All Forum Posts by: Matt Guignon

I'm sure you've been in touch with your real estate attorney. If not, that would be a worthy next phone call. If you need any real estate lawyer referrals I am always happy to help. Moving forward, tenant placement and EXCELLENT property management will be critical to ensure a profitable investment, can also help with that. I am an active investor in St. Louis too and understand our market. I'd love to connect.

Core Properties will once again be hosting our monthly investor meet up. This months meetup, 10/28/2020 will be back in person for the first time since the pandemic. We look forward to seeing everyone and enjoying some food, drinks, and content rich discussion regarding real estate investing.

This month's agenda will include open networking, a presentation given by Core Properties Managing Partner and real estate investor; Jon Rankin, followed by a Q&A, session.

What to bring - Yourself, thoughts, questions and something to take notes with. There is a lot of great content that is shared within this group.

We can't wait to see everyone on Wednesday 10/28 from 6:00-8:00 PM. Please make sure to RSVP for this event, and we'll see you on Wednesday!

RSVP Link: https://www.meetup.com/CORE-Pr...

Investment Info:

Small multi-family (2-4 units) buy & hold investment in St. Louis.

Purchase price: $149,900
Cash invested: $7,000

Fully leased 2b/1ba North Hampton Duplex.
* Property Cash Flows approx $250 after PITI and OpEx
* Property recently appraised for 15% more than the purchase price. Property purchased 10 months prior to appraisal
*Originally House-Hacked. Moved out and leased available unit.
*Current Market Value (Oct 2020) - $185,000
*15% Rental rate increase over last 2 years. Market Data indicates this is continuing to climb

What made you interested in investing in this type of deal?

This deal made sense as a house hack and first investment. The neighborhood is established, but has room for growth and redevelopment. Strong rental community of younger families and blue collar workers, in an urban neighborhood. Tenants have been easy to find, and the property had minor value add opportunities, but had sound mechanical systems and finishes. Perfect duplex to get my first experience as a landlord and REI

How did you find this deal and how did you negotiate it?

MLS. Used a real estate agent

How did you finance this deal?

5% Conventional Loan

How did you add value to the deal?

I was able to raise rents, paint, landscape, and remediate an insect and bat infestation. As a result, I have attracted higher class tenants who are willing to pay higher rent and have increased the value of the property through addressing the deferred maintenance I had inherited.

What was the outcome?

I still own this property and has been stabilized. Occupied with great tenants, with very few maintenance issues. Rents are steadily increasing each year, and may still be on the low end of rental rates for the area.

Join us for our monthly real estate investor meetup and networking event as we answer questions and discuss all things real estate investing happening in our local market. Core Properties Managing Partner and experienced investor, Jon Rankin will be this week's guest to provide insight and advice to investors of all experience levels. These events are great forums to share contacts, resources, and other industry knowledge with fellow local investors. Bring a pen, paper, and a bunch of questions as these events are typically very rich in valuable content. We look forward to seeing everyone there and talking some real estate! 

Look forward to meeting new investors and networking during our monthly meet-up. Join myself and Jon Rankin, a Managing Partner of Core Properties in St. Louis MO and discuss all aspects of real estate investing. This is a great forum where participants can ask questions, share contacts, and meet other local investors. Whether you've done dozens of deals, or still in the educational phase there is value for everyone. We look forward to seeing some new faces, and hope to get back in person ASAP. See you on Wednesday night! 

Core Properties MeetUp - Building your rental portfolio. Check out the meetup link and join us virtually on Wednesday, 6/24/2020 to learn how to begin building your rental portfolio or scale your existing business. Look forward to seeing everyone on Zoom and sharing our experiences and resources in order to help everyone become better investors!

https://www.meetup.com/CORE-Properties-building-rental-portfolio/events/mwqgfrybcjbgc/?fbclid=IwAR25lI6QS-TwoLIBcSxg51NeG7n-SmDk3pYKmJGcuoRKSoiN3i2KNt0GI2w

I'm not an attorney, but I know a lot of real estate investors in my locality (Missouri) opt for series LLC. It seems as though this type of structure is more acceptable and protective in some state than others. Essentially it allows you to have a parent or holding LLC with a multitude of "series" beneath it that are each separate and protected, limiting liability without having to continually open individual LLCs. This is advice I've gotten from entity formation lawyers in my area, but the quickest and most effective way to answer your question would be by having a meeting or conversation with an attorney in your area and getting the answer "straight from the horses mouth" so to speak. Best wishes in your investing. Liability and protection is crucial in any successful real estate endeavor!

Florissant is a great neighborhood to invest in. We do quite a bit of business in Florissant, Black Jack, Hazelwood, and surrounding areas. What drew you Florissant in particular?  

@Hannah Noble Sounds like you have a great game plan moving forward. And regarding your question about the distance of the oos investors we work with, that really varies. Some folks have family in town, therefore they are able to stop by and check in on their properties a few times throughout the year. However, we also work with institutional funds and hedge funds who may never personally see the properties in their entire lifetime. We even have some Israeli investors, who rarely if ever even come over to the United States, much less St. Louis. With all that being said, it really comes down to you as an individual and how comfortable you are with the distance and how hands off you want to be. If you're constantly uncomfortable, or anxious about a property that you don't have much direct control over, it may not be worth investing out of state, regardless of the potential returns. State of mind and your well being will always come before ROI! However, as with most aspects of life, fear and uncertainty can almost always be reduced or eliminated through education and familiarity. Once you determine a few markets that may interest you, I'd recommend spending quite a bit of time learning the neighborhoods, demographics, industries, and other applicable socio-economic factors that may impact the local real estate market.

@Hannah Noble Welcome to Bigger Pockets and the world of Real Estate Investing. Although I have no experience investing out of state myself, we help a ton of investors residing in higher priced markets find cash flowing deals here in St. Louis. It seems like the common theme for investing OOS successfully is creating effective teams and systems in the market you'll be investing, and having solid, reliable property management who you communicate with regularly. Feel free to reach out with any questions regarding the Midwest, Rustbelt, or Southeast. Depending on your goals, investment strategy, and comfort level with outsourcing, the flyover states can offer great potential to earn a quite attractive return on your money! don't hesitate to reach out with any questions. Happy Investing!