All Forum Posts by: Michael Glunk

@Rigoberto Torres Meza Have you tried just googling your local MLS name and seeing if there is free public access? This varies by state and location, but some MLS's allow access to their database in a public facing format vs. realtor format, but it still gives you some good information and current access to what is on the market. Here is an example of one from where I live in Colorado...

https://my.flexmls.com/grandcountyboardofrealtors/search/idx...

Best,

Michael

Building on what @Trevor Schmitt has mentioned. Yes the general thought is that if it's off market you are getting it at a better deal and are avoiding fees. The reality is that this is not always the case and you can find some really amazing deals on the MLS. But definitely can be the case. Something to think about buying off-market is yes you can often get a better price (or make a deal happen that the owner wouldn't have agreed to because of many factors, one being they don't want to may realtor fees - a common one) but this doesn't mean you are getting a better deal. There often isn't anything regulating the transaction in most states when buying direct. So as a new investor, you need to keep that in mind. Essentially you are accepting the property as is. And if you are new, you may not know what to look into from a due diligence perspective.

Good luck @Fred Ankrah

You're in the right place! Read as much as you can and ask questions. But remember, you'll never have all your questions answered, you just need enough of the big ones answered to get started. Good luck!

If this property is in your own back yard and you need a place to live anyway, why not house had and just stay longer than a year? I mean you need a place to live anyway? Assuming the numbers are more advantageous for you (meaning, living in the house hack while costing you some money is still cheaper than renting someplace else) than adjust your approach based on the market. Leverage the house hack to live where you want to be and then as @Rick Albert mentioned, maybe use that property to fuel others in the future as it appreciates over time.

You could still do the out of state thing or different area of the state.

@John Cannon The best thing is to just start looking. (And don't try to figure everything out at once. Otherwise, you will spin and never make any progress as it will feel overwhelming.) As to where to look that really comes down to what your goals are for the property. So what are they?

Are you wanting a property to be a particular distance from an attraction? (Ski Resort, National Park, National Forest, Small Town, Denver, etc.) First and foremost you need to be clear on what you want and then someone can help guide you on to where that might be. (e.g. Golden is different than Evergreen which is different than Dillion). I might be biased but, I personally would start with an investor-friendly agent (BP is the perfect spot to find one of those!) Once you have it narrowed down or feel you are in the area (or areas) you want to buy in, then I would look for a PM. IMO

I personally live in Evergreen. It's a wonderful town. You can do well with an STR here but there are regulations. Jefferson County is fine to work with as long as you abide by their regulations. This goes for any market. But with that said, I would only really focus in on Evergreen or Conifer given the fact that you need at least 1 acre to STR in Jefferson County. As an example, Evergreen is actually in two counties (Jefferson County and Clear Creek County). I agree with @Brett Deas that Clear Creek County is a good place to look, but they do have a cap on STRs. I check periodically and the last time I checked in with the county they had reached their cap. They re-evaluate this every year and the license # is based on a percentage of the total residential housing inventory each year. But this personally wouldn't stop me from looking in Clear Creek. Trying to not make this post too long! Happy to discuss why that is if you have an interest. 

Anyway regarding where to get the information, you need to search up the town and then also the county as pending on the size of the town, they may not self-regulate. It could be a county thing. e.g. Evergreen is in unincorporated Jefferson County and doesn't have its own regulations so for Evergreen you would be using Jefferson County STR regulations. Hey, it can be a lot, so I would recommend you figure out your goal(s), and then do some digging and/or talk to an expert in your area or areas of interest and then go from there.

Regarding areas, I personally would stay away from Dillon. As mentioned in this thread, Summit County is getting VERY strict. I like Grand County. Specifically the Winter Park / Fraser area. I actually built two houses up in Fraser and LTR the smaller one and STR the larger one. I got them both for free! (Built and then refinanced all my money out of the construction loan when I transitioned to the fixed loan.) Needless to say, they do quite well.

So much more could go into this post, but digest and then hit me up with questions. I've got some videos that go into a little bit more detail on some of these topics on my YouTube Channel you can check out if you have time. (Links can be found in my BP profile.) But again, chatting with an expert would be my recommendation. With the goal of really narrowing down on what it is you are looking for and where and then going from there.

Reach out any time if I can be of more help and/or hit me up here in this thread and I'll be happy to respond!

Michael

Hey Erik,

Appreciate the thoughts. I’m not a newbie or a rate shopper and have plenty of solid lending partners. I just wanted to know if anyone heard of them as I hadn’t and they’ve been doing some posting on a group I belong to.

Thanks,

Michael

Has anyone heard of this company? "All Diversified Lending LLC" based out of Arizona? Website Here: https://adlendingllc.com/

Curious if anyone has had any experience with them?

Thanks!

@Kyle Thomas I'm not sure if I'd want to partner, but I'd be happy to be a second set of eyes on your numbers.

@Alixander Laffredo-Dietrich If you are open to a little bit of sacrifice, I would buy a small multifamily and rent out the unit(s) you aren't living in and then "House Hack" e.g. rent out the other rooms in the unit you are living in. I'm not super familiar with Richmond and the surrounding area, but I just did a quick search and there seem to be small mulits in "decent" areas in your price range. Maybe you need to do a little bit of work, but YouTube is great to learn that and most of the once I see appear to just need a little cosmetic work. I also don't know the STR regulations but you could potentially increase revenue by STRing the other unit(s). If not LTR them and or Mid Term portions. You have tons of options at your disposal and if you are ok sacrificing for a little bit (which I would assume the answer is yes considering your current living situation) I think you will find it one of the better ways to achieve your goals! Again, shooting from the hip here as I'm not familiar with the area.

@Brechman Dieujuste

If I understand your post correctly, you are looking to purchase your first deal. It's an out-of-state deal and consists of a portfolio of 60 properties. If this is true, them here is my response...

I'm sure there will be varied opinions on this. But my personal recommendation is to ignore this deal. You don't provide extensive details. While properties in Cleveland tend to be at more affordable price points (generalizing here) than other areas of the country, 60 units add up to a decent price point no matter where you are in the country. I don't think you should take on such a large investment at a distance as your first deal. Could it work out? Sure, it could. I don't know the details, your financial situation, etc. But in my opinion, you are taking on too much risk given your lack of investment experience along with the other details you've provided. IMO...Don't do it. Find something smaller to start.

With this said, I personally own properties out of state. I've been an investor for many years. Just like anywhere else, whether approaching a deal big or small...you'd want to build your team. Realtor, Property Manager, etc. Leverage these people's knowledge of the area, properties, price, rental potential, tenant base, etc. Way more things to think about than I've listed, but those are a few things to think about. If this really is your first deal, I'd much rather see you find either #1 something closer to home and probably a little smaller of a deal. (Not that someone couldn't take on a large deal to start, but if you are asking these basic questions around where to start, then you need to educate yourself a lot more before you take on something of this size. Ideally educating yourself by buying and owning someting smaller to start.) OR #2 buy something at a distance, but something smaller. e.g. a small multifamily 2-4 unit type property. Build your team. Get your feet wet. Build your knowledge. And then look to scale.

Good luck!