All Forum Posts by: Matthew McKee

Hi @Jeremy Kinard, congrats on taking action! Biggest step is your first but don’t let that stop you. In this world mistakes are actually more valuable than home run hits right off the bat. I may have missed it but do you own a primary residence, what’s your runway look like and what markets interest you?

Fail soon, fail often and fail forward my friend!

1 Vote

Atlanta, Georgia

Quote from @Osazee Edebiri:

Quote from @Matthew McKee:

Quote from @Osazee Edebiri:

Quote from @Matthew McKee:

Quote from @Carlos Ptriawan:

Actually there's no such this as CA vs out of state.
This is all just mathematical equation dude. So lets have this exceltable how the house appreciation performs since 2009 :

Bay Area 6.9%
San Diego 6.5%
Kansas City 3.2%
Nationwide Average 3.1%
Typical Inflation every year 2.9%
..
Indianapolis,IN 1.8% (just for illustration ,not accurate)
Birmingham,AL 1.5% (just for illustration,not accurate)

There's a metro that's accelerating double in the inflation rate, that's where you see the highest acceleration. The highest acceleration is equal to a lower cap rate equal to lower cash flow.

In the other spectrum, there're cities where it's lacking appreciation, so you can still always have higher cash flow/higher cap rate in that city.

In another question: what makes the city appreciates a lot? economic booking and highest supply/demand ratio.

In the year 2300, if Silicon valley moves to Boise Idaho, Boise Idaho will appreciate double as well.

So it's not about "where", but it's about "economy". Higher economic output triggers higher appreciation, it happened everywhere regardless it's San Jose, NYC, Singapore, Berlin, or London.

It's a function of math.

this is an astute breakdown.

At the end of the day, no one has a crystal ball. If the numbers makes sense, a deal can work in any market but who knows what that market will become in 15 years.

Right, but if that was truly the case people wouldn't associate such a negative connotation with investing California vs any other state.

Biases are largely formed from historical data or common rhetoric, biases are also personal opinions often shared by a number of people. Yes California is an intimidating market and the current tenant/landlord laws make it even more so but numbers don’t form biases and the future isn’t chained by the past.

I’m mostly just being philosophical but I do believe every market has the potential to be flipped.

Agreed, but real estate investing is based on past data mixed with calculating future projections in order to pick where to currently invest. If Apple or Tesla builds a big corporate office in a podunk town, the values will go up.

Yeah, we’re saying the same thing. I should have refined my statement. I was referencing the 15 year metric as originally posted. It’s much more likely to get reliable information pushed 3-5 years in advanced than 10-15 years.

1 Vote

San Jose, California

Quote from @Osazee Edebiri:

Quote from @Matthew McKee:

Quote from @Carlos Ptriawan:

this is an astute breakdown.

At the end of the day, no one has a crystal ball. If the numbers makes sense, a deal can work in any market but who knows what that market will become in 15 years.

Right, but if that was truly the case people wouldn't associate such a negative connotation with investing California vs any other state.

1 Vote

San Jose, California

@Tim Jaley there’s a slew of private money, partner and seller financing options out there. Are you totally opposed to connecting to share some thoughts?

1 Vote

Hi @Jay Ben! Congrats on your success man! I’m sure getting traction is not only exciting but also a bit daunting. How can the BP family help you meet your goals?

2 Votes

Jersey City, New Jersey

Quote from @Carlos Ptriawan:

this is an astute breakdown.

At the end of the day, no one has a crystal ball. If the numbers makes sense, a deal can work in any market but who knows what that market will become in 15 years.

1 Vote

San Jose, California

This is more a mindset post: you’ll make more money by failing and losing than by holding and waiting.

it’s about time in the market not timing the market. Regardless of the outcome the sun will still rise and set, my friend.

9 Votes

Quote from @Bill B.:

You change the locks (crazy doesn’t need keys to your property, copies or not) and meet at a fast food restaurant, a grocery store, any such thing. Heck meet at your bank so they can cash the check

Exactly ^

1 Vote

Quote from @Paul F.:

Another question though, how do we get the keys back from her? We have to give her a cashier’s check too. Meet somewhere neutral?

Regardless if you get the keys back I would highly recommend rekeying the house.

1 Vote

Quote from @Kyler J Sloan:

My cleaner says her fee will go up 50 dollars when I add a hot tub for its maintenance.

This seems far too high considering the upkeep is not that extensive.

What amount would be reasonable?

Thanks!

Unfortunately that’s all dependent on your specific market and the type of hot tub you have and if the cleaner will be financing the chemicals. If it helps, we pay $88 for a pool and spa technician to come out and service our properties with hot tubs.

2 Votes

All Forum Posts by: Matthew McKee

Matthew McKee has started 1 posts and replied 164 times.

Post: Up and coming investor in ATL!

Post: California Vs Out of State (really, but why?)

Post: California Vs Out of State (really, but why?)

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Post: California Vs Out of State (really, but why?)

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Post: How much More to Pay Cleaner for Hot Tub Maintenance?