All Forum Posts by: Brandon Schlichter

Had two urns on one of the last ones, able to get it to the person (At least SOMEONE came and picked it up off the porch).

Dead cat, mattress that was caught on fire, bong, all sorts of drug stuff including a mobile meth lab.

One of the best I've heard was talking to the landlord my parents had when I was a little kid. Him and I talk about real estate, he's just about out of it and I'm buying as much as I can, so we have good talks. He told me that right around the time I was born, the rental next to my parent's house had to be trashed out post-eviction. Him and another guy found themselves taking snowshovels and filling up trash cans with various sex toys. I thought out of all the stories I've heard, that is likely my favorite. 

As others said, off market deals are king right now. There's still MLS deals but you've gotta spend alot more time - Beating up overpriced sellers, looking for foreclosures/short sales and overbidding, etc. I'm still not buying in Columbus, and just outside, and some properties are really blowing my mind in how high they're selling over list. In some cases it's worse than 04-06 with pricing due to how little there is on the market.

@Anthony Gayden As my workload increase I'm sure we'll add more people, the big thing being just to figure out what point that is and to retain profitability/margin on all our properties/rentals.

And the reason for this post more than anything is to say that since day #1 I was told over and over again not to get into SFD and small multi-family units and get into apartments instead.

Equity in properties has grown considerably. My goal has been to invest in B class SFDs and B-C class multi-family properties. So far it seems to work now, having said it I'm 4 years into the whole process.

Dealing with lower end properties has resulted in all sorts of....interesting...events. Had a meth lab, a few overdoses, had a machete fight in one of my rentals, and other crazy things. However we've been pretty darn profitable when it's all said and done and I am very much planning on continuing this strategy/method for as long as I can.

Self-managing the ~50 I have now (In contract for another 20 from just one seller) hasn't been too bad. I decided early on to hire a good maintenance guy and he's been worth his weight in gold since he communicates well and helps a ton dealing with tenants. The other side of that has also been he's a little bit expensive, or was early on when I had significantly fewer rentals. 

Starting out I had hoped to do the BRRR strategy however found out real quick that banks hate low end rentals and properties under $50k, which many of mine are. I've had some recent luck with finding lenders who deal regularly with these kinds of properties, however they're slow to lend.

But at any rate I'm hoping by next year that I'll be able to hit 100 rentals, then I'll consider pivoting to larger apartments however with as profitable as SFD & small multi-families have been, I might just hire some people to help me manage and keep buying more.

Every one does it different.

For me anymore, I look at total cash put in my real estate business excluding refinances as part of the BRRR strategy, then calculate my ROI on that at the end of each quarter then at the end of each year. I also do save back/escrow money for capex on my properties, so I take that into consideration when calculating ROI as well.

Cash-On-Cash return is also an important metric, it gets tricky when you've got a large sum coming back to you on refinance, so for that it would depend on what you use that money for - Do you buy more houses with it, or do you put it in your pocket? 

Just make sure your numbers are good, re-check and make sure that management is set up correctly. The first one is always the hardest and it does very much get easier over time.

The ONLY luck I've had is to shop around to local small lending institutions and see if they're interested. From what I've personally seen, about 1 in 10 are interested in lending on lower properties. I've had to go most of the route with private money partners, and those have come to me at very random times/places it's hard to give someone a recommendation on how to find those.

@Aaron David Horton - Yes, 100% , I do have a work crew that does labor/maintenance for all my properties but I manage it all.

I shoot for minimums of 14% on SFDs and 16% for multi-families.

Regularly do well over that, my record now is 32% for a duplex and around 26% on a house (My top house will actually surpass my best duplex when the tenants move out).

sure why not if your numbers are good and you've got a solid management team in place. I certainly enjoy being a landlord here in ohio.

pretty much your own due diligence is needed. Often times you will need to evict the occupant once you obtain ownership of the property. I'm not aware of any county in ohio that evicts prior to sale.