All Forum Posts by: Mark Plesha

@Jason Powell I'm up in NWI and used Real Estate Express this past summer to get licensed. I'll be honest, I didn't love it lol. If your mind works in a way that you can just read a textbook and retain the info you will do fine. There are quizzes at the end of each section that are very easy and then at the end of each 30 hour section you have a 100 question test that is pretty difficult, and if you fail you have to retake the whole 30 hour section. 

Leading up to taking the actual exam I stumbled across PrepAgent on youtube and focused a lot of time on all of their content and ended up passing both tests on the first try. I highly suggest using PrepAgent as you are going along thru the prelicensing course.

@Andrew Harrell Congrats!! Next time I venture out to the outlet mall I'll stop in!

Hi @Joy May, if you believe these are all stories to get out of paying rent, which from what you have said it certainly sounds like, I would offer to pay him to leave. I would wait until after the holidays and then offer him a few hundred dollars to move out and just move on from him. He very well could just be going through a hard part of his life and need the help, but if he gladly takes the money and leaves then both sides are happy. Use this as a learning lesson going forward and diligently screen everyone from now on. I'd be happy to walk you through my screening process or answer any questions!

Hey @Ben Osran, I'm a Realtor and investor who lives in NWI and would be happy to help. There is plenty of opportunity in that price range, but you will have to decide if you want to sacrifice cash flow for tenant quality. I own rentals in Highland and have never had an issue with tenants in my time doing so. However, I see/hear horror stories from landlords who own in Gary/Hammond/EC quite a bit. A lot of that comes down to screening, but there is definitely something to be said for the tenant pool as well. 

In terms of property management, there is another agent at my office who might be able to help you. I'd be happy to connect you guys if/when you are interested. If you have any questions feel free to reach out!

Definitely a good idea, and I just read the post about the HELOC, that was the same strategy I employed and used it to buy my first property and I'm ready to take out another one and repeat. Good luck with everything, sir!

I didn't read through all of the responses so forgive me if this has been stated already, but I would suggest having at least $5k in reserves to start for repairs/vacancies/cap ex. I literally just spent $3k in the past month and a half chasing a plumbing(sewer) problem that I'm still not positive has been fixed completely. You can drastically reduce the amount of stress you will endure when you have enough reserves that you can just write a check and know that it is part of the business. This has shown to be incredibly important this year when all of a sudden tenants can simply decide not to pay and there is no recourse as a landlord. 

You seem to be on a similar path I was on before I made my first purchase, just continue earning, saving,  and learning until you feel confident you are ready to purchase something. 

Hi Kyle, I just received an email from NAR(National Association of Realtors) stating that Congress just passed another COVID Relief Package and included the below info:

-Provides $25 billion to the states through Sept. 30, 2022, for rental assistance and allows landlords to apply for funds on behalf of tenants

• Includes payments for rent in arrears as well as utilities and other expenses related to housing
• Extends federal eviction ban through the end of January

It is somewhat vague info, but something to look into in terms of applying on behalf of your tenants. 

What town are the properties located in?

Hey @Garret Spencer, I'm in Northwest Indiana, if that is where the properties are, I'd be happy to help you!

I agree with @Scott Swanson on his take of Gary. This hotel is not going to save Gary, unfortunately. You might be able to find very small pockets that are worth buying in, but if you are out of state, you better have some boots on the ground that know the area extremely well if you plan on investing there. The only viable option I see is doing short term rentals in Miller if you are out of state, just my opinion. But you are wrong about one thing @Scott Swanson, try Phenomenal Ribs on Broadway and 11th I think it is lol,  that is some good BBQ!

Hey @Caleb Ray, personally I would want to be closer to at least the 1% rule (proportion of rent to purchase price) when analyzing a property. Are you running your numbers based off what the loan would be if you are bringing 20% down, that is the only way I would see how it would cash flow based off of the numbers given. If you have the capital for a large down payment and enough in reserves for when basic repairs come up or if you have a problem with the well or septic (just a guess that you have those since you said you are in rural Indiana) then maybe take a chance at it. Based on the numbers, I would guess you would actually lose money most years at that purchase price and I would try to look for something else. Make sure you are including taxes and insurance costs and at the very minimum 5% for each of the following; vacancy, repairs & maintenance, property management (just because your are managing it now, doesn't mean you always will) and cap-ex. The BP calculator for rentals is a great tool for analyzing properties. Good luck with whatever you decide, sir!