All Forum Posts by: Mitch Smith

@Michael Kodish

Hey Michael. Welcome to BP. I would be happy to connect. I live in San Diego and have been doing flips, new construction and buy and hold transactions in Indy for the last 8 years. I would be happy to share some info regarding the market there. Feel free to reach out with questions.

Thanks.

Mitch

Hey @Aaron fletcher

What is your exit strategy with this property? Are you looking to flip, buy and hold or use as a primary residence.

Your question regarding an agent is an interesting one. I am not advocating doing this on your own but let me just say that I bought my first investment property 2000 miles away with no agent. Did you know that your local office supply store sells a package of 25 Real Estate Purchase Agreements? 🤔 I am not advocating using these basic agreements but simply making a point.

Most people are so stuck on having an agent because they think it is required. A title company or an attorney can do the closing for you. And, most sellers are not looking to pay an agent for both sides of the transaction if the property has been sitting for awhile. It may give you a better shot at acquiring the property. Don’t get me wrong, I use agents every day in my business but they are definitely not required. That being said, an agent can definitely guide you and help to make sure you are protected if you are not comfortable with contracts and doing it on your own. Besides, the agent is a free service to the buyer.

In the end it comes down to YOUR comfort level. Just know you have options.

Good Luck. Feel free to reach out with questions.

Mitch

@Aaron Fletcher

Hey Aaron. Congrats on making progress on a potential offer. One of the things that was challenging for me to learn as I first got started was that an offer is simply you, reaching out your hand and saying "OK this is what I'm willing to pay, let's open negotiations." I think often times new investors get caught up thinking that they make an offer and now they're stuck buying a house that they potentially don't want. If you plan on using an agent for this transaction, please make sure that your agent builds in all the proper contingencies and due diligence periods that allows you to exit the transaction in the event that something would come up in title or the inspections. And please, always, get a good solid inspection with every Property that you are serious about purchasing. Good luck, and please feel free to reach out if you have any questions.

Mitch

@Alancha Thompson

Hey Alancha. 

First off, Congrats on getting started, reaching out to people ,and using BP as a resource. I would agree   with @Jonathan Greene on this. Your education is incredibly important and should act as solid base and general understanding for your investment decisions. That being said ..... It is also incredibly important for you to not just sit on the sidelines and become an eternal student of the game. When I first started, I was devouring information from Books, Podcasts, and forums such as this one on Bigger Pockets. When I decided it was time to make my first purchase, I did it out of state. At that time there were no books on the subject, and Out-of-state investing had not become a niche that it is today. I sourced my own deal, made a verbal offer on a property 2000 miles away, and to my amazement, it was accepted. Only problem was, I did not even have a purchase agreement. Did you know that you can buy a pack of 25 basic real estate purchase agreements at your local office supply store? At the time, I didnt either. It was through my actions and willingness to make a move that allowed me to learn and grow. Obviously I am not advocating using these basic contracts for your purchases, but simply to make a point. As important as education is, You need to start learning by doing. I have been flipping homes, purchasing rental properties and building new construction projects and developing neighborhoods for over a decade. I continue to learn new things every single day. One of the greatest pieces of advice I can give you as a new investor is continue to build and cherish your relationships. Some will turn out great, and others may be not so good. But all of them will be a lesson. I often look at my investment career like an old oak tree. If you were to cut it open you would see rings of slashes, burns, and scars. But you know what? Following those beat up rings which I call lessons,  you'll also see a couple of perfectly round years. Those were my years of growth. Overtime you'll discover that this journey is not a get rich quick scheme or an easy road. But in the end well worth the challenges that you may face. I encourage you to keep your chin up, keep learning and get out there and make a move. I wish you all of the luck in your investment journey and please feel free to reach out if you have any questions.

Mitch

@David Kuhlke

Hi David,

Great question. I am focused on both Marion county and the surrounding areas depending on my exit strategy. For my long term rentals and my flip projects I am looking at both Marion county and the surrounding areas. I tend to focus on C+ to B class areas. We have found a niche of purchasing duplex's in highly desirable neighborhoods, like Bates Hendricks and Fountain Square, completely gutting them, adding square footage, master suites and open concept living space. We are going through the process of replatting and rezoning these into two single family townhomes. It is allowing home buyers to break into neighborhoods that they otherwise may not be able to afford if they were purchasing a traditional SFR.

As far as areas outside of Marion county, we are purchasing anywhere from 3 to 10 acre plots and developing new construction projects. The population of Indianapolis is continuing to expand and the only way to go is out. Feel free to reach out if you have questions David and Good luck on your Investment journey.

Mitch

@Eric Lee. Hey Eric. Yes. I do invest in Indianapolis. I love the the market there. The population is growing, there is new business coming in and it will be a good investment market for a while, in my opinion. Feel free to reach out if you have any questions. I wish you luck on your investment journey.

@ALYSSA Feliciano

Hey Alyssa. Congrats on getting started. Looks like you are off on the right track. I agree with @Mike D'Arrigo. The Midwest is a great place to start. I too choose to live in an expensive market in SoCal, and choose to invest in a favorable one. In my opinion. Indianapolis will be a great market for quite some time. Especially in the 5 surrounding counties around Marion county. The population growth and new construction is all pushing outward.

Indianapolis is surely not the only good investment city but certainly is worth taking a look. Good luck Alyssa. Feel free to reach out if I can help in any way.

@Anthony DeMichael Hey Anthony, Welcome to BP. I applaud you for taking the first step, reaching out to BiggerPockets, and taking action. First of all, let me just say, there are a lot of differing opinions on whether you need a real estate license to become an investor. You will hear both sides..In my opinion, it is definitely not required, however it is the route that I opted to take and it has served me very well. If nothing else it got me talking to people and learning the lingo. It helped me learn what investors were looking for and why they found it important. That was well over a decade ago. And although I did not get my license to become an agent, I simply did it to help me become a more efficient investor. I would recommend you get your license and actually do a few transactions. Its a great learning process. 

I currently live in San Diego and do business in Indianapolis. For the last 8 years I have built my own rental portfolio, established an amazing out of state team, and do 15 to 20 new construction and flip projects per year. You are on the right track. Keep it up. Let me know if I can help or answer any questions along the way. 

Good Luck.

Mitch

@Brittany Lewis Hey Brittany. 

Fellow West Coaster. Welcome to the club of many California investors that have picked the Midwest as a chosen investment location. I began my investment career in San Diego and Los Angeles and quickly discovered that it would take me a lot longer to build the portfolio that I wanted if I continued only doing business here. So I made the decision to live in one of the most expensive markets in the country, and invest in one of the most favorable ones. I've been doing flips, new construction and buy and hold transactions in the Indianapolis market for the last eight years. I have definitely had my fair share of bumps and bruises ,but I have now built an amazing team that helps me in my 15 to 20 new construction and flip transactions per year. I have nothing but great things to say about the market there. Although, prices are significantly higher than they were even 3 year ago. My personal opinion is that the Indianapolis market ,and the five surrounding counties around it, will be strong for the next 20 to 30 years. Feel free to reach out if you have any questions, I'd be happy to help you or answer any questions that you might have.

Good Luck.

Mitch

@Clay Manship I would tend to agree with Clay on this. I currently have 3 active flips going in Bates Hendricks. 2 of them came from MLS leads. While wholesalers are a great resource, there are still gems on the MLS. It's about surrounding yourself with a great team to help you source those leads. How do you get a great team? You build a network, develop, foster and nurture relationships. You fall down, you get back up and you learn from your mistakes. You understand that the real estate game is not an overnight success story. It takes time. Like the rings on the inside of an old oak tree. You're gonna have scars and notches. But over time you will also develop some perfectly round years.

I would say just don’t be discouraged. Be aware of your mindset. There are definitely deals out there. Just keep pushing forward.

Good luck.