All Forum Posts by: David Hutson

Yes. He gets most of the listings.  It's not required to go through him but I think most do since I don't see many other listings, at least not very often.

@Mark S.,

The investor exchange program took them away from their primary business and wasn't worth the hassle.  The give the leads to an agent now and he works with the sellers who want to sell.  There are usually eight to 10 homes that owners want to sell.  It's the only way I would be able to buy as many as I have and I plan to buy two more this year if the numbers work and the properties are where I want to buy them.

@Andrew Coulter,

It will depend on where the market cycle is but selling to another investor wouldn't be much of a problem today.  I have 30-80% gains on these homes as of now and rents have gone up $75 on the properties that turned last year.  If I had to sell, which I never will, I can reach out to the investors I work with or have referred and sell directly to them.  Homes here are selling just under the 1% rule currently.  I could sell at 1% and come out very well now as the prices have gone up and there is a shortage of homes.  Turnkey homes, bought newly rehabbed, are usually purchased at retail pricing and that is fine as long as you know you need to hold the home for many years.  There are people who have purchased their homes in the past few years and seen some appreciation and decided to sell and break even or make a small gain.

Mid South Home Buyer homes are often in high rental neighborhoods but about 50% of homes in Memphis are rentals.  Their higher priced homes, like the homes I have in 38118 or 38115, could possibly be sold to a homeowner but their are numerous investors looking for homes over $100k with rents over $1k.  I would sell to those investors first since I wouldn't have to have the tenant move out.  I could get a contract on those homes in days here with the current market conditions.

MSHB does not assist with the sale of their homes. They refer it out and I'll send you info on that. I have found many of mine on the MLS. In 2017 I found one owner who wanted to leave the U.S. for a job overseas and was selling a package of three. I put in an offer and ended up with the package at $107k. The appraisal came in at $175k, which is great, but what matters to me is that the total rents were just over $2k. With a rent increase over the past few years I am currently receiving $2,160 a month for the three. This is where holding rental homes becomes profitable. Time is your friend. Turnkey or not, the longer you hold the homes the better the position you will end up in, as long as you aren't forced to sell in a bad market.

Feel free to send me a message if you have other questions.

@Joshua Lalrempuia,

I can provide you more info on MIG if you are interested in reaching out to me.  I am the Vice President for the group.  We have about 400 members and most of our meetings online at this time due to restrictions on the numbers of people meeting in one place.  Many of our meetings are during the week as that's what our members have told us they prefer.  As an example of our meetings, on 5 Jan during lunch we have Auction.com coming online for a 45 minute "how to" and question/answer session.  These are loosely formatted and allow for a small group to learn directly from the presenter.  I also run a live meeting on Sundays, currently only once a month until restrictions are cut back. 

If you look at our dues you will see they are reasonable.  $200 for one person locally and $100 if you are more than 75 miles from Memphis.  We have one main meeting monthly with a follow on class or training on the Saturday following the main meeting.  You can see all of the other meetings and training on the online calendar.

Message me if you have questions,

@Adrienne Donato, 

I don't have any personal knowledge of it since I don't have homes with them but people that I have talked to have been happy.

@Douglas Skipworth is a good person to stay in touch with.  He has one of the biggest PM companies in Memphis and he is a very knowledgeable guy.  I have been working with him for almost seven years in Memphis.

Douglas, please connect me with them.  I can visit their office when I go back down there.

@Josh Rodriguez,

Good for you for taking the first step.  I'm from Sacramento and moved to Memphis last year so I know CA is expensive.  Now that you posted more details agents and other investors can better assist.  I have been driving down to look around and will eventually move down there.

@Vincent Plant,

I would get your property manager to handle it immediately.  I can't tell what the issue is with the house but if you don't seal the home mice and other critters, along with weather, can get into the house.  Sealing the house is your responsibility and in your best interest do to next week.  Once it's sealed hopefully the $100 trap you buy would take care of the mice inside (I would buy it for her to show good will as the new owner).  If she has been in the home that long I would want to keep her in the home long-term while maintaining the home before it gets worse.

Did you get a home inspection when you purchased the property?  If so, I would review it again to determine what other issues there may be that need to be addressed.  If you let the big stuff go now it will be much more expensive down the road.

@Josh Rodriguez,

I am new to investing in Florida and looking there also, mainly around the Tampa area. What is it you are looking for? Cash flow, appreciation, new properties, BRRRR, etc. It's a pretty open question and you will probably get a lot of different answers without more details it's hard for anyone to give a good answer for your situation. I'm looking for cash flow and looking for areas that could appreciate some.

@Gabrielle Martin,

Yes, they want their money.  Since the other three units were not your primary residence capital gains would apply.  

Congrats on the sale and hopefully you still made some money.