All Forum Posts by: Kevin Hunter

35-40% equity

@Fang Underhill, it is that delicate balance between overleveraged and too much dead money.  I think 60-65% is that sweet spot for value add deals and overall portfolio numbers...

@Teresa Johnson, I have multiple SFH and small multi-family props. I don't give any gifts. To be honest, the tenants want nice, reasonably priced homes with everything working appropriately. Be responsive, reasonable, and honest, and your tenants will be just as pleased as they would be if you send gifts during the holidays...

@Cipriano G., the schedule is up to you.  All at once, every six-months, all your prerogative as long as you adhere to state laws.  I would recommend being extremely transparent.  Tenants in small multis get really nervous when the property gets sold. The reality is that you have to raise them because it is a business.  Help them to understand this by writing the introduction letter as you plan.  You could also consider a visit to evaluate each unit in depth for upgrades and reinforce the rent increase then as well.  Some will be upset, but none will be able to say they didn't know it was coming.  Good luck and congrats on the purchase.

@Jamila Thompson, welcome to BP and congrats on graduation.  There are some nice pockets in New Haven you could target, in the Yale area.  Another nice area for investors and to live is near the water in West Haven or Branford.  I am a fan of Fairfield County because of the lower taxes, but the entry point is a bit higher down there.  Happy to answer more specific questions as you think of them.  Good luck!!!

Rich Dad Poor Dad

The Millionaire Next Door

Think and Grow Rich - not real estate, but awesome

@Bryan Whelan, welcome to BP.  You are going to learn a ton here.  Regarding property management, all the comments above are great.  I would tell you to be very careful screening the contract.  That is key.  Also, be open and up front with any company you are interviewing regarding what you expect and need.  There are a lot of BAD property management companies out there, I call them rent collectors because that is all they do.  Then you get to the end of a lease and there is a bunch of deferred maintenance or worse.  Avoid those PMs like the plaque.  You do that by interviewing and screening multiple PM companies.  Good luck!

@Scott Trench, three years and folks still responding.....that is staying power!!!! My first ever tenants, in 2003, SFH in Vegas, paid for a year up front. Property manager thought it was awesome, I thought it was awesome. Turns out they were doing all kinds of immoral, unethical stuff. I will let your imaginations figure it out and I am sure you all will. So after a year, when my sonn-to-be former "property manager" goes to check on the property, it is an absolute disaster. Fortunately, it was 2003 and I fixed it up, sold it (the only property I have ever sold) and moved on. I will never make that mistake again!!

@Jason Malabute, keep your head up and press on.  We all have rough years, some rougher then others, some earlier than others.  Stay focused, use these experiences as learning opportunities and keep moving forward.  I promise you will wake up in ten years and be thankful you did.  

@Pat Jackson, great post and congrats.  You are doing what a lot of people TALK about doing.  Well done!!