All Forum Posts by: Rob Gillespie

Hi Cameron, 

welcome to BP! I am not in Kent, but Live down the street in Medina and invest North East Ohio. Mainly in the Cleveland market. 

Akron is not far and has plenty of opportunities. Would be happy to connect and point you in the right direction if you have questions. 

Good luck!

The boring Ford truck is my daily driver. 

I Took it as a partial downpayment on a Rent To Own House. I LOVE driving that around every day, BUT I do find myself doing tasks that are not what I need to spend my time on. 

I have a few "fun" cars, but I am really a Mercedes guy.  One of may irresponsible cars is a Tuned AMG. I do like some of the more exotics, but Mercedes has  car building down to a science. 

No matter what I buy, houses or cars, I have to do the math to get it at the right number! 

@Kyle Castaneda 

What neighborhoods are good areas for turnkey investment properties?

Depends on what who your management team is. I personally like redevelopment areas.

Tremont, Ohio City, Detroit Shoreway, Etc.. They make for great properties to buy low, rent high and

have plenty of equity.

What neighborhoods do you typically see the best ROI for long-term rentals?

If you are looking (LONG TERM blue chip stock) I would look Strongsville, Berea, Middleburg, ETC..

Where have you personally had your best experience with investment properties in Cleveland?

All Over. there are deals in every neighborhood, even the D- areas. I have had great experiences in every area

of Cleveland, Just have to have a different plan for different areas.

Hope that helps! I Know I was vague. I hate writing long posts as much as everyone hates reading em. LOL

A simple solution may be to back drag it. 

Does the tenant plow for others as well? Perhaps they may have insurance to cover damages. 

Not sure about rules or regulations, this is just good ol fashioned mediating a crappy situation. LOL

well looking at this being posted 5 years ago, I am quite certain you have made a decision. LOL

Yes I would go for a Pre Pay. Ask them for 2 years up front. With only having limited info on the entire situation, I think that would make me happy, Heck probably a year up front would do it for me. 

Hope it worked out well for ya! 

Hey Sean, 

That is not my market and I am not a national investor. I am just taking a 2 min glance at this. 

1. looks like the owner let it go at foreclosure only owing around 100k, if it were worth 130k, I would think she would have sold it and taken some equity. (I do know that plenty of people walk away from equity every day)

2.Only 700 sq ft. is tough to get a mortgage on with Fanny/Freddie. (if that is correct)

3.Not knowing if there is anything special about the comps, you could possibly sell retail for 250k. 

4. So if I were to assume that the home needs 50k in renovations, 125k to 130k is a good wholesale price. 

Keep in mind, never been to the state, never looked at property there and only spent about 3 min lookin at pics and data on line. (#1 was typed before I researched further.)

Let me know how close I am! LOL

Hi Paul!

Do they pay on time?

Do they cause you any problems?

Do they take care of the place?

If they are cool with you...Be cool with them. 

Not sure of the business they are in, I have a home office and never have anyone over. However I still like to have it painted and decorated for just me. 

Perhaps make sure you are listed on any business or renters insurance they carry. 

Hope that helps!

Hey Jeff, 

There are plenty of services out there to hit your list all at once, but the more personal you can make it... the better off  you are. I personally hunt with a bow and arrow and not a shotgun. I like to REALLY get to know my targets situation. I personalize my message to them as much as I can. 

As a property owner, I get TONS of junk text messages, letters and voice mails that investors TRY to be personal and it just falls apart. Think of it this way, if someone walks up to you in public, calls you by the wrong name and then asks if you want to sell a house that you owned and sold 10 years ago, how credible are they? 

What is your end goal? to buy 1, 2 or 10 houses per month? Keep that in mind when marketing. You do may need to reach out to everyone under the sun to hit your target numbers. 

Hope that helps. Good Luck!!!

Welcome Mark!

I know there are a lot of calculators out there. I use a very simple formula to START, but need to look at all factors. 

Annual gross rent and cut it in half. So if you are getting 1k per month that is 12k per year and you will have 6k left that is your Net Operating Income. You will take your principal and interest payment out of that 6k and whatever is left becomes your cashflow. 

Now the variables. 

What class neighborhood is it in? Better areas typically perform better .

How old are the major items. Furnace, electrical, plumbing, roof, etc.. this could cause ya to be heavy on CAP X.

How many units are in the building? If you have a 12 unit for instance, you may need to consider, grass cutting, snow plowing, cleaning hallways and common areas bigger water/sewer bills and dumpster fees. this could cost you MORE than 50% of your gross rent in expenses. 

Who is paying utilities? who pays ALL utilities?

Biggest thing to remember is that Sellers LIE. Read between the lines when buying a place. Ask to see tax returns and NEVER buy based on how a building COULD perform. Buy based on reality. 

Sorry, I could go on all day about this, I tried to keep it short and to the point. 

Good luck!!!