All Forum Posts by: Michael K Gallagher

@Jake Davis I currently use the BP calculators, but like you I started with just plane old google sheets or excel.  Built something similar to you it sounds like and just did it manually.  In order to incorporate what you referenced, current market data, comps, etc I just did those things manually via Realtor .com, also get on the email newsletter of my realtor.  She sends out local market data monthly on house prices/costs/transaction numbers etc.  Realtor has a decent "recently sold" filter that is helpful also for running your own comps if you don't want to bother your agent.

I'm a fan of doing it this way and manually in the beginning because you really learn the math and how different levers that you pull effect the outcome of the returns calculations.   

I used Zillow to list my property and to screen tenants.  If you are looking for Zillow to make the decision for you, it will not do that.  But if gives you all the data to make the approve/deny decision in under 5 mins.  The only supplemental thing I did was to call previous land lords for references.   

@Erwin Groenendijk Thank you for all the insights.  Barcelona, and the Riax Bias region are on My wife's and my acquisitions list for sure!  So this was a super helpful thread!

Does anyone out there have similar experience or insight with Scotland?  I'm looking to understand what the limits or regulations around buying property in the Edinburgh, and Oban/mull areas are.  

@Joey Copper interesting post, My issue with just hiring a property manager is that like most things in RE there is a crazy low barrier to entry, and therefore the vast majority of PM's, REI's, Agents, contractors, etc as quite frankly garbage. So my desire to do it myself came from the desire to know what I'm looking for when I do go hire someone. I only manage one unit at the moment, and its a house hack so its pretty easy...I also considered it a business from the beginning and set it up as such. My main objective was to learn it so that I know what I'm looking for when I hire it out. I don't mean this to be pomposity or anything but if I'm hiring you to do something you better be able to do it faster, better, and of higher quality than me, otherwise whats the value add to me?

So if I set myself up to be an elite property manager, I figure I have two exit strategies, either just train people to do it for me under my own company, and hold them to my same cultural and productivity standards....or if I do go with another company I'll be able to confidently pick a fellow elite manager to do so.  

@J Scott It was a fantastic episode!  I was essentially mowing my yard listening to that episode and stopped mowing and added the book to the top of my "read next" list standing in my back yard.  

I'm only about 30% in and am loving how many of his concepts have crossover to "root cause analysis" and "5Ys" and many of the standard problem solving and Six Sigma principles that you learn in manufacturing.  I think that's primarily why it's been such a lightbulb moment...or book rather.  

@Dwayne Johnson Not sure if you are still looking for recommendations or not...but I just started "fix this next" by Mike Michalowicz and it is a game changer! It's not specifically an REI book but it certainly applies to any business in general.

@Mike Dymski Absolutely fantastic congrats! I assume you are looking for something more productive then...."buy a porche!!" I think it depends on what you are passionate about, or what you want to do. Obviously many people on BP will say dump all that into some cash flowing property...which I'm a huge fan of and you really can't go wrong there. But if you don't enjoy REI that much then maybe it doesn't do it for you. Or if you like the RE side of things but don't want to be as active, I have several friends making great returns in their SD Roth IRA's. They basically max out those after tax contributions every year and lend it out to flippers and such to get some big returns. As we've heard on the BPB podcast their are plenty of small business out there that need taken over...perhaps there is a local business you love and would love to see do even better under your tenure.

  So I guess I'm saying make sure whatever you do with it aligns with either you and your passions...or with your goals.  but don't be afraid to stretch outside your comfort zone...especially now where your downside is very low.  

@Ronnie Allison The One Thing by Garry Keller is a major one for me...really helped me in my day to day.  

@Matt Jones fantastic questions, I'd have to say the biggest lesson I learned is that at the end of the day we are our own biggest limitation.  This experience has taught me that at the end of the day all I need to do is be disciplined and go after what I want, and that my effort, or lack there of, and discipline is all that stands in my way.  Stupid and cliche I know, but this entire situation has brought that out of me.  It's been somewhat of the "weed out" class for productivity for me.  

@Brady Salcido 

I am located in central Ohio, so I'm a bit biased to that area, I am a big fan of the area for a couple of reasons. 1) There are major employers in the area that continue to expand. These include Abott labs, Honda, Facebook, Amazon, JP Morgan Chase, Nationwide, Root Insurance.....The list goes on. 2) Logistically you can get to, I think its 80ish% (don't quote me on that number), of the continental US within a 12 hour drive of Columbus, so it will remain a logistical hub. 3) Then there is also Ohio State or "THE" Ohio State as all the natives like to correct you...so that is an economic driver for sure.

From a REI point of view I really like that the cost of either a Single Family home in the burbs, or a duplex 5 mins outside downtown is attainable, even for a "normal person" with a day job. As an example our current duplex was 100% flipped, like gutted to the studs and re-done flipped, about 2700sf total, and we paid $318K for it. I also like that there are a couple "trendy" areas, that are leading the charge in bringing people (like my wife and I) out of the burbs and back into the city. The city is also offering 10year, 100% tax abatement on most areas immediately outside of downtown (with a couple exceptions).

I don't know areas like Cincinnati, or Cleveland as well, but again generally you will just find that your dollar is going to go a lot farther. I have heard good things about Indiana, and Kentucky as well.

But if you have any questions, or just need some general guidance of where to start/look in the area, or really anything at all, don't hesitate to reach out. There are a couple of us on here that are on the ground and in the forums all the time that are big fans of the area, so even if it isn't me someone will chime in with some good opinions/info.