All Forum Posts by: Ken Calcote

Thank you @Jeff Schechter and your team for reaching out and offering a solution regarding in-house management. Looking forward to making the transition and seeing some positive momentum.

Will update the board regarding progress.

Stay tuned..

Summary - Be very careful buying low price rentals in the Indy Market and take the pro-forma's of any turn key with a huge grain of salt 

I purchased from High Return Real Estate in July of 2017 not knowing anything about the market aside from listening to their podcast selling Indy really hard and why it is such a great rental market.

I took the bait but unfortunately it has been nothing but issues. Initial Rehab and delay in completion after closing (so could not advertise it right away), over 2 months to get my first tenant ($600 a month) in a Duplex (more about this tenant later) and the other side has sit empty since I purchased the property in July 2017.  Agreed to a price reduction from the PM from $600 to $500 and still no renters! The first tenant was consistently late on rent and has stopped paying rent in April so eviction time in May 2018 (squatting until we can kick them out in the end of May) and after that a  totally empty duplex and turnover costs.

High Return Real Estate will also highly recommend that you go with their chosen property manager or they cannot guarantee the 1 year home warrantee.  I used them but as you can see with my post they really cannot find a tenant so either this home is in a horrible area, there are an abundance of rentals in the area, the price is too high @ $500 or the PM is not doing a good job getting new tenants (or most likely a combination of all). 

I will never know but what a learning experience!  

@Jay Hinrichs Wish I had listened to you about low price duplexes in Indy (coming from an investor on the West Coast with experience in Atlanta, Memphis and Orange County). I purchased from High Return Real Estate not knowing anything about the market aside from listening to their podcast selling Indy really hard and why it is such a great renters market. 

I took the bait but unfortunately it has been nothing but issues. Initial Rehab and delay in completion after closing, over 2 months to get my first tenant ($600 a month) in a Duplex (more about this tenant later) and the other side has sit empty  since  I purchased the property in July 2017 and all this after lowering the advertised price from $600 to $500! Also the first tenant was consistently late on rent and has stopped paying rent in April so eviction time in May and no income at all (for the four months she was actually there).  

What a learning experience! I now understand why the locals won't even touch those..