for my own future. So, here I am at 50 years old with adult kids and no retirement. I would LOVE to be able to leave my 9-to-5 in the next three to five years. My dream is to have STRs for cash flow to support myself and for personal use, but I don't know if I should start with that or maybe BRRRR a house or two (or more if I love it) to generate funds to get into the STR game. There are so many different ways to get started in RE investing and I don't have time to make the wrong decision out of the gate. I'm hoping someone on this forum will be able to help me narrow it down. Here's the down and dirty of my current situation:

$100k+ annual W-2 income, but a maximum of $750/month available to invest

$30,000 in the bank

$140,000 equity in primary home (selling my house is not a step I am willing to take)

Below average, but not horrible credit score (my son wants to do this with me and he has a good credit score, but not much in savings)

BRING ON THE ADVICE! Thanks!

Kelley, Hello Rudy from Cali. What I got from your whole post is "Cashflow to support myself and for personal use" is what you mainly want/need. Im going to go against what you what you want to get it from and you can get aid from there but IMO the cashflow from there is too low to support yourself and for your personal use. I wouldnt touch your home and i wouldn't leave your job because that's actually what's going to take you there where you want to go. 30k in savings is not enough to invest to make properties cashflow enough to support you. It will aid you a little bit in what you want to do but you'll have to have the big bucks for real estate to take you there in such a short amount of time. I would say you build a business instead. In something you like it wont feel like work. Looks like you have more free time now since your children have grown so after work on your free time you build a business from scratch. You use some of your money that you have saved and you hustle, you grind to build it to where it goes from you investing money in it to it supports itself to its making money now to Hey now its making enough money to where you can start saving money from it each month. Say your saving your saving your $750 per month plus the business adds another 3k per month and the business forces you to leave your job say in 8 years and now the business will make even more money now because you became full time in the business. Now you can have enough money to buy your first short term rental then another then another and so on. I feel your main problem is that you dont make enough money per month to invest. You can get investment loans that you put down 20% down payment and if the property you want to buy Cashflows more than what the loan is you automatically qualify for the loan. You dont need to jump threw hoops for a conventional loan no more. More expensive loan but your able to get the property. Or whatever type of loan you can get at that point to get the properties.

I truly appreciate your thought process and I think it is spot on for a lot of people. Unfortunately, it doesn't work in my situation for a couple of reasons. 1. Right now I do not have time to build a business. My job is not a 40-hour-a-week kind of thing... I work very long hours to make what I make. (I am working on a side hustle or two that I can manage on weekends though) and 2. You have me leaving a full-time job at age 58 or so to take on another more-than-full time job (the business I have built) and starting my REI several years after that. My goal is flexibility and freedom before I am too old to enjoy it. If I were ten years younger, your plan would be a great option.

Post: Too many options! Where do I start?

Kelley OgletreePosted
  • Posts 19
  • Votes 18
Quote from @Nicholas L.:

@Kelley Ogletree I know you know!  I was just reacting to a few of the other posts.  @Marcus Auerbach put it best - RE is simple but difficult!  Anytime anyone says "just do X..." be skeptical of X.

BRRRR is a great method because of the equity you get. But I find that, in today's market, it's very difficult to get all the cash out on the refi - which means you're leaving cash in each deal.  Just to use simple numbers - say you have $60K, and you do 3 BRRRRs, and leave $20K in each.  You might end up with six figure equity - but you're out of cash!  And that's fine.  You have great rehabbed properties.  But now you're back to saving up for your next move.  Or however you're generating income.

AND, if you buy with hard money or another kind of loan on the buy - you're paying financing costs.  You pay holding costs.  And you always pay finance costs to refi.  So there are just a lot of significant costs that get glossed over on BP - it's nowhere near as simple as "purchase price plus rehab = all in."  It's more complicated and slower and more expensive. 

Hope that helps. Can you tell I just finished a BRRRR earlier this year?


 Ha! Yeah, your experience may sound a little  fresh! I do appreciate it. I'm always happy to learn from someone else's experiences. It might just help to reduce the number of mistakes I make ('cuz I'm going to make some for sure!).

Post: Too many options! Where do I start?

Kelley OgletreePosted
  • Posts 19
  • Votes 18
Quote from @Chris Webb:

Hi @Kelley Ogletree, I would suggest getting a buy box and learning what you can about a particular market. @Dion McNeeley has an excellent channel you can watch on YouTube and he is very open in what he shares, especially when it comes to what he invested in and what income he receives now off of investments. Additionally, @Michael Zuber has a channel (One Rental at a Time) that you could watch regularly where he interviews several millionaires from all walks of life. 


 Thank you for these suggestions!

Post: Too many options! Where do I start?

Kelley OgletreePosted
  • Posts 19
  • Votes 18
Quote from @Nicholas L.:

@Kelley Ogletree see above post - BRRRRing is difficult


Oh, I don't think any of this will be easy! Sorry if I gave that impression. I'm not afraid of hard work (I actually kind of like it!)

I see what you are saying about "just get your cash back" and that makes sense. But doesn't it make sense to BRRRR, get your cash back AND have the property? Do that a couple of times and you start to build something, right? I have seen it suggested that it's good to flip one of every three you buy.

I really appreciate your post. If I do decide to go down the BRRRR road, I will certainly need to map out how long it would take (or how many BRRRRs) before I could leverage that portfolio into a STR.