All Forum Posts by: Mark De sagun

@Allison Escovedo Hi Allison, I'm curious if you ever closed on that 4-unit in Taft? If so, how's doing? Has vacany been an issue?

If anyone else has information or experience with the Taft rental market, I'll love to hear from you

@Gene Hacker Thanks for your input Gene. I would agree with you, that Bakersfield would have more diverse economy and likely more population growth. Do you currently own property in Bakersfield? If so, is the rental market strong?

@Kamal Sharma I'm interested to know if you ever invested in property in Bakersfield? If so, what has your experience been like?

@Shawn Hissong @Sanjeev Advani I'm new to REI and really like what I've read about Bakersfield so far. How would you say the market is there currently? Do you continue to see an influx of SFH rentals in Bakersfield? What about the demand for small multi family properties?

@Brian Ploszay Again, thank you for the advice. I had completely ruled out investing in CA real estate. But now I'm a bit interested in areas like Bakersfield and Barstow which may offer an attractive price point and is only 2 hours from where I live so I'd be able to manage it better myself.

@Tanner Marsey Hi Tanner. Thanks for your feedback. I do know that achieving financial freedom within 3 years, is a lofty goal, but something still attainable. I definitely see your point that it can lead to poor decisions/bad investments.  While traveling for a year, we spent a total of $40k in expenses that year. So I figure if we can build about $4000 of monthly passive income, we could consider that financial freedom to travel.

Last weekend, I went to an afternoon presentation and ended up signing up for the $500 3-day course. Dumb move. Luckily, when I found out that it wasn't going to be much help to me, I was able to cancel. I still need to return the 'free' books to get my full refund.

@Brian Ploszay Thank you for the advice. You make a good point. I will definitely look for into southern california as it would be more convenient since I live here, but I worry about finding the right price point.  Would you know which southern california cities I should look more into?

@Michael T. Thank you for your input. I'm definitely leaning more towards finding a property, contractor, and property manager on my own, but if I can find a good turnkey provider that will give me the return I'm looking for, I'd probably jump on it.

Hi Everyone!

This is my first post and I've been diving into real estate investing for a few weeks now; just reading, listening, and watching REI information non-stop. So I'm brand new to the space. A little background… I'm a 31yrs old special education teacher and my girlfriend, turning 32yrs old next week, is a TV producer. We both live in the Los Angeles area. We're kind of house hacking right now by still living with our parents and we have a good amount of money saved up that we would like to invest in out of state rental real estate. Last year, we took a year off to backpack the world. We were able to travel to 17 countries over the course of 11 months. It was an incredible experience that'd we'd love to have the freedom to do again one day. We've dedicated ourselves and made it our goal to become financially independent by the age of 35. That gives us 3 years. Below is our rough business plan. Feel free to rip me apart over it.

How feasible are my expectations for my first turnkey property? When using a turnkey provider, such as Memphis Invest, what kind of ROI and cash flow can I expect on a $100,000 property? I was thinking starting with a turnkey provider would be a good way to start and get my feet wet but I also think that trying to do it myself would have a better (or worse) ROI.

I’m a teacher on spring break this coming week, so I plan to call as many turnkey providers and practice running the numbers on as many properties as possible to try to figure out the answers to these questions myself. I also plan to attend 3 of the BiggerPocket meetups in the LA/OC area this week. If anyone else plans to go, I’d love to meet someone with similar plans and goals. Finding a partnership on a deal where we could learn how it’s all done would be something we're very open to.

We have some starting capital which I think helps greatly, but obviously we can't get over eager and blow our first deal. I think I'm a little surprised at how quickly you can learn and start running the numbers. I hope to be making an offer on something profitable soon. Like I said, I've only been diving into this REI stuff for a few weeks now so any sort of feedback, advice, or encouragement is greatly appreciated. I hear it's a great time to get into real estate.

Mission Statement: To be achieve financial freedom as a couple by investing in rental real estate. This will allow us to travel more and spend the rest of our lives as we please. Hopefully we can prove that the model of BRRR works for us and invite our friends and family into deals so we can all prosper.

Goals:

1. Achieve financial freedom by the age of 35. (3 years)
2. Buy 2 properties in 2019

Strategy:

1. Buy 1st turnkey property by July 1, 2019. Cash buy. Minimum 11% ROI $150/mo. Cash flow
2. Buy 2nd turnkey property by Dec 31, 2019. Cash or traditional mortgage. Minimum 12% ROI. $200/mo. cash flow
3. By April 2020, possibly try minor rehab project or buy another turnkey property. Traditional mortgage or refinance 1st property. Minimum 15% ROI $300/mo cash flow

Market:

1. Indiana?
2. Ohio?
3. Michigan?
4. Tennessee?

B, C, D class neighborhoods. Single Family Home or 2-4 unit multi-family homes.

Criteria:

Tenant in place. No/minimal rehab. 11% ROI on 1st property. In a city predicted to grow.

Marketing Plan:

MLS, bigger pockets, call as many turnkey providers/investment real estate agents as possible.

Visit the cities of interest. 

Put in offers that make sense

Financing:

Michelle- $65,000 cash

Mark- $65,000 cash

Teams & Systems:

Mark & Michelle- kickass power couple.

Need to call turnkey providers and investment realtors

Need to set up LLC in state of property

Need to set up business bank account

Need to find Mentor

Need Attorney

Need Accountant

Exit strategies & Back up plans:

Hold and Rent as long as possible