All Forum Posts by: Douglas Larson

Do you have any references here on BP that can recommend you guys?

How much is your "membership?" I see your online application but no talk of the fees for the 2-month membership.

@Jonathan V.

Like most commission-based learning programs, Renatus has some merit and value but you can do much better for a fraction of the cost by networking with agents, wholesalers and investors at your local clubs and meetups. I echo @Ashley Hernandez in her comment above that BP, with its , ,  and social support is a much bigger help and better value! Josh Dorkin created Bigger Pockets specifically to give options to newbies who want to learn REI without having to pay 10, 20, 30K or more just to get started. Many newbies want to take a shortcut but I would recommend learning all you can on BP with a few books and at least 20 podcasts and then find a mentor to shadow at a local REIA. Offer to wash their car or mow the lawns at their rental properties if you have to, or answer their phones for a month from lead generation. You will learn better in the trenches! Save your 20K for your first purchase.

Hi @Grant Keaton. Welcome!

Just my 2 cents...

Because you said the word "portfolio" I assume you are just talking about buy and hold rentals. For buy and hold, I prefer SFRs under 200K that will bring close to 1% of total asset price per month in rents. (e.g. buy a house for 130K and repair for 10K. Rent is $1395 per month.) These kinds of deals are getting harder to find but I still see them in Salt Lake, Davis and Utah counties. I know several investors who have branched out to Weber and Tooele to keep within those numbers. Older homes in decent areas of West Valley, Kearns or Taylorsville may need ongoing maintenance but I still find good quality tenants and price appreciation has been fantastic! Also, when you choose to sell an SFR under 250K right now, it's got multiple offers on the first day. (That's a seasonal thing so don't count on that in November.)

When you buy and hold in the 300K plus range, it's hard to get rents even close to the 1% rule but newer, nicer properties in newer, nicer areas can bring better tenants and less stress, while still giving nice appreciation over the years.

A lot of RE investing is about your personality and what you want to do. I self-manage most of my properties. Last week I dealt with one plumbing leak, one late rent payment and a garage door that came off it's track. I also went snowboarding on 2 awesome powder days and I was able to eat dinner with my family 6 out of 7 nights. I haven't needed a "day job" in 12 years. It totally works for me.... but Grant Cardone would probably call me a sissy!

@Aaron Smith

No matter what the "Due Diligence" deadline is, the real deadline is the financing contingency. I have seen many people use the financing contingency to back out of deals at the last minute. They don't even need to specify why.  If you want a second set of eyes to look at your deal, just reach out to a trusted investor in your area or PM me.

Have Fun!

Hi @Janette Richan

Welcome to the best real estate site on the planet!

First, follow this link  to introduce yourself to the Bigger Pockets community. That's the right place to tell people who you are and what you are interested in. This post  will give you some great hints.

Second, EVERY INVESTOR will be interested to work with you if you can find good wholesale deals right now. The "deals" investors want probably won't be on the MLS but if you find motivated sellers and good value properties, investors will come.

Third, real investors (not wanna-be investors) already have solid relationships with good agents, but if you can make yourself valuable to a good team, and if you can hustle up some good rental properties that cash-flow near 1% or potential flips with a 60-100K spread between purchase price and retail sale, you will have a very bright future!

Here are some other great resources on BP:

(Great Free Course on Real Estate Investing)

(Real Estate Marketplace)

Have fun out there!

I have used HELOCs to invest in more real estate, but I just pay them off when I'm not using them. My conventional 1st mortgages are at 3.5% - 3.87% and my HELOCs are now around 4.5% - 5%. I even have one credit card with a 70K limit that offers 4% origination and 0%APR for 12 months. That's way better than hard money terms. Even with teaser rates, I would never think to use a HELOC to pay down cheaper debt. I love cheap debt, as long as I can get a much better return with that money. If I use borrowed money at 4.5% to flip a house and make a 25% profit, that's a pretty good use of cheap credit. That's not what Dave Ramsey would say, but it's been working well for me for many years!

thanks @J.R. St Julien

... and if you see any great deals with enough equity for a flip, please drop me a note!

What area of San Diego do you work in?

 Thanks Mathew. My 9-year old and 6-year old boys had a great time exploring my favorite spots in San Diego. They complained a bit with the small work projects and tasks we gave them. Everything from removing painters tape to pulling weeds in the yard. They were paid for their work though, and by the end of summer they had enough to buy hoverboards! I'd like to think that overall it was a great family bonding experience. I hope they remember it that way. My wife says we should do a flip in Florida this year!

 Thanks Rebecca. We did take about 36" from an adjoining closet so we could make  a true "master bath."... and the professional photography with wide-angle camera lens also helped!

Hi @Account Closed

I know a lot of RE investors that would love to dabble in the commercial space. Me too! Can you post 6-8 photos of the project? A picture is worth a thousand words! 

Also, it's great to see some numbers. What was the total investment and what is the monthly rent and yearly net after expenses. The BP Nation loves details!