All Forum Posts by: Mark Ito

I'll inbox you!

 Welcome to BP! What are some strategies that you want to pursue in RE?

 Hey there Nina, not sure where you're at but i'd look into the laws surrounding evictions. You can never go wrong with verifying with an attorney. I'd also look into the possibility of cash for keys and/or assisting with their move. It sounds like they already won't have the money for rent. Eviction could cause more issues and will be more expensive than the ~$500-$1000 to get them out sooner than later. Otherwise you could potentially be looking at additional holding costs, repairs, and vacancy which costs WAY more than what they might move out for. Let us know how it goes!

@Ethan Mullaney welcome to BP!

Best advice, don't be like me! Don't wait years; take action. Do a serious dive into research and reading for a few months, but burn it into your brain: Take. Action. Make a plan, and execute. You really can't go wrong with almost any of the books in the BP bookstore. Feel free to reach out.

Something that is essential to long-distance investing is building your team. Since you are not physically there, you're going to need people (i'd recommend multiple) that can look at the property. A few of these could include: a home inspector, general contractor, RE agent, property manager. 

You need to figure out the sellers motivation and get a better idea of their needs in order to see what they're willing to sell for. You should already have a number in your head. Since you've already mentioned the rehab status, I'd say for sure contact a GC to walk through and estimate repairs. This could make or break the deal. If it comes out favorable, consult a RE attorney in El Paso to go over "terms" to ensure you understand rules and regulations for the area. 

Then you can negotiate with the seller, contract, and either move forward/back out/or find a buyer. Lots of variables that you didn't cover but this is a general way forward. Open and honest communication is best, and keep multiple exit strategies in mind. Good luck!

P.S. a fantastic book on this is "Long Distance Real Estate Investing" by David Green! 

Although there are other factors, when analyzing a potential acquisition out of state, I find it most closely and easily relatable to a crime map. Generally, green (least amount of crime) will tend to be A neighborhoods. Yellow is B, orange is C, red (most amount of crime) is D. Although this is not the only thing to look at, it's where I start when identifying what type of neighborhood it is. 

 A good deal will attract buyers. Not sure if it's the pp or the buyers. Would need more info to get the whole picture.

Don't let a speed-bump stop your vehicle from moving forward! If you have/find deals that are worth it that can't wait until the new house is finished, get creative. Creative financing won't necessarily effect your DTI. Seller financing, lease-to-own, wraps, subject-to, private lenders, hard money (if need be) are all ways to invest without traditional financing that will come up on your record. You can Google or YouTube any of those to get more info.