All Forum Posts by: Chris Christianson

The obvious question is what kind of beer does he drink and how much.  If he's a Surly drinker like me, it might end up costing you as much as granite.  In Minneapolis right now, concrete will cost you more than granite anyway so it's still worth it. 

That said, concrete countertops are something of a specialty trade.  When done right with some proper aggregate...like the bear bottles we put in a recording studios counter tops, the concrete is every bit as nice as granite and frankly, quite a bit less passé.  You need someone with the proper tools however since not all concrete masons own the diamond grinders and polishers that are used for this type of work.

You couldn't have learned a more valuable lesson.  I don't care what kind of project it is whether it's a small deck or a whole home remodel, a detailed, written plan make's everything go "to plan".  How can your project possibly go as planed if it isn't planed.  I'm having the same discussion with my business partner right now.  On the contractor side of this, if it isn't in a written plan in the beginning, it's a change order and change orders cost money and time.

We all get the same feelings when working on these jobs.  I've bumped my bids up 20% before because I got the feeling the customer was going to be a major hassle to work for and I just didn't want the job.  I typically ask where I came up short if it's a job I wanted and didn't get.  If the customer answers my question honestly I'm far more likely to sharpen my pencil if they call back for another job.  At any rate, I always say thanks for the opportunity to bid and good luck with your project.  Bridges are expensive to build so burning them never makes sense.  If a contractor get's an attitude when you don't give them the job..you probably made the right decision.

Hi @Keith Albrecht ,

I've looked a little at Daytons Bluff myself.  There are ways of making decent money in any neighborhood and I think the Daytons Bluff Neighborhood Association is starting to do some good things up there.  I certainly don't know St. Paul like I do Minneapolis but the deals are better from a buy in standpoint and since I have as much interest in the suburbs as I have in dumpster diving, I'm working on educating myself more on St. Paul.

Personally, I'd avoid Payne but that might be more out of ignorance than any real concrete facts about the rental market. 

As for schools, most of us that live in the city...at least a lot of us, don't have kids so I could care less about school districts.  The places with good schools have zero for walkability and nightlife so you have to figure out who your customer is.

That's my two cents anyway.  Good luck and keep us posted.

Bummer, I was hoping to get some feedback on this venture.

I was reading a thread here a few day's ago, can't find it now, but a person was snatching up a pile of rentals with Land Contracts.  Inspired, I'd like to make my first attempt and would love some advice. 

I live in one of the prime neighborhoods in the very hot rental market of Minneapolis.  Two doors down from my house is a beautiful brick 4plex.  The woman who owns it is in her mid 70's and inherited the property from her father.  It's been in the family a long time and is immaculately kept up. Absolutly NO Menards grade "updates" in this gem.  I've heard her mention over the last few years that she's interested in selling but doesn't want the big tax hit.  I also think she would like it to belong to someone that respects it's history and will maintain it with the same attention that she and her father before her have.

With my new knowledge of Land Contracts..Thank you Bigger Pockets!  I would like to make her an offer akin to what I've been reading about here.  A five year owner financed deal with a balloon payment of the balance at the end of year five.  I'm assuming that the interest rate that I offer her should be based more on expected appreciation in the neighborhood than standard commercial interest rates since this property is paid for and she isn't paying or making anything on interest at this time.  Is that accurate?

I hope to move on this soon and would greatly appreciate any advice I can get.  I know this woman owns a few rentals in Minneapolis and if I can get this to work I'd love to see what else I might be able to work with her.  I also know of a woman in her 80's that owns some 10 and 12 unit buildings in the area that are equally well maintained.  Opportunity abounds!

Great work.  I love to see success.  I can only imagin how much work that milestone was. 

Here's to the next 2,000,000 downloads!

Welcome @Francis A. . I guess after last winter I'd focus my energies on LA for a few more years...

My question for you in regards to Minneapolis is are you looking for turnkey or rehab? As a former student of the University of Minnesota I'm quite familiar with the condition of the rentals that sell in the mid 100's and rent for under $1000. I think unless you plan on slum lording (bad idea), have a very dependable handy man on call or plan to invest some money in rehab, you might be in for some expensive learning lessons. Most of the cheap homes within a few miles of the Minneapolis campus are early 1900's vintage. They are also classic examples of differed maintenance. Knob and tube wiring or worse, amateur hybrid wiring, galvanized supply lines, non functioning windows, pealing lead paint and rotted exteriors. On top of that, Minneapolis is undergoing a major surge in rental growth and the city is starting to crack down on out of town (absentee) landlords by threatening more frequent inspections.

http://www.startribune.com/local/minneapolis/260623841.html

Minneapolis is a great place for rental income right now with avg rent at $1000/month but if you're thinking around the $130k range for duplexes any where near the U and are under the impression that they are at or above avg or livable condition I fear you're being a bit mislead. I've been looking at duplexes for about a year now. I'm looking in South and NE Minneapolis. NE is patchy and South, especially South West is pricey. You can find properties around $100k that need 30-50k of work but once the work is done they'll be worth $200k-$300k+ and they aren't going to be in prime rental areas.

In my opinion, the deals in the Minneapolis neighborhoods that you'd want to try and manage from a distance are fixer uppers that will require work before you would rent them out. Without some work you might be in for a maintenance nightmare or a lot of expensive fines from the city.

Good luck and I'll be interested in hearing how things work for you.

Welcome aboard @Chris Skjolsvik There is definitely a lot of great information on this site. I think you'll find your share of avoidable stuff as well since it is a large community. Good luck finding a mentor. I think the REI meetups, specifically MNREIA, is a really good place to start asking around. Meetings are the first Tuesday of every month in NE Minneapolis. I've only been to one meeting so far but their full of experienced investors.

OK @Cal C. Pretty sure this thread was about if or how you might be letting climate change affect your business strategy. I'll take it that it's not affecting yours.

Since you're obviously a PHD in climatology I won't waste my time on a cherry picked fact finding mission with you. I guess I and arguably, 97 percent of the scientific community are all wrong. Could you post your phone number so everyone can call you for the truth next time something comes up? That would be great.

Thanks