All Forum Posts by: Matt Speer

Welcome to Indy! I'm in the process of building a prospecting cadence in my target markets and could use some help. I'd love to collaborate if you have time available. I work from my home office in Butler Tarkington. Again, welcome, I hope we can connect. 

Sunny,

I work with both local and out of state investors on many of my deals. I typically rent to young professionals by the bedroom, which allows me to maximize cash on cash return. I'd be happy to hop on a call and share more. 

Best, Matt 

My uncle is an investor primarily focused in Anderson and I'm sure he'd be happy to chat with you about his experiences. Shoot me a DM and I'll share his contact information with you. 

Hi Terron, 

Welcome to the Indy market! I don't personally work with $20-$30K homes, but there are plenty in the area that do. I'd be happy to steer you in the direction of a few if you want to send me a message. 

Good luck and happy hunting! 

-Matt 

Hey Eddie, Are you pretty set on investing locally in Chicago? I'm in Indianapolis, and although the market is hot, in able to work with investors to find double digit cash on cash returns. I rent by the bedroom to young professionals which has been a niche that has treated me very well up to this point. Feel free to shoot me a message and I'd be happy to share my perspective. Onwards, Matt

Phil,

I would recommend that you set up the LLC yourself and save the fee. It's very easy and cheap to set up yourself, especially in Indiana. From my memory it's just $85.

Then to arrange your bank account you'll need a proper partnership agreement/articles of incorporation to file with your account. 

I have a good template you could work off of as I have put together 3 LLCs in the past 2 years. Just DM me and I can help you out. I'd hate to see you spend money when you don't need to. 

Of course, I'll caviate this with the fact that I'm not a legal professional and I would recommend having a lawyer review your docs if you create them yourself. For the review, I can refer you to my real estate attorney who works locally in Indy. 

Hi Kee,

Feel free to send me a direct message. I have a creative niche in which I place young professionals by the bedroom, maximizing cash on cash return. 

I'd love to grab a coffee and see if we can help provide value for each other. 

Talk soon,

Matt Speer 

@Michael Johnson Since it's zoned as a duplex, from my understanding, for all intensive purposes, it wouldn't be considered commercial. It would continue to be considered a duplex. You could mention in the lease that the current tenants agree to allow the open access. 

I recently bought a 7 bedroom duplex in a popular area in Indianapolis for young professionals and the duplex divider is opened up. 

For me, I plan to rent the property to a group of 7 people who are all part of a professional, 2 year networking program that assists them as they begin their careers. 

It's a value to these tenants and allows me to charge $500+ per bedroom, rather than renting by the unit. Hope this helps! 

First, I apologize if any of this was covered by other knowledgeable BPers. I simply read the post and here are my thoughts.. 

I'm also 23 years old, but this is my first full week as full-time real estate investor. It took me about a year and a half to get enough passive income and a network that logically supported my decision to take the plunge. For me, it was all about the Benjamins.. let me explain. 

I had about $400 a month for my car payment and student loan payment combined. Also, the normal things like car insurance, food, etc. In total, my monthly expenses were around $1,200. However, I knew that a big part of why I wanted to be  RE investor was the freedom to enjoy the world in a different way, thus, my $500/mo travel budget and $200/mo entertainment budget. Let's just call my monthly expenses $2,000. 

You may have noticed.. there was no rent/mortgage expense. That brings me to my first point of advice.. buy a property with an FHA, low money down loan, and rent out 2-4 bedrooms. I'm in the middle of a live and flip with 3 roommates who not only cover my monthly mortgage and other expenses, but I make about $200/mo on top of that. The icing will be the targeted $30K in profit after I sell the home. 

Next, read about creative financing or how you can leverage partners with capital but lack a willingness to hustle, and try to buy a couple cash flowing properties before you quit your job. I partnered up with a guy who, for the most part, funded my deals, but we split equity 50/50. My monthly CF from that partnership pays me $1,100/mo now and after repositioning our most recent duplex purchase will be closer to $1,800/mo in August '17. Not to mention, we're closing on a sale of a property on Friday that will profit me roughly $15,000.. 

In summary, your biggest expense will probably be your living expense, so find a way to eliminate that monthly cost. I'd recommend the FHA loan for a personal live and flip. Secondly, do a few deals before you break it off with your current employer. Get your CF number up to something that at least covers the majority of your monthly expenses.

Time to hustle..