All Forum Posts by: Tina D.

I know everyone and their mom asks this...but really I am struggling. I have been researching, reading, talking to people, saving and generally kicking the REI can around for a good 9 months now. And I just cannot pull the trigger on anything. No deal in particular looks that great to me..am I looking in the wrong place? Maybe I am waiting for a good deal instead of MAKING a good deal? How do you guys find your deals and what makes you pull the trigger?

 This was exactly my thought until this weekend when he started hitting up my agent saying he will cut me a deal. Starting to think maybe he does need to sell...but you are right. The only option is to offer what I will pay and that's it. It's all about the numbers, right?

I would add OTR/Pendelton to your list! The appreciation in OTR has been very strong and there is a ton of $ being put into developing the surrounding area right now. With the streetcar opening next month, lots of business flocking to the area as well.

Haha I overthink everything! First property...makes it even worse.

I asked a lot of questions but didn't make an offer, lo and behold the owner has since reached out to my agent multiple times saying he will take a deal. I plan on low balling an offer. I will be sure to stick to my max. Thanks for the advice, Ill keep everyone posted.

Went and looked at a property listed on the MLS yesterday. It is a triplex in a hot hot neighborhood, and is fully rented. Cosmetically, it needs lots of updating, and it doesn't have some standard amenities like parking and central air that most expect in this neighborhood. However, the current rent reflects that and with these improvements, could definitely be raised.

Problem is, it is overpriced. It has been listed for a couple of months now and not selling and here is what I know:

It was purchased in 4 or 5 months ago as a short sale for 150k

The owner put mayyybe 15K into fixing a few things like electric, the porch, etc. No improvements inside.

They listed it in June for 280k ????????

It has since dropped to 255k

Current rental income is about 30k a year.

I am so confused as to why this would be listed so high and what this investors strategy is. My agent and I looked at comps and current condition should not really sell for more than 180k or so. With HVAC, parking, and kitchen/bath updates, it would easily sell for current price. I ran the numbers and it would have very good cash flow IF I could get it at 180k or so. And there is opportunity to improve the property to increase value and rent. 

So...thoughts on the deal? Think it could be good? Strategy to get it if so????

You guys are amazing. Thanks for your help.

Truth be told I am so overwhelmed. I have so much passion for this and have done so much research but still feel so unprepared to start. And honestly, the more I read about what kind of deal you need to get to get positive cash flow, etc., the more I think it is impossible. I used the calculator to estimate cash flow on this property I am looking at now, and it says about $200 cash flow after all expenses. Which is pretty good I think???? To start??? But I still don't see how I can ever get to my freedom number of $5000 a month. It just seems impossible. That is 25 properties! Or maybe that's how you get there, I don't know...

I know this isn't easy and I am not looking for a get rich quick. It just seems so...difficult! You guys are beasts.

 Steve, thanks for the advice!!! Love what you said about multiple offers. Good to know!

I am open to other search areas, I guess I just don't know those markets as well because I lived in Hyde Park and Oakley for so long. How does one even find out how much rent you can get on a property??? I am so afraid of buying a place that I cannot rent out - how do you overcome that? I think that is why I was looking in HP/Oakley...I know I can keep it rented...but maybe that's not the best reason.

So much to learn  :)

 Can you tell me more about this?? Why don't more investors start here?

I am so ready to start but I cannot find a property that feels like the right one. I found a house in Finneytown that is a 1 bedroom that I was going to convert into a 2 bedroom, and rent out, but I was afraid I wouldn't have renters....

Thanks for the reply, Greg! What resources do you recommend to "do the numbers"? I see that in a lot of blogs and books but not a lot of how to do that or what it actually means?? I have spreadsheets that I created to calculate what I believe the cash flow will be based on rental income and expenses, but I have no idea what I am doing yet. Any suggestions?? Thanks again!