All Forum Posts by: Randy E.

 No, it's easy to imagine Fox News reporting that.  What's hard to imagine is that anyone would believe such a Fox News report. ;-)

 That's what I thought, too.

 The same for me in my market.  When I got in, I was sad because there were a lot of properties at that price point that lingered on the market for months but I didn't have the money to buy more often.  Now, any house listed at that price point sells very quickly, and sometimes for more than list price.  It's very competitive now!

I'm ready to buy two more properties and it's proving difficult to find and get a contract on the right ones.

Christopher, with my sub$30K properties, so far I've replaced the plumbing and electrical every time.  The entry price point is low enough that this isn't an onerous expense.  Besides, the houses I buy were built 70-90 years ago and haven't been updated in decades, if ever.  

That way, I never have to worry about repeat calls for electrical and plumbing problems.  It's great to not have to worry about that.  I feel I need to do it, but it also brings me peace of mind when I rent to the first tenant.

I in in the Sub30kClub.  I started out doing that because that was what I could afford AND the numbers proved that it could be successful.  I could probably exceed $30 with my next investment, but most of what I'm looking at is below $30.  I figure that by the end of the year, I can purchase one $45K investment, or two sub $30K investments.  The $45K investment might rent for $850-$900, but the two sub$30K investments will rent for a total of $1300-$1400.  The numbers tell me which way to go.

You may not have to evict, but you're probably going to have to do more than just hope he moves out because you remind him he's late on the rent.  You're going to have to get a little forceful in your delivery to him -- not angry or argumentative, just forceful.  State very clearly that if he can't pay by the end of the month that you expect he will move out by the end of the month.  You may have to say it two or three times in a few minutes time for it to sink in.

That approach usually works for me.  I've been managing property for many years and I've only had to go through the legal eviction process two times.  You run into the occasional hardhead every once in a while who wants to explain why he/she thinks they can hold on another month, but most people understand.  The problem is when people are broke and have no where else to live, they try to hold out for as long as they can.  It's your job as a landlord to let him know he can no longer hold out at your property.

 Chad, I didn't realize the property was 30 minutes from you.  In that case, I'd suggest you just have the tenant mail the payment to you if they can't pay by computer.  None of my properties are more than 10-minutes from me. 

Also, regarding timing, I never go to pick up the rent unless I've talked to a tenant first.  Usually, I'll get a call a few days before the first saying something like "can you come at 9:00 Wednesday morning to get the rent?"  On that morning, I'll text to verify, take the kids to school, drive four minutes from the school to the property, collect the rent, and be on my merry way.

Good luck,

Awesome!  That's a dream deal.

 Frankly, if someone has poor credit and no money, what do they think they have to invest?

To invest requires a person have some money to invest in the first place.  If a person has not saved any money and cannot borrow any money, they need to get their financial house order so that they might one day invest.  

I'm glad you were able to find a way to earn a living and keep your lights on, but I think you're wrong to bash B&H as an effective method to invest and build for one's future.  You did it wrong.  Many people are doing it right.

Good luck in your future no-money-down flips!

I'd rather have an additional property, but I completely understand those who would choose to improve a current property for increased rent.