All Forum Posts by: Rob Hakes

@Patrick Shawn Faherty

Not exactly.  They have only charged management fees on rents received so i have not had to worry about that.  Had not heard anything about mortgage reimbursement.  Ahem.  

They have been pretty good about making the turnover costs as reasonable as possible,  They have been very responsive when i reach out for updates, just no actual results in getting things re-rented.   

Just thought I would throw out another update on here.  Unfortunately nothing positive.  I just hit the 300 day mark since the last time I got paid rent from a tenant on this property.  Ouch, that hurts to see it in writing...... 300 days (no typo) 

I was super excited about this property when I purchased it, but it has been a dud so far.

@Mike S. I will thanks. 

@Jim K.

Totally agree.  I wonder what the percentage of people is that start in real estate in a 'no money down' mindset and either cant ever start, or get their teeth kicked in and move on to something else.  They certainly are not here flaunting their story, but I'm guessing it IS the majority.

@James Wise Its also the Podcasts (not just BP)! They provide great information, but how many of the guests have the similar story.....

All I had was a 20k credit card and bought a house for 15k and fixed it up...........................and 10 years later i have 1000 units.  What is dangerous is that we hear so much of the anomaly that we think it is the norm.

  I know that a podcast host can't get a guest with more normal story of......I spent 5 years and saved up 20k to get a 100k rental that yields $200/mo, and if i just keep buying one per year then in 20 years i might be able to quit my fulltime job..........

It wouldn't sell, but I would actually like to hear a podcast of an normal "joe" non-entrepreneurial investor that invested in 'base hit' deals passively for 20 years and is now ready to go from full time to part time.  Then again he is probably the accountant type that could't hold his own behind a microphone and would put everybody to sleep.

Thanks @Jay Hinrichs and @Bob Woelfel for the input.

Bob - I appreciate your commets about personal development.  Probably the toughest thing to quantify and measure, but the most important.

Another update on my Spartan properties.  Things are moving along like quick sand.........

We did finally get the tenant evicted about a month ago and are close to getting another tenant, so the first property has still gone since last June/July without any income.

On the second property I just found out that the tenants are ditching out at the end of this week.  They were about 50 days late on payment and decided they were done, so i will have both of the houses vacant.  

I am not going to try and sugar coat this with hope and perspective.

But I have not lost hope.

Hey all, I am sure there have been similar posts, but I thought this would be a fun one to get some fresh insights.  As a relatively new investor ( 2years ) I am looking for anybody that has had any amount of success in RE investing to share the top 3 things that have measurably contributed to your financial success in RE.  I am thinking of things (situations, principles, actions) that have ACTUALLY moved the needle for you now that you look back with hind sight.  Things that if you did not have, it never would have worked.

After much thought, mine are different than what I thought they would be.  They are:

1 Appreciation. Especially on my personal home (hello cash-out and heloc)(this is ironic, seeing that i don't really invest for appreciation)

2 My punch the clock W-2 job.  As much as i hate to admit it, this has been a big factor in being able to get funding and fund my everyday needs so i can keep my RE earnings buying more RE

3 Good Teams.  Of the few investments that I have, they almost completely rely on a good team to make it happen.  I couldn't do most of it myself (PM's, Brokers, Banks)

What are your top 3?

This is going to sound distasteful to anybody reading this comment that has lost money from MI but:

There has been nothing more entertaining than opening BP on my lunch break and having another Morris Invest thread with updates to read.  It is like reading a good true crime novel in real time waiting with baited breath for this guy to finally get snagged, but he just keeps going and going.  

I've actually learned a ton from following this saga.  I really hope the courts can act swiftly and stifle this guy.  Just please don't take away my mid afternoon 'soap opera' that has found its place in my weekly routines.

@Eric Mitchell

Good Questions.  I started buying some out of state turnkey properties over the last few years.  yes they get better cash flow than what you can get in Utah.  It seems that "the 1% rule" is the becoming the buzz word for most turnkey providers and that is all they need to say to get an out of state investor to pull the trigger.  It is only an indicator of if the deal is worth looking at.  

There are some markets i would not buy a turnkey property in at 1% because of the taxes.  Also a lot of the providers right now are starting to sell properties below the 1%, just because that is what out-of-staters are willing to pay.  Also, now that interest rates are going up, the 1% isn't looking as good. 

Turnkey can be very passive, and you can make money, but things are looking tighter and tighter right now.  

Lending may be a good play right now.  You can get some performing mortgage notes that pay close to 10% and take a lot of the risk, and headache out of real estate investing.

Good Luck.