All Forum Posts by: Ryan Gross

Hey Alyssa! I am here in Ogden. 
Anything West of Washington Blvd between 12th street and 36th street is probably going to be a "D" neighborhood, although it may qualify as an opportunity zone to help make the deal better, but you are right to be concerned about high turnover. Some of my portfolio is located in the central part of town and I have had a very difficult time finding qualified tenants. Nearly every tenant I have in this area has put down a double and sometimes a triple deposit. Even with that, I have had a tenant destroy a unit, and an eviction in the last year (separate occurrences). You should definitely test for meth and be ready for a high maintenance property. (even with a property manager) 

I don't say this to deter you, but just make sure you are very conservative with your numbers and budget higher expenses than a "b" or "c" property.   

Good luck!  

This really is an exceptional question that I feel like people want to avoid because its uncomfortable to think about or talk about, just like Climate change itself. 

The most significant factor I see happening is human migration. Globally a significant portion of humanity lives near oceans and as oceans rise (whether you believe climate scientists or not, evidence is showing that oceans are rising) there will ultimately be migration away from these areas. Similarly, as parts of the country become drier migration will also happen (Think Las Vegas when Lake Mead is gone). I like David's belief that technology will solve a lot of these problems (Miami has already been spending a lot of money to pump ocean water back to the ocean) but ultimately the cost may become prohibitive.  
   

Josh, 

Congrats on getting started man! Most people never do. I'm in Ogden as well. (I went to school with a Josh Parsons, so you are the same Josh, then Hey man!) 

I'm not really a mentor, but I am a bit further along in my real estate journey. I'd love to connect sometime and see how we could help each other! I currently have 8 doors, with a mix of a single family and small MF. I'm working with a partner on acquiring a medium to large MF right now. I've done house hacks, a few flips, and long term rentals. 

Look forward to hearing from you!  

I second Colten Griffin. He’s sold many houses for me, helped me through difficult transactions. Just closed a deal with him before Christmas. 

He even talked me into buying a new primary residence and now I live two doors down from him. 

Hey guys, 

I am looking to connect with a agent/broker in the South West corner of Ohio that deals with Multifamily. I'm going to have some 1031 funds here shortly and would like begin researching the area to be prepared. 

I'm looking for properties under the 3 million mark and I feel like I am in a gray area between working with an agent or a broker. I was hoping to get some opinions on which I need to be reaching out to and how the best way to do that is. 

Thanks for your input! 

Hey Dave and Gay!

I've been waiting for this to get back to in person. I've tried to come before but scheduling has always been a pain. I'll be there tonight though! 

I worked in HVAC for awhile (family business). To honestly and directly answer your question, Trane and American standard have been at the top of consumer reports for year. (they are the same) They use heavier duty parts, they were the first to use all aluminum evap coils, they have low pressure sensors/switches to protect your unit, they have been innovating more efficient motors, blower housings, electronics beyond other brands. Any house I have lived in, I put a Trane in. 

That being said. . . 

Brand doesn't matter nearly as much as how it is installed. Every brand has degraded over the last 10 years driven by consumers who just want cheap equipment (and why not, if they fail sooner then they can sell a new system sooner). To just go off of price like someone else in these comments said is absurd. Go off of value. Make sure the company is credible, has references, and stands behind their work. In HVAC there are SOOOO many ways to cut corners that a consumer would never find out about until their new system fails in 5 years, if ever. On my rental units and flips I have installed Day and Night and had no problems. 

Also, to get the 10 year warranty your system HAS TO BE REGISTERED with the manufacturer. (this is only a parts warranty by the way) A lot of people are surprised when their system isn't registered and they don't get any parts support. 
 

Hey Jocilyn, 

My first post got deleted. So here's round 2. 

A lot of people here are assuming that you are investing strictly for cash flow. Which if that is your goal then this investment will require a huge downpayment to make it feasible. But right now people are investing in Utah for appreciation growth, depending on where at in Ogden your duplex is, this may or may not be a good investment.   

Overall I wouldn't say you are getting a good deal on the property (keeping in mind that I don't know the neighborhood) but 350-450 is right at market value for a duplex in Weber County. 

Anyway, I own rentals in Ogden. I'm always looking to connect with other investors! Reach out if you have any questions. 

Thanks!

I will just have to disagree with you on this. You buy a house along the Wasatch front for 300k that rents for 1,500, or you buy a house in a different market for 150k that rents for 1,500. But sure, with a large enough equity stake/downpayment you can make any cashflow number happen. You could buy that house all cash and have significant cashflow. I just imagine that OP as a newer investor doesn't have the large sums to make properties in this market cashflow, at least yet. 

Jake! Welcome to BP and welcome to investing. I'm in Ogden and have a small portfolio of rentals and have done a few flips. I'm by no means a big time investor, but perhaps I can give you some insight. 

1. No matter what you do, people will tell you that you are wrong. 

When I started investing about 3 years ago (in a Utah market that was much more friendly than now) People around me casually said things like, "I wouldn't want to be a slumlord," or "I wouldn't ever do that because I heard of some person's cousin who had tenants from hell." In the end, I feel like people just try to justify to themselves why they won't take any action to better their position. That being said, millions of people around the US are doing what you want to do and having success, even people in this Utah market and you can too! 

2. This market is crazy right now. 

There's no getting around it, prices are insanely high. Cashflow doesn't exist without substantial down payments. We live in a part of the country that is growing extremely fast and construction has not kept up. Deals are super hard to come by, and everyone is looking. I've been trying to pivot my investing and instead of saying "I can't afford it," I'm trying to change my mindset to, "how can I afford it." I really believe that flexibility and creativity are the most important skills you need to invest in this market. At the end of the day does it matter if the market is high if you can create a deal that cashflows? You can ride out dips/crashes if you keep enough in reserves and have properties that cashflow.  

3. Househacking 

I really believe that house hacking is the best way to get started. You can buy a huge array of properties with low down payments and get the best terms on your loan. You can lower your cost basis by renting out other parts of your house/building. And perhaps one of the best parts, is that if you live there for two years, you can sell without paying any capital gains tax. 

4. How do I predict the market? 

I believe that no one can predict any market. People may disagree with me here, but there is no way to know what will happen in the future. Look at how fast covid changed everything in a rather short period of time. People just like to look back in time and find ways to say "I knew that would happen." For example, its easy to look back at 2008 and say that "oh I knew that would happen" yet in the moment millions of people had no clue a crash was coming and not just ordinary people but huge financial industries as well. This is why you have to mitigate risk and plan on the worst but hope for the best. Have enough in reserves, invest in cash flowing deals, and also understand that all investing involves risk. 

Sorry that was a lot, but to sum up. You can invest successfully in real estate. Search out like minded people. Tune out the outside noise. Most importantly, take constant action. I'm looking for people to partner locally. Reach out to me if you would like me to look at any deals you are considering and I'll give you my honest opinion.