All Forum Posts by: Ryan Kuja

@Steven E. After looking at your estimates, here is some feedback based on the properties I own in Grand Rapids.

• $400/mo for a 25% down, 30-year mortgage with 5% interest
• Seems accurate (you may be able to come in closer to 4.5% if you are using conforming lenders)
• $300/mo for PM/vacancy/repairs/CapEx (30%)
• Seems reasonable (10% for PM is $100 + 5% vacancy is about $40 + 10% for repairs/cap ex is $100 for a total of $240)
• $250/mo for property tax
• This is your main variable. I don't pay 250/month or even 200/month for any of the GR properties I own. The most I pay for taxes is around 200 a month. But I have houses that I rent for 1500 with taxes that run 130 a month. So this is just too variable to estimate super accurately.
• $50/mo for home insurance
• This is a bit too low. I don't pay less than $75-80/month in GR. Kalamazoo is higher because, according to my agent, claims are higher in Kalamazoo.

I have properties in Holland, Kalamazoo, and GR. If you ever want to discuss investing in this market more, let me know. Im happy to help. 

Welcome Bob! I invest in GR and Kalamazoo and would definitely be up for connecting. 

@Brian Fiorillo I'm a big fan of Kalamazoo myself. We have one SFR in Vine neighborhood, the student area to the east of WMU. Ive looked at properties all over the city. Lately, Ive been interested in the Stuart neighborhood. Anyway, Id be up for connecting further regarding Kalamazoo.

Welcome Andrew! I live in Holland currently and have been investing in buy and hold properties in GR, Kalamazoo and Holland for 3 years. Things are going phenomenally well so far. Let's connect sometime! Let me know if I can be of help as you get the ball rolling on your goals.

I have properties in Kalamazoo, Grand Rapids, and Holland. I began buying in this area in 2016. There used to be good cash flow deals on every other corner. Those days are over in GR. Kalamazoo is the place to invest right now as it's much less competitive and year over year appreciation in many neighborhoods is every bit as much as GR-- at least according to the stats I've seen. GR is it unbeatable if you can find a deal where the numbers work.

We use United to manage several of our GR properties and have been pleased with them.

Id def avoid the Seattle area. I used to live there myself and love it immensely, and if it were 2011 Id be saying the exact opposite thing: buy buy buy! But now the cap rates and ROI are so low on both single family and small multiunits (as well as apartment complexes) that there is really no point in sinking your limited capital into a property that is going to cost you money each month.

All that said, you could look to Olympia (prices much lower) and even out to Aberdeen/Hoquiam area where cash flow is solid (even though the market has gotten wildly hot out there, too in the past 4 years). I did a live in flip in Aberdeen. It is a town with many hidden gems, property wise and other wise.

I currently invest in Grand Rapids, Holland, and Kalamazoo, MI, all of which are fantastic markets in terms of cash flow, vacancy rates, overall stability, low unemployment and population growth. I'd consider these areas of West Michigan if you decide on investing in the mid-West.

Following

@CJ M. : Hard to argue with 75% CoC returns. What market are you buying in? Canton? Also, I'm curious if you ever run actual numbers in a spreadsheet or in the BP Rental Property Calculator. Estimating 25% for expenses on top of PITI may be working good, but if it were me, I'd want to see real numbers. One last thing: if you are buying turnkey/already rehabbed properties, how are you able to do cash out refi's so easily, given that turnkey houses are usually priced close to fair market value?

Hey everyone. Quick question: After moving back to the Holland/Grand Rapids area after another year overseas (Medellin, Colombia) I've closed on two more properties (single family and duplex) in my area. Im hoping to get into at least one more in 2019. Given that I will be in Kansas City for a conference later this month, Im going to take an extra day or two to check out properties in this market that Im unfamiliar with. Those of you who live and/or invest in KC, what tips could you give me regarding neighborhoods that I should focus on or avoid, typical cap rates on 2-4 unit rentals, the overall market etc. Any insider info from those in the know would be appreciated! Thank you!