All Forum Posts by: Scott Schaar

@William Lokar

Absolutely correct. I have units around a small university, that specializes in after grad Physical Therapy program. It’s a three year course. Majority of the leases are three years long. Because that’s how long the course takes. The older students really take care of the property so much better. We’ve never had any issues with getting paid rent. Normally the parents of these students are fronting all the students financial endeavors.

The big plus is your going to base the rents off of how many bedrooms you have in a house. More so then you do a SFH. If the university is offering housing at 450 per room. You can easily be at 400. Because the restrictions are a lot less at your property then on campus. So in our market the 4,5 and 6 bed houses we have. Get crazy rent around campus, compared to a couple blocks away from walking distance.

@Mark Miles that’s some pretty sweet returns. I’d have to venture way out of my area to get that kinda of rate. Good for you.

@Rachel Pitts the answer is in the numbers. College rentals are really easy. We rent higher end finished houses. So we get a little bit better student that have parents paying the rent for the most part. We’ve never had a house trashed . Returns are pretty good. College rentals are all about how many bedroom you can have legally. In our area our units rent an average at 300 per bedroom. So our five and six beds are awesome cash flowers.

I self manage mine currently. I've got regular SFH houses with single families. Along with the college rentals. The college rentals are way easier. These kids expect dumps but when you give them something decent, they take pretty good care of them. Don't get me wrong every once in awhile you have to tell them to pickup the red cups up from the backyard.

I don’t own vacation properties but I would think you’d have a lot in hiring somebody to clean and flip the property in between each vacationer.

Either way the answer is in the numbers. Get the returns on investment and it doesn’t matter which way you go.

Good Luck

@Keelia Purscell mini splits are the way. They’re are easier for utility billing purposes and space. Regular HVAC take up a lot of room.

@Jerell Edmonds best way to learn, is by doing. Starting with a single house, you’ll learn a massive amount. Reading is a great way to get started. You’ll only truly learn the lesson in doing.

Remember mistakes happen. When they do, adapt and over come.

Start with one house and get your feet wet. Before you know it. You’ll have a fleet of properties, that your cash out refinancing a couple a year and making more money then your W-2 job now.

Good Luck

@Dick Mason send me a message I’d be glad to chat.

Thanks

@Paul Schu Evansville has some good opportunity. @Mike Helm hit the nail on the head. It's all about what area, and street the house is on. It's crazy when you are looking at ARV for houses. One block you might have an ARV on a 3/2 at 165k. Where as that same house one block over would only go for 135k.

I like to stick around U of E area. This is very much the case. Just like investing anywhere, have to do your homework. Look at the assessors site for good info of recently sold properties.

This situation has caused many excited conversations with appraisers when doing Refi. For instance I just did a Refi on a house a block east of the university. Which is north of Washington Ave.(another dividing line) in the area. It was a 2/1 we turned into a 5/2. He pulled comps from two recent sells on 3/2 south of Washington Ave. at around 125k. Where as 3/2 on my specific block were going for 167k. Let alone a 5/2 that was totally remodeled. After a lot of emailing with my lender we got it straightened out.

Downtown is doing great also, the area is flourishing with new life thanks to the city and a lot of private investors. We’ve recently purchased a duplex down there and converted it into a triplex. Still have to watch the dividing lines down there.

Good Luck

@Mo Muigai first things first. Get on your city or county website and look up the building code. Mine states that it must be above grade and must equal 4.75 square feet. Find a contractor that knows what he’s doing.

The window and install should cost around 950.00 Depending on your area and what kind of structure work will need done.

I do this in everyone of my college Rentals, well worth the investment. We also put a second entry door in our basement rooms. This makes for a second egress.

Most important is check the code and follow that.

Good Luck

@Brady Allen I bought a park in a very similar market. It had 22 spaces, 15 were filled no POH. Surrounding town was 2,200. The town is in the middle of being revamped. Affordable housing was not easy to find. Plus this park was so run down. We cleaned up after take over. Tore down a few abandoned homes. Hired lawn care, put up new sign. Forced home owners to repair their homes. Because the town and state allowed us to do so, we’ve filled all but one lot with RVs. They’re all older and retired, just wanted an affordable place to setup.

Check the towns laws on mobile home parks and what’s allowed. Could be an option. Plus it’s a minimal costs to prep a pad for an RV.

Lot rent was super low also. At 100.00 a month, we took the homes to 150.00 . All RVs coming in are 200. They have no problem paying, since the closest campground charges 400.00 a month plus utilities. Ours will keep going up as we keep improving Park.

Good Luck

@Jason Richards as far as if the buyer go or not. I’ve found it’s about a 50% chance they’ll show up. Most of these inspections are done during regular working hours. Most people can’t take of work. Plus they’re getting ready to buy a house, and they don’t want to miss the pay.

I’ve found that first time buyers really like to go though. Sometimes they can wear out the inspectors with questions. I’ve never seen a negative side to them showing up. When I sell a house I know the codes for the most part. I know what they’ll look at. If you’ve gone through your property, should go smooth. It is the inspectors job to find something though, no matter what.