All Forum Posts by: Taylor Knott

@Lucas Duce the garbage rates in the area are actually quite low. For the smaller cans for 3 Units would be $50.21/month and the next size up would be $70/month. As far as paying for other utilities I have always paid my own electric and water. I imagine this depends per market and what is attractive for renters or what is feasible for landlords. With MFH I assume it depends on if the units are all separately metered. 

The town I'm looking into is Lakeport, CA. I began looking in Humboldt County in Eurkea, CA and did not find any deals. So I broadened my search up. I am fairly familiar with this part of Northern CA since I grew up and have gone to college in this area. As far as the closing cost and rehab numbers honestly a broad guess. The listing said it still needed some final repairs for a hands on investor so I aimed on the higher side especially not knowing the condition of the cottage or what may be uncovered during an inspection. 

Yes my intention is long term buy and hold in areas that are relatively close to me to start with my first rentals. In 2-3 years my fiance and I will most likely relocate. I am going to go down there this weekend to get shown the house and drive around the town and area. How do you go about looking at rental demands for a given town or county?

Very focused on obtaining my first rental but I definitely want to make sure I do all my due diligence.

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*This link comes directly from our calculators, based on information input by the member who posted.

(Sorry for the repost for those who saw but the initial one had a broken link)

I have been looking for my 1st rental property. I am been looking at duplexes, triplexes and fourplexes. I live in way in Humboldt County in Northern CA and there are limited MF options. Running the preliminary numbers rent doesn't even pay PI. So I opened up my search to outside of my area 3 hours South of where I live. I found Duplex with a cottage on the property. The cottage looks like it needs work and the duplex is upgraded but has some finishing work as well.

The purchase price is $225K but with work needing to be done and the cottage needing work there seems like room to negotiate down so I used $210K for the purchase price which brings COC to a little over 12% and $600/month in cash flow.

I reached out to get more information on realtor.com where it was listed and was obviously contacted by realtors and lenders. Which is great because this coming week I am going to get pre qualified. My question is what steps do I go through to vet these deals I find and initially run, decide on a city/neighborhood.

It is exciting to be finding deals in what I am looking for but I just want to make sure the process is right for nailing down numbers and info. I want to take action but in a educated and well informed manner. I appreciate your time and input.

-Taylor

@Daniel Bradley I wouldn't say deals I just found one so far in Northern CA that I found on the MLS. I'm digging deeper into. But it's gotten me to seek getting ore approved and talking with realtors. Pretty intimidating but it feels learning happens through necessity.

Hey Dan sounds like you and I are have many of the same goals and concerns. I'm experiencing the same with high priced MF units. Where I live rent wouldn't even cover PI. But I started to look at other towns and considering outta state much like you. I was encouraged though to find some good deals out of town they are out there! 

Good evening I need help analyzing a deal. Of course all of this information was entered by me.

https://www.biggerpockets.com/buy_and_hold_results/1182314

I have been looking for my 1st rental property. I am been looking at duplexes, triplexes and fourplexes. I live in way in Humboldt County in Northern CA and there are limited MF options. Running the preliminary numbers rent doesn't even pay PI. So I opened up my search to outside of my area 3 hours South of where I live. I found Duplex with a cottage on the property. The cottage looks like it needs work and the duplex is upgraded but has some finishing work as well. 

The purchase price is $225K but with work needing to be done and the cottage needing work there seems like room to negotiate down so I used $210K for the purchase price which brings COC to a little over 12% and $600/month in cash flow.

I reached out to get more information on realtor.com where it was listed and was obviously contacted by realtors and lenders. Which is great because this coming week I am going to get pre qualified. My question is what steps do I go through to vet these deals I find and initially run, decide on a city/neighborhood.

It is exciting to be finding deals in what I am looking for but I just want to make sure the process is right for nailing down numbers and info. I want to take action but in a educated and well informed manner. I appreciate your time and input.

-Taylor

Good evening and Happy Friday! I live way up in Northern Ca. I have recently been on the hunt for MF properties. There are limited ones up here and preliminary research shows me rent would not even cover P and I. So I started looking outside my area and found a deal. I would love insight on how you go about vetting the preliminary info in analyzing the deal and the neighborhood and city that it is in. What is important? Would love feedback or what others generally do.

Below is the link for the deal I looked at and may be a good town to invest in only 3 hours south of where I live
https://www.biggerpockets.com/buy_and_hold_results/1182314.pdf?c=1564181615

Today I had a small success. After the buy your first property in 90 days webinar I felt motivated to make real moves. I was leaving one of our forest roads heading back to the office. As I was locking up the gate a home owner across the street came chasing his dog down.

So I sat there talking to him about how long he'd been living there. I found out he had been there 3 years and bought the place with a partner and were going to sell the place. He told me he was a property manager and bought a couple places.

I told him I was looking to buy my first rental/investment property and talked about the local market here from what I learned analyzing some properties. He had a lot of local insight to the market here. Mainly saying that really the only rentals that will cash flow here are 3, 4 MF properties or deed auctions. 

So I'm going to go ahead and get pre-approved at my local Credit Union before talking with this realtor so I can move when a deal comes my way. I was just so amazed with what can happen when you just simply put your self out there and talk with people. I just had my eyes opened up a bit today.

@Brian Van Pelt thanks for the advice. I definitely see the RE market being at the top. Especially up here the prices have been high because of the cannabis industry and I'd expect prices to drop with legalization over a couple of years 

I'll try to keep this short. I wan't to buy my first property this year. I've been going through and educating myself to understand what niche, what strategy I want to use and how to analyze properties. I'm 28 have zero debt have retirement going, setting myself up for a career in land surveying and forestry and I have a good chunk of money for a down payment (closing and necessary repairs). 

Ideally I'd love to buy a duplex or triplex. We currently live in Humboldt County in way Northern Ca. However potentially in the next 2-3 years my fiance and I are looking at moving somewhere that is closer to family and a more ideal place for us to live. Would it be advised to buy a duplex or triplex and renovate it up here before and if we move? Or should we continue to keep saving up money and wait until we end up relocating?

I know people talk about the adage being there is no better time than now. But I just wanted some thoughts  from some knowledgeable folks. I appreciate any input.

-Taylor