All Forum Posts by: Todd Anderson

@Alex Minter,  Congrats on starting your journey.  BP is the right place to start to get both information and connections.  Dou your work on the education so that you can have a firm strategy to get started.  

@Nathan Gesner has given you the best place to get started.

Best of luck.

@Ashish Gambhir, Congrats for getting onto the BP platform for information.  This is the right place to start.  

I have worked with a number of investors that have had good luck in NC.   There are a number of areas that have shown good growth over the years and have great job markets.  It is a good solid place to invest.

Best of Luck.

@Fernando Sosa, Good for you for wanting to grow.  BP is the right place to find info and connections.

Many of the investors I talk with about moving to DSCR find that the higher rates make it tough to make the deals work. Most investors can buy up to 10 properties conventionally before they need to go to DSCR.

Make sure you compair all options.

@Pranav Patel, as others have said, the best time to plant a tree is yesterday.  I would also encourage you to look into the house hack space.  with 50k you can easily find a duplex that you could get into for 5% and start your journey.

Best of luck

@Craig Daniels, Good for you for getting started and looking for the second deal.  In my experience it gets easer after your first.  I work with investors all the time looking for a turnkey experience.  Not all are the same.  

The investors that I work with do find that they are able to cashflow.  In the right situation there are incentives that can be put into the deal that allow the investors I have worked with to see cashflow as soon as month 1.  We have seen this same thing in the Ocala area.  

Where we have been able to find these better incentives is in the Build to Rent space.  In contrast to the high rates of the secondary market, the new construction properties are able to build in financing incentives that make the deal uncomparable. 

Connect if you would like more info about what we have found.

Best of luck

@Chris Babb,

I have moved in to the Build to Rent field full time.  I, and the investors that I work with find the advantages with new construction investment properties are so great it is sometimes hard to compete.  We are able to get great incentives and the ability to own an investment property that take a very light maintenance budget for the first few years is a huge plus.  

Feel free to connect, and best of luck

@Andreas Mathews,

Good for you at looking to make a change no matter the age.

@Drew Sygit,  is right on.  I had a PM company that I had built for 20 years with my wife who was a RE salesperson.  We sold that company 2 years ago.  You will need your RE licence if you want to make the higher salaries with an existing PMC.  But as said above it is not an easy job and the salaries are not great working for someone else.  Every PMC that i know is looking for good people.

Starting your own company will take a lot of work and it is a volume business.  It does take numbers to make money.  

I sold my company to a national PMC named PURE,  they have a large footprint in California and are always looking for people at most levels. 

Best of luck.

@Frankie Paterno I have talked with a number of investors in your situation.  They have equity in a property or two and are hesitant to deploy it.

Other investors I have worked with have found if they deploy this equity into a newer property as 25% down payment, they are able to find deals that work very well.  They identify markets that are growing and get in the way of appreciation.  With some of the new properties they find they are getting great interest rate buydowns from builders. 

with equity of 1.2M you have many options on where to move.  I have worked with some investor that can take down a small full development with that type of down payment.  You have many options.

I have done the development side before and unless you are experienced, be careful.   Your money sits for a long time with no return when you build.  There are many pitfalls along the way.  I have found it better to find new construction investment properties and buy after competition.  With this approach you are able to cashflow as soon as the property is full.

Best of luck.

@Kyle Knudsen  I agree with Denver, with a 1031 you must move all the proceeds to a new "like kind" property.  In my experience it cannot be used as construction funding.  I would reach out to @Dave Foster to confirm.  

Best of luck

@Elan Adler,

Thanks for the story of your experience.  Over the long hold I would expect that you will find a good appreciation.  When I talk with investors about the build to rent opportunities in the sunbelt we talk about finding areas of growth like you have found.  Nation wide we are still a long way behind on numbers of homes needed.  When you find a good market that shows steady growth, you get in the way of obvious appreciation.  

I would agree that the Cap Ex numbers for new construction are far lower than other homes.  most of the investors that I work with are planning on moving the investment before most of that Cap Ex would be needed.  

This type of investment works well for the investor that is not looking for another job. As others have said, no REI is totally passive, if you find the right group with all venders in place, the investors that I work with find it can be a pleasant transaction.

Best of luck with the investment