All Forum Posts by: Yoann Dorat

@Kelly Martinez if you have a marketing budget and experience cold calling, you would be better off finding your own deals. Relationship with wholesalers will come along the way but in this current market inventory is so tight, everything sells (sometimes over market) so the timing is not ideal to target Wholesalers as your only source of deals. 

@Kenya Williams, If the property is really in C class area on the east side and needs $50k+ in repairs, it's not worth it. The ARV is probably lower than $50k... except if you're in a few pockets like East English Village (but it'd be B class then).
So financially you'd be better selling it as-is. Now if this property has sentimental value for you, then rehab it, rent it out (careful with the tenants in this area), hire a good property manager like @Drew Sygit and hopefully, the area will improve over time. 

Let me know if you need help I can send my team to take pictures for you.

@Malik Harvey I've worked with almost all the title companies in Metro Detroit over the years and I personally think Speedy Title & Escrow are the best, especially for wholesaling. Shoot me a DM if you need an intro

@Jeremy Young, it's a D class area, stay away from it. 
If you're looking to invest in Toledo, I'd recommend these zip codes: 43611- 43612 -43615 

@Valerie Jean McCloskey, I personally don't like buying "occupied" properties, you never know if the tenant will keep paying once you close, I wouldn't trust the financials provided by the seller either as I've seen more "forged" rent rolls than I'd like to admit. Your best option is definitely to wait until the tenant moves out and pick your own tenant at market price.
$120000 seems like a fair price if you can rent it for $1380/month, however as @Jason Wray stated if you can avoid HOA fees by buying an SFH instead, you'll have more control over your OPEX.

Hi @Lynette Fisher send me a DM and I will share my template of PA with you (Michigan). 

Hi @Isabelle Chapman, Detroit is our home market, shoot me a DM and I'll be happy to answer any questions you may have. 

Ps: I speak french too ;) 

@Ellie T. I never heard anything bad about this company, they look legit. 

Send me a DM I might be interested in your property for my personal rental portfolio. 

@Valerie K. It really depends on your market and strategy, my sweet spot is class B areas where I can find a solid 6-8%, then I use leverage to get a better cash on cash return. 
Based on my experience 9-12% cap is C areas, you need to be more hands-on on management and you're betting only on cashflow as there is rarely any appreciation in these areas. 
Anything over 12% cap is D areas and the numbers only work on paper, the maintenance and turnover will eat your profit. 

Now a B-class property in the midwest obviously gonna have a higher cap than a B-class in South Florida, but Florida has a better appreciation, so once again it depends on what you're looking for. 

Also, everyone has a different method to calculate their cap rate, I personally like to integrate a reserve for maintenance and vacancy, but most people only integrate property tax, insurance, and PM fees.... 

In my opinion, cap rate is a false metric, you should watch your cash on cash return. 

@Angela Blaine you can download a list of cash buyers around your subject property from Propstream, skip trace it and cold call them. 

Or you can find a JV partner with a strong buyer list in your local REIA meetup or on FB groups.