All Forum Posts by: Wiley Hood

Recently, I've decided to do a cost segregation study on a new $490K property that I purchased this year.  I came across a firm (KBKG) that offers a $400 DIY cost study (paying for a membership).  I enter the information, and they generate the report.  It looks fairly simple.  To have a professional do it, it will be about $3,500.  Has anyone used the DIY tool, and are there risks?

 Love the chicken approach!  Actually, I am having them pay in the same manner as the last lease.

 You're right.

I really appreciate the feedback.  I've opted to honor the previous lease and let them pay the same way.  However, I think I'm going to approach them about the chicken thing.

Nice to be among so many successful property owners!  I have a question regarding a new tenant.  I recently purchased a property with an existing tenant.  They have a current lease which does not expire until next year.  I have every intent of honoring this lease, but need to set up the new payment arrangement.  Obviously, that aspect of the lease will change.  My question is, do I have the right to require them to pay me through my preferred method of receiving payments?  I currently use Rentredi for my other units, and it will require the new tenant to download an app.  

Anyone else come across this?

Hi Jennifer. I have 11 residential doors, and am working hard to pay down my loans right now. My ultimate goal is to pay them all off, and walk away from Corporate America. It would be nice to work for myself. I just paid off two units, and am targeting a third in the Spring. But, I kind of got distracted by the opportunity to own and operate a STR. So, I am purchasing a condo in Fayetteville to see if I can do this. The start up costs will set me back for a little while, but not for long. Also, I stumbled across a 3/2 single family home that I am going to try and flip. I'm probably taking on too much, and this Fall will be very stressful. I really don't know what I'm doing, but am watching lots of instructional videos! But, if all goes as planned, I will add significant revenue, and pay down significant debt. I really didn't think that good deals were still out there, considering NWA buyer's market. But if you keep your eyes open and are ready to move quickly, they are.

Leonard, what part of AR do you live in?  I am in NWA, near the UofA.

In order to get the best idea of any risks you may be facing, reach out to local realtors to get an idea of the market.  They are usually very helpful.  I always ask them before I buy in any area to get their opinions on the local demand and reasonable comparable rates.  And, I would build in some margin for vacancies.  Have you considered purchasing rentals in the cities that you mentioned, and having them managed?  There are some really good property managers out there.

Thanks Douglas.  I am still too small for a property manager, but maybe someday.  I appreciate your comments.

I wholeheartedly agree with the suggestion to stay local.  I have explored the idea of purchasing and flipping in Little Rock or parts of Oklahoma.  I just don't think I could manage it.  Also, rentals that are some distance away seem unrealistic, unless they are managed.  Down the road, I might look into that, but I'm not quite ready to take that on.