All Forum Posts by: Sherry McQuage

Hello Dwight,

So glad you found Bigger Pockets!  Becoming a parent is a life changing event, congratulations!  

One of the things that has helped me the most is to listen to the BP podcasts as I drive, walk my dog, etc, so that I am constantly filling my brain with good information.  I listen to pretty much any and all podcasts BP puts out; even if I don't currently need the information on a certain topic, it helps knowing more about other aspects of real estate.

Between the forums, podcasts, and books, you never feel alone!  Keep learning!

Talk to different lenders.  Talk to lots and lots of lenders.  Generally, a smaller local lender that you have built a relationship with would be most likely to finance the kind of property you are talking about.  

You may need to build the relationship first, and find out what criteria they would need to lend on such a project.  You may need to get more experience with DIY projects.  Where there's a will, you will find a way.

Best to you!

Listen to Bigger Pockets podcasts whenever possible, listen to other real estate related podcasts, too.  Hopefully, real estate is not your sole income.  Treat it like a business (time block for lead generating, some social media posts, talk/learn from more experienced agents in your brokerage), learn all you can from online sources.  Write down (journaling?) what you learned each day, what you're thankful for, and celebrate your successes.  Don't get discouraged (every agent has some slow times, makes mistakes, gets exhausted); keep doing the basics.  Real estate is a numbers game.  Keep showing up, keep lead generating, keep learning.

Oh, read The Millionaire Real Estate Agent by Gary Keller.

Best to you!

What has worked for me was taking it down to the studs, paint anything that still smells with Kilz, put in new sub-floors, sheetrock on walls and ceilings, and clean/replace ductwork.  I hope you got a great price on the property.  Let me know how it turns out!

Congratulations on having a tenant that actually lets you know before they get a dog (and sneaking it into the rental)!  It's a good idea to ask for (maybe even put it in your lease agreement...for future renters) a meet and greet with the dog before they officially adopt/buy the dog.  

You mentioned that the HOA limits breed and weight; what does your property insurer say about breeds? They may have breeds that would cause them to cancel/raise your insurance if a renter brought them onto your property.

I love dogs and cats (and other animals); I applaud landlords that allow pets (with a pet deposit, and monthly pet rent addition).  Well behaved pets keep tenants happy, and they tend to stay longer since not every landlord allows pets.  If you own multiple units (multi-family...duplex, and up) you may even consider creating a "dog park" area...fenced in grassy area your tenants can walk their pets off-leash.  Could build tenant loyalty to you, would definitely make your property desirable to renters that have "fur babies".

Just make sure you have written guidelines to follow for dealing with dogs barking, pooper scoop policies, etc.  Allowing pets (with certain written guidelines the renter signs) means you will probably never lack renters.  You can look on Bigger Pockets for suggestions on how to pet-proof your property, too.

You may just have discovered your "niche".  Best to you!

Since you have a W2 job (a actuary...I read your profile), have a spouse and 2-3 small children, and are a self-proclaimed newbie...I have to ask:  are you "handy"?  Are you able and willing to do the DIY work on a property...once you find it?  Or are you planning to hire out the fixing to contractors (or "handy-people")?

If I was in your shoes, I would drive for dollars (drive around where you live...within 15 minutes of home, and gradually extend the area) looking for vacant, unloved properties. (Is the grass knee high?   Does it look like no one lives there?   Is the property in general dis-repair?)

Write down the address, go to the county GIS (should be online), and look up the tax department owner of record. (You should be able to type in the property address, hit search, and it should tell you the name and mailing address of the owner.)

Mail them a letter...something like: "Hey, I saw that you own property 123 Main St, Anytown, and wondered if you have any thoughts of selling it this year.  Please call me (provide your name and a cell phone number---you may want to get a cheap phone with its' own number just for this purpose), and we'll discuss it."   

You also want to look up the tax value of the property, and if you can, peek in the windows...use your common sense; try not to get arrested for trespassing.

Keep a list/spreadsheet of the properties you have sent a letter to.  Sometimes, I get a call from a property owner I mailed a letter to 3-6 months ago.

You can even type up a generic letter and fill in the property owner name, address, etc.  If they're considering selling, they just may call you.

The long distance investing part of your post...I'm not experienced in that.  Since you are new and have not yet done any fix/flips or BRRRRS...you may benefit from doing your first one within driving distance.  Just a thought.  

PS---listen to Bigger Pockets podcasts while driving, walking, anytime.  It feeds your mind with possible ways to do what you plan, and gives you a safe place to ask questions.

Best to you!

Have not set up a HELOC on an investment property (yet), but have used CMG Financial to set up my primary residence as a cash machine/HELOC. (Message me if you want the contact information for who we used. We're in Carthage, NC..not far from Raleigh, NC.)

CMG Financial offers an "All In One" (AIO) that basically means you have your W2 income direct deposited into your account with them. You then use your AIO account as your checking, savings, and HELOC.

It takes some explaining, but basically my husband and I can write a check (or use the debit/credit card they provide) to buy materials, an investment property (if you have enough equity), or even a car with the AIO.  You may be able to use the AIO for an investment property, or some creative combination.  I live and work in Moore County--I'm a Realtor with Keller Williams Pinehurst--and my husband and I invest in real estate.

(As a matter of fact, we did use the AIO to buy our last investment property--we flipped it.  Used it to buy the renovation materials, too.  Once we sold the property we deposited the proceeds in our AIO...we're currently looking for our next property.  You don't pay interest on money you haven't pulled out yet.  It's working for us.)

You'll at least learn something.   Even if what CMG Financial offers won't work for your current needs, it may be just what you need in the future.  Can't hurt to have another financial tool in your arsenal.

All the best to you!

Is there an outdoor seal **** (spigot)?  Is it possible that someone has been "borrowing" water from the property without your knowledge?  Anyone washing cars to raise money...someone filling up water jugs, or watering newly planted forests nearby?  Just a thought.

Currently, I don't have any rental property or tenants, but a family member does.  Somewhere I heard it's a good idea to make a walk-through video (with your camera) with the renters before they move in, or just after.  That way you have them on camera not having an issue with this or that; also,  have a procdure (a written page, an email, etc) they have to use when requesting a repair or have an issue.  If they have to exert even a little effort, their complaints might be greatly reduced.  Of course, if there's water leaking or other potentially expensive situation, you can have them call or text IN ADDITION TO filling out the repair request.  Just a thought.  Sounds like they're jerking your chain to see how much they can get from you.  Best of luck!

Yes, the lack of inventory has affected my short-term income...I sold all my listings, and have been sending out mailers to Expireds, Canceled, and Withdrawns.  Have gotten a handful of calls from them, but no listings yet.

What has had a larger affect on my income has been having my wonderful kids out of school for the summer...and before that, partially home schooled due to Covid.  Discovered that I'm not cut out to homeschool, and that internet access if very limited and in short supply in my rural area.

Since I am blessed to have a spouse that has a W2 job and can pay most of the bills, when I have a spell where there's no or not much coming in from real estate, I use that time to:  spend quality time with my family, read/research/listen to pod casts, brainstorm about other ways to create income with real estate...

Once my kids start back to school August 23, I anticipate the real estate market will heat up again (more people ready to list).  The important thing I have done during the "dry spell" is to keep lead generating....sending out mailers, talking with people about real estate, helping family members who are wondering if their "odd" house would sell.  

With some of the "free time" I have had, I've better defined the next type of investment property my husband and I should look for: a 4 bedroom, 1 bath house (not mobile home).  With my scrappy good luck finding off-market deals, and his plumbing license (and general contractor license, and electrical license), we plan to find, buy, and convert one bedroom into a second bathroom.  We've got a plan.  We're actively looking.  It will happen.

And, as the market changes with the Fall, our plans will "shift" too.  See what there's an abundance of (buyers), and turn that into what you solve a problem for.  The more people you help, the more your business will grow.  Sets a good example for the kiddos, too.