All Forum Posts by: Nick Holland

Thanks Greg! That makes sense and is where I was a bit confused re:up-front vs on-going. So just to make sure I'm not analyzing wrong, I can have the figure for my rehab budget listed as my up-front, capex, right?

I'm doing an analysis on a 13-unit property from a land bank property in my area. The property will need a total renovation and I'm not sure how to properly calculate my CAPEX. Since big ticket items will need to be addressed in the rehab budget, how should I calculate this? I have been using 10% for CAPEX as of now but not sure if that matches this situation.

THANKS for the advice Sheryl! This is SUPER timely as I was analyzing a cheap sample property here in Atlanta last night (to get analysis reps in) and came to the same realization. A big take away I've learned in the past week is to not let the big numbers scare me and to pay more attention to the %s behind the deal to see if it's a good investment.

I'm sure I was too broad with naming so many different markets when I'm just starting. For me - I just needed to get the big picture out of my head and written down. I definitely plan to focus on Cleveland and Detroit to start out and then see if I can manage other markets after that. I've heard great things about the Philly market which is why I mentioned it, so I'll definitely be keeping an eye out once I get some more experience. 

 I only have an interest in Atlanta because that is my current location. My main interest is in the mid-west markets I mentioned, specifically Detroit and Cleveland. I'm interested in Detroit and Cleveland because property prices appear lower out there for a lower barrier to entry and I'm familiar/have connections within those cities. The plan is to get started in those two cities, learn from my mistakes and then venture to other markets mentioned like Chicago, Philly, Atlanta and Kansas City. 

Thanks for the encouragement Marc! I've visited KC once with a friend of mine who is from there and it reminded me a lot of what's going on (and what could happen) in Detroit. What got me interested after the trip was coming across a few articles on how KC has attracted new companies there recently and how it's one of the more innovative/forward-thinking cities in the country. Good to hear about unemployment and job growth % from someone on the ground there. 

 Thanks for the info Bill - I'll check them out and see when their next meet up is!

I haven't been to any meetups but I recently attended an REI seminar in Atlanta and have reached out to a realtor I met there. I'd love to connect! I'll send a request and we can chat from there!

Hello all - I've been reading the BP forums & books, listening to the podcasts and watching YouTube videos on REI for the past few months now and decided that 2020 will be the year that I stop being nervous and take action! I've started putting together a plan for me to "buy back" my 8 hours that I spend working for someone else via REI and am looking for guidance to help me figure this out and avoid common newbie pitfalls. I'll share what I'm working on and will try to be as detailed as possible.

Interest: Rental properties/Fix & Flip (depending on what the numbers say makes the most sense)

Goal: Own enough properties to generate $6k/month in order to quit my current job. Next step is to scale up to $10k/month, $20k, and so on. I'm open to being pretty aggressive to scale quickly. 

Markets: I'm interested in the mid-west markets because I'm familiar with them and have family resources there (my cousin remodels kitchens/bathrooms) that I can use. I'm interested in Detroit, Cleveland, Chicago, Kansas City. I'm also interested in the Philadelphia and Atlanta (my current location) markets.

Profile: I don't have much big debt besides my auto loan which is about $7k right now. Student loans are paid off (THANK GOD!) My credit is 700+ and I have a little under $40k saved up. I'm a great saver and have been building this up for some years without having any real plans on what to invest it in. I've set up my new LLC and company bank account as well.

I'm currently working with a friend of mine on obtaining financing to purchase a property in the Cleveland area. I'd love to have other deals in the pipeline as well but I'm scared of biting off more than I can chew, especially since the first deal isn't done. The plan with the Cleveland opportunity is to obtain 100% financing to purchase & renovate and then to rent and refinance or completely flip it. We're still in the phase of getting approved for loans. I'm also on a local Atlanta realtor's email list and see a few wholesale deals that I think could be profitable but am nervous about spreading myself too thin/jumping in too deep so early in my REI career without having someone that I can call on for guidance.

If anyone has some tips/steps that I can take immediately or insight on these markets, please let me know! If there's anyone out there (I'm in Atlanta but you don't have to be!) that I can connect with 1-on-1, please let me know! If anyone has feedback/questions on my plan or anything else above please let me know! I'm a sponge right now trying to learn and take as much action as possible. 

Thanks BP crew!