All Forum Posts by: Ryan Hoover

@Varun Penmatsa I agree with everything that Dave and Melanie stated above.  It's kind of hard to miss the mark on the area right now, since there is so much growth happening all across the valley.  I have been partnering with a lot of investors in the West Valley where there has been a lot of economic development and more to come.  The cities of Surprise and Peoria are great pics for resale and new builds while keeping in the $300's.

@Lisa Maturo I just sent you a PM to connect as I think I can help, but as you outlined there are a lot of options.  None of which are a bad position to be in.  I think betting on a market bubble may be a misleading bet, based on the economic fundamentals for our market.  Let’s talk soon!

Nice!   Sometimes you are hoping the tenant just renews because having that available capital can be tough. Luckily in my case, I had enough equity built in that short time to do a cash out refinance that equated to $28k while keeping my payment the same due to the lower interest rate.

@Matt M. That’s a great deal.  What market are you investing?  Even the biggest fixer upper in the Phoenix market is going to be $200k.  That kind of returns are a unicorn in my area.

@Robert Purdy @Toby Schine

Thank you!

Yeah I can see that perspective if your primary goal is cash flow.  In my market, it's difficult to find high cash flow in the class neighborhoods that I want to invest in.  Focusing on rentals in the $1500- $2000 range helped me to avoid any missed rents or eviction moratoriums during the pandemic.  Just rely depends on your own personal investment goals.

That price included:

• Floors with baseboards
• Interior paint
• New carpets
• Paint all cabinets
• Quartz countertop kitchen and bathrooms 
• Led lighting and fixtures
• Door hardware 
• Bathroom hardware 
• Stainless steel appliances 
• Landscaping 

The 1% rule is just a guideline that many are striving for, but not necessarily possible in all markets.  In the Phoenix area it is really hard to come by that much cash flow.  For the purposes of my goals, I’m really just looking to get $200 cash flow with 20% down in great neighborhoods that I predict will have above average appreciation.  Hope that helps.   

@Caleb Rowe @Dan Kerch @Nick Brockelman

thank you!

I purchased this Cave Creek, AZ property in May of 2019 for $280,000.  There was a tenant in-place paying $1475 a month which was a little better than a break even deal with the cash flow being about $100 a month.  The tenant moved out in the end of 2020 when we decided to take on a complete renovation to boost rents.  The project cost about $32k and took just over a month.  Property is currently being marketed for a new tenant at $2100 a month.  Increase of $625 a month in cash flow!  Plus the new market value is right around $365,000.