All Forum Posts by: Tim Ryan

Those are all good resources you mentioned. Perhaps the next one is - a Mentor. Being new to this can be risky.

This is not too big of an ask. There are markets around the country that provide both cash flow and appreciation. I agree with you that some markets have already had their day. Like Columbus. I say, if everyone is talking about it, it's probably too late.

Be careful not to reject someone's advice in a city you haven't heard of much. Maybe it's early stages of a growth market. Waiting for everyone to be there, and saturate is too late.

mario,  correct on the math.

Now for sure you need to rehab it. What's the alternative and what's the question. Get to work on it and lease it. America doesn't have enough housing. That'll lease quickly.

I do believe in mentoring (of course, my profile says I mentor). But I've had, and still have many mentors. Some are free, and the best I pay for. 

For your situation I think you need someone who is not just teaching a method but will be interested in your success.  So that can't be someone selling you properties or stock investments (they say they care...)

Best to find someone local to you usually. 

For sure. Why not. Any debt that can help in an emergency is a good idea.

Get Kiyosaki's CashFlow Game and play with the family.  I did this with my 6, 8 and 10 year olds years ago. To this day they say it was the best and they all have real estate lingo and knowledge and two of the three (in early 20's now) own rentals. Third will soon.

This will be a game changer. Buy it today on Amazon! you'll be blown away, it's not a kids game.

Guests do like local channels especially for sports. We didn't provide full cable so instead we provided Hulu. And it was a pain because guests kept signing out to use their own.

So we just cancelled all services and we state on the listing that guests need to provide their logins for apps.

I know we'll have issues with older guests. Maybe it'll push us back to cable service. But we are testing this now.

We operate 7 str's out of state...

Crime data. Cap Rates in the area.

The way I look at this situation is this:

Let's say the rent you can get at that unit is $1000 as is. And if you rehab you are certain you'll still only get the market rate of $1000. Then don't rehab for zero COC return.

But if you can spend $3000 on the lite rehab and increase rent from $1000 to $1050 then you'd gain $50 per month.

50 x 12 = $600 more annually because you rehabbed.

600 / 3000 = .2 or a 20% cash on cash return!  And 50 is not that much to increase.

I've seen landlords who don't rehab always complain about cash flow. You need to improve the property to improve the tenant. An improved tenant is willing to pay more...

Your Alumni friend who is already doing real estate deals - will be your best partner. Make sure you get him/her on your team.

I believe in multiple partners on a business like this since (except for the alumni friend who actually might not have that much experience), y'all have no experience. So bound together and work as a team and take a smaller percentage if you make money.

I see so many would-be investors going it alone and never get anywhere. 

Get a good attorney to draw up your LLC and spell out what everyone does and how you can push any of you out when they underperform. You can stay friends, but business is business.