All Forum Posts by: Mike Dorneman

I've developed a love / hate relationship with Stessa over the past few years. Simply put, when it works, i love it! Unfortunately, there has been little love over the past several weeks... :(  The major issue is Stessa's inability to keep your bank accounts successfully linked. For some unknown reason, my "bank connection" has broken and Stessa's tech support is unable to fix it for 4 weeks now. Thus rendering my account useless. The tech support is terrible. They have a "Chat" feature, except they don't respond for about 2 days!!! How is that a chat feature??? I mean, it actually tells you in the chat box that they typically respond within 1-2 days! LOL Come on now guys! Then you receive an email and it says the problem is usually resolved in 2 weeks. How is a property manager expected to run their business with no daily tracking software for 2, much less 4 weeks!?!?

Bottom line, looks like they grew too fast and now can't support their customers, or just don't care to. 

It sure would be great if someone from #Stessa would read this and help us out, but I'm not holding my breath. 

What's everyone else using?

Can anyone share their feedback on the App (RentRedi)? I have 18 units and need to start using a new app to magnate income rents. I believe the fee is o let $1.00 per ACH transaction.

Thank you

@Sean Ellis Check our listsource.com

You can purchase specific lists in your desired zip codes. You can filter by many options, I usually start with absentee owners (means owners mailing address is different than the property address = rental property). I like these prospects because many landlords actually hate being landlords and would entertain an offer.

As for your marketing budget... If $100.00 is your max monthly, your o pay option is really sponsored Ad’s on Facebook. That said, $100.00 is t going to get your many eyes.

@Jack Grebin Hit the road Jack! 😁 You’ll be shocked how many for rent or for sale by owner signs you’ll spot when you are looking for them. Get in your car with a map of your target neighborhood. Drive each and every street, don’t miss any.

Ive always had luck with Craigslist and FB Marketplace as well, but that’s obviously going to be dependent on your area. Good luck and happy hunting.

@Sam Shinn A like to share leads with my local REI group. I found them on FB and we meet locally monthly at a coffee shop. This is how I found the commercial lender that I've been using for the past few years now. Great resource and most are will to share and won't look at you as competition.

@Jay Libowitz I do this frequently for clean outs of holds especially over the colder winter months. The utility companies will turn the service on/off for 1-2 days no problem. Simply call and schedule the service, then have your tenant set up service for their move in.

@Rachel Kim No, that would not work. You must be able to create a significant amount of equity through forced appreciation to make the BRRR strategy work.

@Ducote Kiernan I am not an account or an attorney.

I would connect with your accountant and look into moving your portfolio into a trust. If you truly have no need for the gains and wish to limit your tax exposure, this could be a viable option. Even if you don't "pay yourself" through tour LLC, you'll likely still show gains which will be taxed from the LLC perspective.

@Ryan Nolan so with closing costs let’s say you land at 87k and rehabs being what they are, go a bit over and you need to put in 18k. You’re now in for 105k.

Now we factor in your holding costs during the rehab period and the time In which you list the door and it actually sells. Also add in your realtor commission and transfer taxes when you do sell. If sold for 125k, those fees and closing costs will be about 9k.

Puts you at 114k, plus your holding costs.

Best case you make about 8k and that’s if all goes perfectly. Then you need to pay 30% gains to the tax man on your profit.

I would walk away unless you can get a better price.

Don’t let this discourage you, there are plenty of great deals out there with much larger margins. Best of luck!

@Rachel Kim Most of us do what is referred to as BRRRing. If you search BRRR in the forums, you'll find tons of info. Basically, you purchase a property, renovating it, (increase value) rent it out, (to show income) then Refi. (Cash our refi, get your initial investment and Reno cost back). Repeat the process over and over. 😁