All Forum Posts by: Nico Viola

Hello BP,

I am new to BP but not to real estate investing. I currently own or manage operations of properties throughout the Cleveland area. Everything from single family homes through mid-rise buildings.

Investing is not my full time job. I work for a large national restoration company as a Project Manager overseeing large loss or commercial/multi-family renovations. In the past I worked as Director of Facilities for a national real estate company based in Michigan.

I hope to learn as well as share advice with fellow investors here.

Nico

Margins are the name of the game. Volume is not the way to go at all in my opinion. I'd rather wait to find the right deal that is going to make for a nice payday then pick up a bunch of properties that will each make a smaller return. 

Each deal is different. My strategy on a buy and hold is far different then on a flip. With a buy and hold I am looking at long term ROI. How much will I make annually in rent and how much will I net off the sale of the property down the road. These are investments I make in areas I expect values to raise significantly down the road and I am willing to take a lower margin in the short term for the large payout in the end. On these deals I am still looking to clear 20-30% annually.

On a flip, I want to be in and out ASAP and make a minimum of 30% ROI otherwise its not worth my time. Everyone has there own strategy but the numbers don't lie.

Ben,

I agree with all the above statements. For a first timer your own back yard is the best place to start. You already know your local market, the nice areas and the places to avoid, so it makes it easier on you to know if it is a good deal or not. Start close and expand outwards. With time diversify outward and acquire in different areas. 

Personally for a first timer a single family or duplex is the way to go. Less headaches dealing with less residents. I own/manage a mixture of properties in the Cleveland, OH area and the single families are the ones that give me the least amount of headaches.

Lastly, never discount your gut. More then once I have looked at properties that on paper were very appealing but just gave me a bad feeling for one reason or another. If you feel uncomfortable with a deal, there is probably a good reason.