All Forum Posts by: Kelvin J.

Thanks for all the input everyone, plenty to consider here. BP community rocks!

@Scott M. Thanks for your input! When you mentioned preparing for a “no” and a vacancy it made me realize that there are probably cases where having the tenant vacate would actually be a good thing. Just because a tenant passed a prior landlords screening doesn’t mean they’d pass mine. So maybe the the quality of the inherited tenant would play factor as well in whether to hike the rent all at once or gradually over time. But I don’t know how often that situation arises.

If I purchase an occupied property but their current rent is below market is there a correct way to raise the rent on the inherited tenant to get up to market and increase my cashflow without overt risk to occupancy? I suspect there isn't a one size fits all answer here but I am curious what thoughts or strategies you folks have had in these situations. I don't have a specific scenario in mind and this isn't something I am currently going through. Purely hypothetical.

@Allan C. I’m glad that’s worked for you, it didn’t occur to me that just because my family is out of state that it may not be an issue. I’ll reach out to my local lenders and see their stance on it. Thanks the info!!

@Bruce Lynn I appreciate the advice. I suppose sending a family member on a weekend trip is a small cost for the decrease in risk. I’ll be financing my first few properties at least. I have explored the digital notaries but just as you mentioned my lender in the past was not comfortable with it as I was financing.

Travis Watts* tbh autocorrect has done worse for me in the past 🙄

@Taylor L. An absolute ton of wisdom in your response thank you so much for your time. I’ll do a bit more digging into turnkey as it may be a good way to get my foot in the door. And honestly I hadn’t even heard of syndicates outside of the Mission Impossible franchise so that was a huge blind spot for me. Thanks for highlighting that! I’ll follow Travis Scott ASAP and keep in the books. I appreciate all you do for us freshies out here.

@Anthony Friday thanks for what you do, happy Independence Day!

@Taylor L. Oh no, I thought this was passive real estate investing. Leave it to me to show my ignorance right out the gates with my first post on Bigger pockets haha.

I’ll be working with a property management team from day 1 of my first purchase. I have no intention of being an involved landlord. I can track leads, run the numbers and coordinate financing remotely and I figured I’d leave the renter acquisition and property upkeep to a management team? Optimistically, I front the money and make the purchase and that’s the end of my involvement. Do you have any suggestions for being even more passive than that? Or were you referring to investing in things like REITs or maybe just being a private money lender for other investors?

Thanks for your help, I appreciate it!

@Ronald Allen Barney thanks for your insights! My initial thoughts were in regards to closing papers. For example, if I was in the middle of a purchase but had to head out the door before we closed. Or if I was overseas and someone fed me a hot lead that I didn’t want to slip away before I got home to take advantage of it. I’ve closed on a primary residence while traveling before and the stress of getting away from work and finding a legal notary and reliable courier in some of these third world countries is not something I relish. Not to mention the strain on negotiations with the seller due to different time zones, documents in the mail and unpredictable timelines. It was all just a hassle I intend to avoid as an investor. I’ll talk with my agent and a lawyer to see how much “limited” powers they’re comfortable with and/or recommend.

It does sound like there is no reason the rest of the team couldn’t work with me via phone or email though which is helpful. I appreciate your time!