All Forum Posts by: Heather Morgan

Wow, I had no idea room rental was illegal. Glad I didn't take that advice! LOL

The homes I've bought were also reposed foreclosures due to mortgage fraud but I was lucky to get newer homes for what I assume is a decent price. I'm definitely looking to get my purchase prices down going forward so I can get a better ROI. Thanks again for all your feedback!

We may be property neighbors :)

Have you ever done room rentals or do you do single family leases? I'm asking because when I started looking in that area, a few of the homes I looked at were being rented by the room and from what I was explained, was a profitable and popular method for owners in that area.

Did you buy homes that needed much work or were overall move in ready? I'm asking because I usually buy 2006 or newer homes but am thinking of taking on something older and was wondering if you've had luck with contractors, repairs people, etc?

If you are not using section 8, how are you finding your tenats? ave you had lots of issues with your tenants?

Thanks!!

Hi Rodney! I currently have a property in 30315 and 30310 and am actively looking in the 30314 zip. I've found one that I like (on a quiet st, an older property that needs a little tlc but not much, reasonably priced, and is large so I'm thinking it may be a great buy because of the colleges near by) but just wanted any insight you can provide regarding what you've learned regarding this area?

I ultimately think that with the development of the new dome this area is going to come back strong. Your thoughts?

Thanks for any suggestions and feedback!

 Hello!

I have a couple of rental properties in Atlanta and they too are in low income areas somewhat near the beltline (30310, 30315). I was wondering are your tenants on Section 8?

The most recent house I bought was in 30310 and AHA did not approve the home because of the number of boarded up/vacant homes further down the street. Luckily I found some great college students and there hasn't been any issues but I am wondering about the nature of your tenants and if buying in this area has adversely affected your ROI, tenant pool, quality housing purchasing option, etc.

Thanks!

@Dustin White 

I would love to find a property for $30k that only needs $5-10k worth of work. In the market I'm in its very rare...and if you find something like that, its usually not in an area someone will want to rent in...or a tenant I would necessarily want to rent to. Even Section 8 has certain neighborhood stipulations that limit them from approving homes in certain neighborhoods.

Thanks again everyone! I guess I needed to hear experienced perspectives and this definetly helped me!

@Joel Owens I am trying to evaluate my long term goals/plans now which is why I think the initial question even grew in my mind....If I'm putting (on average $20-$25k initial investment) on a rental property, have to wait approximately 5 years to see my initial investment returned, and to run into possible tenant, repair issues as the years progress, am I doing the right thing or am I better off leaving these annual $20-$25k investments in the bank?? Obviously no bank is offering that type of interest return so my money would not grow as fast but I also won't have to deal with potential unforeseen issues properties bring.

Initially, I thought, I'll buy at least 2 properties a year, sit on them for as long as I can, hopefully make a nice monthly net return and eventually sell them off when I'm ready to retire. What are your thoughts about that? Am I naïve? Is this realistic?

But I do love the hunt. I love finding properties, getting the work done, finding a tenant, etc...so I am passionate about real estate but I'm also passionate about investing wisely and seeing my money grow the best way possible.

I guess being a yopung investor I just want to hear that I'm doing the right thing from more experienced investors...and if I'm not, advice as to a better route to take.

I'd just like to say a HUGE thank you to everyone who responded!! It means a lot to have people who you can bounce ideas, doubts, mistakes, etc off of!

@Paul Timmins 

Would you elaborate on the "tax advantages". The properties I own are fairly newer properties so I don't have high repair write offs come the end of the year. Besides the basics (my mortgage interest, and other small things) I never feel like my write offs seem to add up to much. Can you cover some that I could very well be over looking?

Thanks again everyone!

Hello. I am new to the forum and tried to do a search so forgive me if this is a repeated question...

I purchased my second rental property in Atlanta last year. The purchase price was around $85k. I put down 20% and after minor repairs, carpet, etc., I spent about $25k(including down payment and closing cost) out of pocket.

I rent the property for $1100 so I am making a decent return after my monthly mortgage and taxes.

I guess my question is...is it all worth it? On average, after a few additional repairs once the tenants moved in, the lawn services and other miscellaneous cost, I will probably net around $4,500 over the span of this tenants annual lease. (I don't use a property management company, the teants pay utilities, so they aren't any additional cost I'm not factoring in. All I cover is the lawn, taxes, mortgage, sewer, insurance which monthly runs me around $575)

I love real estate and want to buy more homes but am feeling a little discouraged when I think about the amount of money I put out, and the amount of time it will take to recoup my initial investment.

So I'm asking....Is it all worth it? Am I doing something wrong by having to put out so much money? Is my output/return normal?  

Is this just the life of an investor? I guess some positive reinformcemnet or encouragement that this is the norm is what I'm hoping for. But on the other hand, I would LOVE and greatly appreciate to hear what I'm doing wrong. I am eager to lear as much as I can.

Thanks,

The newbie!