All Forum Posts by: Tracy Ross

First of all- why not work with buyers? Helping people find their dream home or an investment for their future is so rewarding? Then they become your listing in the future!

I never double-end my deals. When I have a listing I don't think there's any ethical way I can help a buyer when I'm representing the seller. You can't help them negotiate or walk through inspection items- it's just too sticky. I refer buyers out for a 25% referral fee. 

I agree with everyone above. Price is the biggest motivator. Pricing under market value should move your listing quickly.

Most people who have owned for more than 2-3 years have significant equity in their property. Find out what their motivation for selling is. Do they need to sell quick? Price. Can they afford to let it sit for a while? It might still lower eventually to the price they could have started with and have been sold and moved on to a beach in Florida somewhere by the time they get their first offer ;)

I remind my clients no matter what "market value" is- your house is only WORTH what someone else is willing to pay for it. 

Check out analyzing deals on the bigger pockets YouTube channel. So much good information on how to analyze deals. This one is my favorite for learning the basics 

Also- try finding a real estate agent in your area who specializes in investment properties. They should be able to help walk you through that market.

 Absolutely! Also- see if anyone in those groups has a mortgage lender the like using and see what it might cost to get into a duplex where you could offset the mortgage with rents. It's such a great way to get started. You can also think about wholesaling and driving around looking for distressed properties! 

Our PM company uses Zillow to find tenants. I also like to list on Facebook Marketplace and Craigslist. Here in the Boise area our tenant placement slowed down a little as well but is steadying out. 

I would also say check out comparable rentals and see how many are out there and if you're priced correctly for that area/market. 

Hi George!

Congratulations! What a great time to start real estate investing! 

I think first off a great read that we all love here is "Rich Dad, Poor Dad" By Robert Kiyosaki. I think it's a great easy way to explain assets and liabilities and getting started in investing. Your first property could be a house hack (Buy a duplex, live in one side, rent out the other) Or just a home where you rent another room to offset the mortgage payment. 

I think the next great step would be to start networking in your area. Look up Facebook groups and real estate investing meet-ups there. It's a great place for questions from people who have "Been there, done that" and can give some unparalleled advice! Also- surrounding yourself with like-minded investors!

Hi Matthew,

Are you managing these yourself? And if so, will it kill your cashflow to get a good property manager? That can ease a lot of the headache of multiple turnovers. Sometimes you have to see where you can actually leverage back your time. 

Otherwise I think LTR's are ALWAYS a great strategy if you're into it for the long term equity potential. Then, like you mentioned you can refinance and repeat- building your portfolio! 

Aj-

This post spoke right to my soul! I have had long term rentals and my first STR is in Lincoln City. I LOVE it.

1. We have a management company to make sure everything is clean and comfortable for the next guest, but it's also nice to have eyes on our property more regularly than a long term rental. 

2. I 100% agree with you on carving out personal time there. My husband and I go stay (from Boise) about 3 times a year. We always bring tools because there always seems to be something, no matter how small- to fix. 

3. I was also of the mindset that we had to put nice, comfortable furnishings in. I LOVE when we get comments about how nice the bed is, or how cozy the couch/chairs or how nicely it's decorated. I hope it makes people want our place to be the one they always come back to.

My biggest question for you is how are you navigating the STR restrictions along the coast counties? We ended up with a condo because we couldn't find a home to STR?
 

Hi Hwan,

IMO Rates in the 2's and 3's are going to be an anomaly of our time. and something like 60% of homeowners have a rate below 4%. I think even if the rates come down in the next few years we are not going to see more supply. People are holding onto these rates. I actually think it's a great time to buy. There's not a ton of competition, prices are high and it can be hard to cashflow but if rates drop and we see more competition and low supply we are in 2020 all over again. 

Hi Derrick!

I know this can be somewhat market specific, but my best advise is not to focus on up front cash flow right now. Real estate is a long term investment and over time rent will go up, your equity position will go up, interest rates will go down- and throughout that time you will be able to write off depreciation. It's easy to get stuck in analysis paralysis and the best thing you can do is close your eyes and JUMP! You will do great and probably also make mistakes, but you will learn invaluable lessons along the way!