All Forum Posts by: Nathan Greeney

I'm about to dive into the driving for dollars method and would love to know other people's views/experiences on these two companies as well.

 Thanks for the suggestion! I actually have the book but it is on a backlog of books. I'll have to check out the pages you mentioned and see what I can figure out from the PM. 

Recently had a property management decide they did not want to manage my property anymore after just 6 months. Looking to get a reason for the sudden end but means I now need a new manager. Anyone out there have some good experience with any? 

I am looking at a property (4 actually) that the seller wants to sell as a single sale. I think they are selling it for a price that you would be able to flip and make a profit if sold individually. I'm thinking I would need to get the seller to accept 4 contracts that would each be assignable to allow me to be able to wholesale them to individual buyers. Is that correct? Or does anyone have a better way of going about this?

Investment Info:

Single-family residence buy & hold investment in Waco.

Purchase price: $120,000
Cash invested: $47,000

Bought as a 3 bed 2 bath and turned it into a 4 bed 2 bath to rent out.
Updated the two baths, kitchen and flooring throughout in addition to adding the 4th bed.
Renting for $1595.

What made you interested in investing in this type of deal?

Decided to start my investment portfolio with SFH that are in decent areas to attract families. This would limit the damage to the property and hopefully reduce the turnover of renters.

How did you find this deal and how did you negotiate it?

I found a high producing team and reached out to their lead realtor that I was looking for investments in Waco. They passed me along to on of the other realtors in their team and we worked through what I was looking for in a place. Looked through many deals and offered on a few, one that got accepted even but eventually fell through. I believe this helped show that I was serious though and eventually was shown an off market deal when we made the effort of taking a trip to visit in person.

How did you finance this deal?

Financed with a conventional loan with 20% down. $23,000 down.

How did you add value to the deal?

Had the property manager renovate the two bathrooms by almost gutting them and renovating with modern styles and materials. Kitchen was also renovated by refinishing the cabinets to a white, new counter tops, new flooring and new appliances. Turned an extra living room or (formal dinning room?) into a 4th bedroom. Refinished the hardwood floor in the rest of the house as well as minor touch-ups as well.

What was the outcome?

Looking for a renter by the start of next month for $1595 and should end up cash flowing around $235 after my expenses and repair budgeting.

Lessons learned? Challenges?

Relationships can make or break the deal. Renovations became more than originally estimated but thanks to a new budding relationship with the property manager who was taking on the renovation work we were able to limit how far over budget it went.

All the great ideas and input makes me wish I had jumped in sooner to posting on the Forums. Thanks everyone.

@Jaysen Medhurst and @Karen Margrave, great input for keeping in mind of what kind of tenants would be good renters for a shared house. I had thought of the College aspect since that's partly what made me like the idea since I live close to a college town here. But the active seniors side of things I think I love as that group I feel like would be a great demographic.

@Luka Milicevic I think I will hold off on Nashville for the time being due to my limited knowledge of the area and your input. I will keep you in mind if I revisit it down the road though.

@Shital Thakkar I think I will look into some tertiary markets around Dallas to see how I feel about those areas.

Thanks again everyone for the help! 

@Ali Boone, looking with a focus on long term cashflow. So most likely a rehab of some sort that wouldn't need to be producing a ton of cashflow initially but after fixing it up it should be producing an OK amount of cashflow for what amount of equity I have in the place.

I really like the idea of the BRRR strategy and will probably aim for that. The other idea I like is the idea of renting to individuals on a room by room basis of a whole house. Heard that on one of the BiggerPockets podcasts and have had that lingering in the back of my head.

@Jaysen Medhurst

@Jaysen Medhurst, I have not looked into the outskirts of those cities yet but I figured I would once I narrowed it down to a single metro area. 

Thank you both for the input. It is definitely helping.

Just wanted to finally say hi on this forum. I have been a lurker for a bit over a year now and I think I am finally mentally ready to actually start taking some action. 

I think my problem has been too many ideas and not enough of a focus and then add on that I am in the Denver area so prices are not the friendliest.

I have gotten to the point that I am going to start looking out of state for rental worthy single family homes with 2+ bedrooms in the 100-200k price range.

As for where exactly, that is where my question lies. I am looking at Reno, Phoenix, Dallas, and Nashville. The first two because we have parents in both of those locations...so it would be easy to merge visits to the parents with visits to rental properties. But we are not fully sure how much help they would be in terms of knowing the area as both sets of parents seem to have their own strong opinions on how things should be done which do not always line up with what we have researched.

So my questions is, what are peoples opinions of these 4 locations?