All Forum Posts by: Alex Brookbank

Late on this thread, but wanted to add my .02. Neighborhoods like Oakley, Mt Lookout, and Columbia Tusculum, in my opinion, are effectively permanent extensions of Hyde Park at this point. Norwood can cause confusion because, as a whole, it is MEH. But the area near Rookwood is absorbing young professionals that don't want to pay the Oakley price tag at a very fast rate. I know, I've lived in this area for 4+ years. Chipotle and Jimmy Johns are doing well in large part because of this population. I'm a believer in Pleasant Ridge, it COULD have slightly higher appreciation (relatively speaking) than Oakley and Norwood. Because Norwood and Oakley are both popping right now, particularly Oakley. People love Oakley, its brand name is really hotttttt. But Pleasant Ridge is a trending "name" around town now too, and the first phase of new bars and restaurants in Pleasant Ridge has happened. TBD if the second phase occurs, if it does, should be a nice little pop just like Norwood and Oakley. There IS a formal plan submitted to the city of Cincinnati for a redeveopment of Pleasant Ridge's core business area. I don't have the link, and I don't know its current status. However, it is worth noting that I am biased because I have purchased a single family residence there. I know that @Adam Curry likes P Ridge too.

As far as lenders, @Todd Dexheimer - @Jon Gluckman at US bank is knowledgable.

@Todd Dexheimer I would agree with that assessment. Although I think it is fair to say that as a whole, the city is marginally trending upward - but a sizeable piece of the city is definitely in a growth phase - primarily - downtown/otr/the banks up through the 71 corridor. As far as 10+ units goes, I don't know. But the 2-4 space is competitive at the moment.

Interested in a HELOC on my primary residence, which is a triplex in Cincinnati. Looking for a lender that will do 85/15, and uses an appraiser that understands what is happening in Norwood's presidential district (near Rookwood, Oakley, 71). I've lived in the property since May 2015.

@Account Closed be honest with yourself. If you quit college, are you going to be a real hustler and go full-throttle? If not, stay in school, control your debt level and get a practical degree. If you quit, I'd become a real estate agent now.

The best blend may be what others have suggested, do both at the same time. Go to school part-time and work full time.

I've thought about offering it both ways but I'll probably stick to one (online).

NO - I don't need any of their information, just their email address (to send them the application link). They fill out everything I need in the application @Jeremy Sanders . Regarding paying rent you can continue to use cozy for that or choose another method.

@Jeremy Sanders

 To set up the showings it's via text, email, or phone. Just depends how they reach out. During the showing I usually get a sense. Sometimes I'll just wait until they bring up filling out an application or "next steps". I tell them I use a third party website and I'll email them the application link. Before I send it I let them know it's $35.00 per person and it is a credit and background check.

I use cozy .co . They have an application link that you can just copy and paste. One downside I've noticed is that I don't get quite as many applicants ... probably because they are not filling out the application "in the moment" anymore. And going home give's them an "out". Some people just aren't comfortable with any type of confrontation (they will say they are interested when they are not, etc).

I email them the application when they are at the unit, and they fill it out later. If they are interested they basically do it within 12 hours. Once the application is done, it's typically a new tenant. They already know what the security deposit is, what the rent is, etc, cause this is in the listing and I talk about it when I'm showing the place. Filling out an application means they want the unit, and you have a high chance of actually closing and getting a lease signed.

There's definitely moving pieces - it's just something you have to figure out. They are ready to move in in usually in 30-60 days. Timing's gotta be right. Sometimes I'll sacrifice a month in rent just to lock up a new tenant. I'm super leery of anyone that can move in "tomorrow". Unless they are young and still living at home post college, etc.

@Jeremy Sanders Use the stacking or "open house" model. Once you place your listing online and people start responding, tell everyone that showings are available between 12-2 this Saturday. Don't try to set up a private time for every person... you'll get burned out. Only half the people that say they are gonna come actually show up... or skip it and want to show up next week, etc. Also, when potential tenants are coming and going, they see each other and it creates excitement/demand. I call this phenomena "artificial demand" ... haha. I am tweaking the supply demand curve by making my property appear more desirable.

I've also learned to do online applications. They fill out the applications online and a third party runs the credit check and background check for me. Plus it makes tenants feel more secure(because they don't have to fill out a paper application). And it's delegating by building better processes so it is a win win win.

I just try to listen and be a strong communicator, that's really the key. My most recent showing had a horribly ugly outdated kitchen with wood-paneling. But my pitch was that that's why the rent is lower for this unit then my other units, it's not the cutest but it is functional. If you're okay with not having an updated kitchen/bathroom, but want more space, and an affordable rent, then this property could make sense for you. I just try to communicate the truth of the property/neighborhood.

@Jeremy Sanders typically the age of the property does not affect a loan approval or denial ... but it would influence your expenses. If the property is brand new you won't be spending very much on upkeep.

I don't have experience with the 203k loan, yet, but I have purchased an owner occupied duplex with a FHA loan. I've lived in two multi family properties so far.... so far the experience has been good. My second deal was a little bit better than my first, because it needed some work, was kind of ugly ... so a lot of buyers weren't interested. My first property was an OK purchase with great curb appeal, we sort of got lucky because we bought it in mid 2012 ... at the tail end of the real estate bottom. Even then, it turned out to be an OKAY deal regarding cashflow, but a pretty good deal because it appreciated pretty fast in three years (good curb appeal in growing area).

In terms of rent, that's a tough one unless you really have your finger on the pulse. If you're currently not a landlord, I have three recommendations. One - pretend you are interested in renting units and schedule showings with other landlords in your area. Two - look online at Zillow - although my experience is that market rental rates for Zillow are typically slightly lower than average (this is because the units that most people don't want to live in stick around longer than the more desirable ones, which rent at higher rates). Also I've learned that rent is also just as much dependent on sales and marketing skills as "what the market can bear". Three - ask realtor/property manager.

Typically what works for me is I try to get beat-up properties in 'b' areas or on the edge of 'a' areas. Or I try to find something that is in decent shape but because it is in a location straddling two different types of tenant profiles I can get a deal because it has the lower of the two tenant classes and ... I'll put in the young professionals, etc.