All Forum Posts by: Tom Henderson

Thanks Ashley. Totally makes sense. I appreciate the feedback here!

Hello team!

I am going thru a couple refinances on my rentals-- a quad and duplex in particular. I recently read somewhere, that if there are multiple hard pulls on your credit within a 2 week period, that the credit bureau only counts these pulls as 1 single ding? Just curious as I am working with different lenders on these deals.

Appreciate any insight you can provide.

Tom 

Hello Team!
Like many of you, I work a full time gig for another firm. I usually put in 55-60 hours for my day job. 

Needless to say, I need to be smart with my time, and not get distracted with interruptions or shiny objects during my day job hours.

I'm curious what type of routine some of you follow to best manage your real estate investments? Do you have a best practice standard morning routine? What would you add to this list below? I know Brandon has been talking about writing for one-hour each morning.. that got me thinking about how I can batch my Operational work into a 30 minute morning session, with coffee of course. 

I'm hoping to get this information, and subsequent work/follow-up done by 7:00 am each morning, so I can focus on my IT Sales day-job is the economic engine fueling this real estate endeavor. 

Working-on-business (not-in-it) activities:

- Automated renewal notices -- 90-60 days in advance

- Daily status-- current projects in flight

- Cashflow-- Daily review AR, Cash in bank accounts & Cash owed to credit card companies

- Client-Tenant requests-- for requests/incidents that are not emergencies and which can be handled next biz day

@Joseph Ball. Thank you for taking the time to write such a comprehensive note. I look forward to putting this in practice. 

hello Team!

I'm getting ready to show a recently renovated duplex in Minneapolis, just listed it on Craigslist actually.

I don't have the time (nor the budget, blew that on the reno :) to stage it. I'm curious if there are any staging-hacks I could implement on a dime? Area rugs? Air Fresheners? Flowers? Plants? Puppies? 

Outside the actual property itself, what small things make the showing experience more comfortable for the potential tenant?

Thanks,

Tom 

Hello team!

Here's a thought on my mind, which I thought I'd throw out to the community here--

My former college roommate, who is a talented carpenter/cabinet-maker, moved in a year ago as one of my tenants (in my personal unit). He has the option of paying me rent, or paying me in labor and has run 5 renovations for me. He also adds value to my business by helping source tenants thru our collective network, manage subcontractors, and handle my construction-- so I can focus on my economic engine- sales day job.

My business model-- I'm sitting on 3 duplexes and 1 quadplex in solid parts of the Twin Cities-- in young, vibrant areas near breweries, coffee shops and great restaurants... This year, I'd like to purchase 1-2 more 'rat-hole' duplexes, and turn them into very nice properties. My competitive advantage is leveraging our partnership and looking for the properties that other investors don't want to touch. Long term, I'd like to move into more of a commercial portfolio-- storage units, large multi-families and Triple-net leased strip malls and/or manufacturing buildings in the Twin Cities.

I'd like to weave this guy into my business from a right-hand-man ESOP (employe-owned) standpoint. He, along with my property manager, and financial consultant, help me optimize our collective strengths. I'm the idea guy, but stink at Operational Excellence...The type of idea-- 1+1 = 3. I like that. 

How would you structure a partnership? Any key measures of metrics that would make sense? I'm thinking of comping this guy on a monthly or annual basis, based on overall company welfare (keep OpX down, increase revenues). That is pretty basic--But I'm also looking for additional ways he can add value, and black/white metrics I can write down--- here are a few ideas

- he handle all communication with subs (collection of bids, vetting, references)

- He is responsible for adding value with solutions he can do, that add value and increase NOI (cedar fences, windows, new baths, cabinets)-

- he runs and presents projects to me on excel format (so I don't have to)

Just curious if anyone out there has an idea on how I would structure this. ESOP's have my attention lately, and the possibility of leveraging another person, so he/she can profit in the overall welfare is an exciting thought. 

No right/wrong answers. Just looking for your two cents!

Tom 

Ned, Guy and Wayne-- appreciate your thoughts and feedback. Thanks guys. Chalk another learning lesson up to school of hard knocks. 

Hello Team!

Quick question for you-- I recently completed a complete gut/renovation on a duplex in Minneapolis. 

For my final draw (I used a construction loan from a private bank), the title company is requesting that all subcontractors sign a lien waiver. Unfortunately, they told me this after some of the subs finished their work.

Everyone has been very responsive-- painting, electrical, plumbing... My tile/granite guy has gone completely dark on me. He has a history of doing this in the past, but this is extremely frustrating because a large amount of money is due to me (I've already paid out-of-pocket, and am waiting for this. 

I'm curious if any of you have every dealt with an issue like this? How would you corral him? Is there an alternative way to time-stamp that efforts were made to sign a lien waiver, but the contractor refused? From a title company standpoint, I totally understand they want to reduce all risk... any feedback/thoughts/ideas you have would be greatly appreciated.

Thanks,

Tom 

Thanks everyone for your thoughts and ideas.

Jon-- I own 3 duplexes and a quad in Uptown (lynn-lake) and NE.  My tenants needed a cool/approachable landlord, so I recently subbed it out to a prop mgmt firm ;)

Sawyer- I agree on the closets. Too bad many of the 1900-built homes have such small closets!

Tom 

Hello Team! It's been since my last post. Been working on a full scale renovation on a duplex in Minneapolis while working a day job ;) Curious what you think appeals most to the millennial renter? At the tip of my list (as a millennial, and landlord in a hipster-friendly neighborhood :)I would say the following below... But am also interested in your feedback! - dog friendly... With fenced-in yard - dishwasher - outdoor fire pit, or place to grow vegetables - nice bath and kitchen with subway tile Also, how are your enabling your tenants to have a better experience with the home's technology? Millennials are so tech friendly, and I'm interested to hear how you're making the tenants experience better. Do you have any experience with credit card laundry machine vs. coin op? Cheers ! Tom