All Forum Posts by: Ryan Taylor

Hi Quinn, if you have the opportunity to house hack and acquire it on your own, I'd recommend that option.  This would allow you to save your cash. 2021 may be a year where RE investors who capitalize are the ones who are waiting on opportunities with some cash in the bank.  I'd say partner IF that partner will help you learn, but if he/she knows no more than you, try to take it down by yourself. 

Hi Jack, I'm an agent in Lansing, MI. If you're interested in the agent side and investing, maybe specialize in working with investor clients as an agent to become an authority in your area. You do NOT need to be an agent to invest, but it definitely speeds up the process. Having MLS access is a minor reason, but it helps to get familiar with in on your own access. Also, dealing with different clients forces you to quickly learn your area in terms of retail and investment values, as well as rents. Let me know if you have any questions! Happy to help.

House hacking is pretty low risk if your lifestyle allows for it.  In short, conservatively 'jump in.' Learn the 'back of the napkin' technique for quickly analyzing if something is a deal.  In your area determine if you can shoot for the 1% rule in terms of rents.  

Feel free to reach out with any questions, as the answer to your question is......it depends....

For a rental I'd look into renting one.  They are typically $25/mo in our area near Lansing, MI where the water is hard in some of the surrounding cities.  Usually if you rent one, the company will service it when needed. 

Everyone is a day trading, drop shipping, real estate investing entrepreneur, coach, etc.  Algorithms may be getting the best of us!!!!

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Grand Ledge.

Purchase price: $126,000
Cash invested: $20,000

This property was a househack/small rehab in a highly desirable area outside of Lansing, MI. My wife and I lived in it for exactly 1 year then moved into a small ranch in the same area. I plan to hold on to this long term and try to acquire similar properties like it using creative financing. This took more work/time than intended but due to that, I've learned a ton and am comfortable not only taking on more properties for myself, but also with helping guide clients as well.

What made you interested in investing in this type of deal?

This is in a highly desirable area in Grand Ledge, MI. I knew there was work to be done but thought taking on a house hack AND rehab would speed up the learning curve. It has been a lot of work but I choose to tenant-proof as my rehab strategy.

How did you find this deal and how did you negotiate it?

This was on the MLS and had been sitting on the market for a few months. The seller was firm on cashing out so I was able to get it under asking price with an FHA loan.

How did you finance this deal?

FHA

How did you add value to the deal?

I've completely rehabbed the 1st and 2nd units, 3rd unit was already updated a few years back. The unit 1 and 2 updates have allowed me to increase rents to market or slightly above, since they are new and demand is high in Grand Ledge.

What was the outcome?

We lived for free initially and now after moving out and finishing unit 2, cashflow is approximately $650 per month.

Lessons learned? Challenges?

Everything takes longer and is more expensive than anticipated. The quicker you do more work, the quicker you learn how to estimate rehab costs, making you more comfortable in pursuing additional properties.

At first I would get anxious if there were tenant issues, asking myself how the heck I'd get them fixed. Then as time passed, I just realized I now could fix a good portion of issues. If not me then I just needed to know WHO to contact. This took the emotion out of it.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I worked with David Hall, now he is my business partner and we have formed the Achieve Real Estate Team. Together we help others repeat the same processes we have been through on our own RE journeys.

Welcome @Eric Charles, I live on the west side of Lansing and am in Portland quite a bit because my gf is a teacher there.  PM me if you'd like to meet up.  I'd be interested to learn about your strategy. 

@Kyle Fedewa thanks!  Let me know if you'd like to meet for coffee to talk real estate.

@Emily B.ok thanks! I appreciate it.

Thanks @Emily B., nice to meet you!  Do you know the name of that Holt group?  Having trouble finding it.  Would be interested in picking your brain on a few things if that's cool.