All Forum Posts by: Noah Chappell

@Account Closed sounds like you're in a good position man. How much capital do you have? Probably best to pretend you have 10% of what you actually do, put the rest in a separate account, and use that 10% to get going. I think being well capitalized from the start can be a problem.. too easy to buy bad deals, no impetus to grind and develop that skill set. The last thing you want is several large poorly performing out of state properties and no money.. recipe for disaster. 

@Ty Jackson you could probably google search Real Property Specialist MN board certification and find a list of RE lawyers who would help you out. 

@Matthew Gainey as stated here the "2%" rule is really not a rule at all but rather a specific outcome of the rent to price ratio. It's a guideline to use in your market to determine preliminarily if a deal makes sense at all. For example, in my market I know a 1.3-1.4% deal would start to make sense from a cash flow perspective, depending on how the utilities are decided up, etc. So a duplex for 200k receiving $1300 each unit monthly would be great, were as 1000 a unit would not. A lot of times to get an acceptable rent/price ratio these days in this market, you'll be looking at a value add component, welcome to real estate! 

@Brian Garrett do you think it would help to go back to basics about how your finding deals? Are you out there walking/ driving for dollars to find the mom and pop operators who aren't listing or connecting with the broader network? Might be something to try. 

@Alia Ali congrats on making the decision to jump in! 

For a house hack, I think primarily you want to find a neighborhood you're comfortable in, then try to find the best deal possible within that neighborhood. If you're not comfortable you won't last long. When you find several neighborhoods that could work, maybe try reaching out to owners of houses you're interested in to see if they're willing to sell. If I were you, I'd try Midtown/ Ventura Village/ Phillips/ Powderhorn in Minneapolis, or Midway/ West St Paul/ Payne Phalen in St Paul. I recently went to Dayton's Bluff and it was amazingly nice with relatively low prices. 

I'm not a wholesaler and would never never never plan to be but off top of my head I'd think about what type of ppl would want to sell their houses cheap - ex areas with lots of run down rentals owned by out of state owners, lots of retirees with equity, etc. A neighborhood full of young millennial families who put 3.5% down on a 400k mortgage 2 years ago would not be the neighborhood to look..  

@Victor J Delarosa I'd invest in greater Chicago but on the Indiana side to avoid the high Cook County taxes. 

@Evan Kraljic love your thought process with that 4 plex! 

@Scott Passman thanks for sharing!! 

@Abraham Reddy we're in the same boat, I'm also sitting on some money, was waiting for the supposed "correction" early-mid next year, though I've come to realize the market fundamentals both locally in Minneapolis and nationally remain strong, and paired with rental assistance, etc, approved in the new stimulus package, I suspect prices will only continue to rise. I did see that nationally Minneapolis did take a comparatively large hit price wise, at least in the single fam market, so I wonder if although it's a "seller's market" it's in fact the time to deploy some capital. With all that said, a good deal is a good deal in any market, and I think it really just comes down to grinding away.  

@Anthu Tam by posting on this forum, you've shown you've already stumbled upon the source of as much info as you'll need to become very knowledgeable. At this point you really need to be a sponge. Try to read and understand pretty much every book by Brandon, listen to every BP podcast episode, and include some other real estate podcasts as well in the rotation. Eventually you'll find 80% of the core information will be repeated, then you'll know you've got your mind around the fundamentals. At this point get clear on your niche, timeframe, goals, and jump in. Avoid shiny object syndrome. Ex if multifamily buy and hold is what you're after, go for 2-4 unit properties from the beginning, and stay away from single family, etc. Only flip for profits to fuel you're multi family pursuits. Good luck.