All Forum Posts by: Logan Sierra

@Journey Toole Thank you for your perspective! I recognize that 100k is a smaller budget to do BRRRR right but I have to start somewhere. I know Tulsa, OK has a ton of hospitals which is great for MTR but I had never thought to look at Cleveland.

Side question for anyone, what tools/resources do you all use to analyze an area before you invest. Example, I have been using the furnishedfinder.com/stats to help determine if a market is over saturated with investors. Are there other tools I should look to as well? Thanks!

Logan

@Bradley Buxton thanks for the sound advice! I think that communication is key and getting her more involved so she can see it for herself. Thanks again, best of luck in your investments and Happy Thanksgiving!

Logan

@Andrew Freed Thanks for the advice! I didn’t mention this but we are about to move (twice in 8 months) and the house we currently own will be a rental (super low interest rate). That being said, we will likely buy again after the second move, where we will be more stable for longer. I have mentioned house hacking to my wife and I agree that it is a great way to get started. However, unless we find the perfect house (as a primary residence) she would be unwilling to house hack. Do you have any strategies or considerations I should bring up that may inform her and lead to a change of opinion? Thanks and Happy Thanksgiving!

Logan

Happy Thanksgiving BP family! 

My wife and I are going to start diving into property investing. I believe BRRRR is the best strategy for us. I am in the military so we move fairly often which leads me to be willing to invest anywhere that makes sense. Looking for cash flow as a priority over appreciation at this point. I want to stay under 100K for purchase and renovations. Additionally, I plan to turn these into MTR for the additional bump in cash flow.

What areas should I start doing much deeper research into? Any response would be greatly appreciated! Thanks!

Logan

@Kevin Sobilo I had never considered that before: whom will the longer lease benefit. With that in mind, I can definitely see the benefit of essentially have a flexible mindset when it comes to lease lengths and potential contingencies based of 1) needs of the business and 2) needs of the tenet. If we can meet both of those needs then we should be in a good spot! Thanks for the advise and best of luck to you and your investments!

@Lorien Rollins thanks for that perspective! My wife and I both think that the contingency to raise rent is a great option! Best of luck to you and your investments! 

Hey BP,

Bottom Line Up Front: I would love your feedback on whether to do a three-year lease or a more traditional lease

Background:

I am in the military and my family and I are moving from Chesapeake, VA to continue my career elsewhere. My wife and I have decent equity in the house and have decided to rent instead of sell. She is a master networker and has already located potential tenants. Based on some initial screening they are about as good as tenants could get—military couple, high ranking officer (Chaplin), no pets, no kids (we did not ask, this it was mentioned by them.) Either way, we still intend to have them complete standard tenant screening as a CYA and to consider Fair Housing Laws.

This will be the first rental my wife and I take on. Long story short, if these tenants or similar situation tenants do not work out, we intend to use paid PMs in the area (standard 10% fee).

In talking with these potential tenants, they will have three years military orders in the area and the military member is planning to retire and move elsewhere after these coming three years. They have previously only rented direct from the owner and have almost always done long leases.

At the current moment, we could likely get $2900 per month in rent (pure cashflow around $150). Based on my understanding of rent increases in the area and the lack of laws I found dealing with how much rent can increase in VA, we could raise the rent around 3-5% reasonably per year ($90-145 per month = $1080 - $1740 per year = $3150-$5220 over a three-year period). In my head, I am not sure that even the potential of increased rent is worth losing out on tenants in place. My wife and I are not depending on cashflow for this property. The goal is mortgage paydown and a property that allows for a flexible transition from the military in around seven years.

Also, based on when we are putting the property on the market, we would likely do a 14 to 15 month lease to get our house back on track with high volume moving season (on the market in Feb/Mar of 24).

Question: What would you do in our situation; a 36-month lease or a 14 to 15 month lease?

I am sure there is more detail needed for you all to help and more considerations that we have not thought of, I appreciate any assistance in advance! Thanks!

-Logan

@Aristotle Rivera My wife and I lived in Swansboro prior to having children and we loved the area and there is a constant concerted effort by the community at large to keep the area quaint and limit commercial expansion (it took a long time to get a Walmart approved to build there). It is near the water and does have a nice downtown area. Also mentioned by, @Ben H., Swansboro is a municipality therefore they have their own fire, police, etc. Whereas Sneads Ferry does not. Hope this helps and good luck!

@John Kunick would you be willing to share your CPA contact with me as well? Thank you! Just getting started but want to ensure I am setup well.

Hello all!

I have been browsing the BP forum for a while but this is my first post. I am in the military and have orders to Georgia. My wife and I decided to rent instead of sell. Although we won't move until after the new year, I wanted to reach out to the BP community seeking the best property managers in the Chesapeake, VA. We are looking at roughly $3000 to rent 3 Bed/2.5. Thanks!

-Logan