21 and eager, Where should I start?

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21 and eager, Where should I start?

Joe Kilchermann
Member since 2020 · 22 posts · 3 votes

I am 21 and have a wife and child. I have done a lot of research and I want to acquire rental properties in about 3 years. I have to get some things in line before I can start, but I want to be as prepared as possible. I am currently wondering:

-How can I find out if an area is right for a rental property?

-Where should I begin investing in the state? (In other words, where is the tried and true areas to invest in? I assume metro areas like Grand Rapids, Lansing, Detroit, etc. are the prime areas for rentals?)

-Lastly, Is their any active LL's and investors in MI that have turned rentals, or other forms of "passive income" investments, into their main income recently? If so, what was the biggest hurdle that you had overcome to reach that point in your investment career?

Thank you for reading this, and thank you for your time.

Joe Kilchermann Jr.

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Brandon GoldsmithBusiness Member
Real Estate Agent · Columbus, OH · Member since 2020 · 1k+ posts · 1k+ votes
6y

I think one of the best things you can do is to find a mentor in your area and learn from them. You will, of course, be able to learn a great amount from BiggerPockets but finding someone who is doing what you want to be doing is one of the quickest way to learn. 

I also suggest talking to local lenders and realtors to get a better opinion of which city/area might fit your investing goals the best. @Joe Kilchermann

[email protected]614-963-3340
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  • Benjamin Seibert
    Investor · Frederick, MD · Member since 2016 · 352 posts · 194 votes
    6y

    Hey @Joe Kilchermann I was in your shoes a few years ago. Here are a few quick answers:

    -You 'll have to set your criteria first. Then analyze properties in an area and see if you can get them to fit. If none fit it likely will be a dry well for your criteria

    -I dont invest in Michigan but I've heard Detroit is booming. The closest I'm investing is Cleveland and it seems to be a solid B-D class property market.

    If you haven't I'd recommend reading a couple of @Brandon Turner and @David Greene's books. You'll need to figure out what your criteria is (what's your goal for RE investing). Analyze as many properties as possible and get comfortable with those markets your identify. Also, make as many contacts as you can in the markets - you never know when they'll come in handy.

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you Sir!

    0Reply
  • Calvin OzanickBusiness Member
    Property Manager · Janesville, WI · Member since 2017 · 707 posts · 297 votes
    6y

    Have you considered out of state investing? This would allow for passive investing to begin developing into a larger portfolio. You also would not have to chase when it comes to the management end of things by just putting together a strong team wherever you choose to begin investing. 

    Wisconsin Property Managers4.7412 Reviews
    WebsiteView Page
    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Yes sir, I have thought about those things. My problem right now is that I want to start with Michigan to get a handle on the business. I haven't done anything before. Once I built my portfolio and experience then I wanted to look into out-of-state investing. Is there any books that could provide good reference for this?

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Preferably, I would like to have these resources available  in an easily accessible online format. I will be going into a Law Enforcement Academy here soon, this will strongly limit the amount of free time I have to sit down and just read, but I can always listen to a video or whatnot while working on other things.

    0Reply
  • Mary Gansallo
    Investor · WA · Member since 2017 · 30 posts · 17 votes
    6y

    @Joe Kilchermann I can relate to you as far as not having time to sit and read. I’d suggest listening to the biggerPockets podcast as much as possible. David Greene’s book, Long Distance Real Estate Investing is also available in audio book format!

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you very much for the advice Mam! I've been listening to the podcast, but now I'll definitely find the audio book. Thanks again!

    0Reply
  • Dylan TanakaPro Member
    Real Estate Agent · Detroit, MI · Member since 2008 · 455 posts · 178 votes
    6y

    @Joe Kilchermann welcome to BP & real estate investing!  The best advice I can give is to start building your network.  A good portion of your questions can be answered by veteran investors who you'll meet.

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you Sir, however, that is also why I probed this community with my questions. I am working on the face to face network, but I value all of your knowledge as well. I'm trying to build my network virtually and locally.

    0Reply
  • Christopher B.
    Investor · Southeast, MI · Member since 2016 · 425 posts · 184 votes
    6y

    Welcome.  It sounds like you are already on the right track.  I'm local to SE Michigan and NW Ohio, so if you have any questions, or want to have cup of coffee (tea for me), let me know.  

    1Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    For sure! Thank you Sir! 

    0Reply
  • Brandon GoldsmithBusiness Member
    Real Estate Agent · Columbus, OH · Member since 2020 · 1k+ posts · 1k+ votes
    6y

    I think one of the best things you can do is to find a mentor in your area and learn from them. You will, of course, be able to learn a great amount from BiggerPockets but finding someone who is doing what you want to be doing is one of the quickest way to learn. 

    I also suggest talking to local lenders and realtors to get a better opinion of which city/area might fit your investing goals the best. @Joe Kilchermann

    [email protected]614-963-3340
    2Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you very much Sir! I've been trying to get ahold of some different people but I seem to fall through. Any tips on catching the eye of a potential mentor?

    0Reply
  • Zeke ListonBusiness Member
    Real Estate Agent · Columbus, OH · Member since 2018 · 1k+ posts · 1k+ votes
    6y

    Hi @Joe Kilchermann, you're on the right track. Keep asking questions and learning!

    [email protected]614-665-5793
    Forge Real Estate Advisors535 Reviews
    View Page
    0Reply
  • Ujwal Velagapudi
    Investor/Agent/Entrepreneur · Dallas, TX · Member since 2016 · 464 posts · 564 votes
    6y

    I would first define your goals for what you want to achieve, have a clear set of criteria on how you will choose the right type of properties to meet those goals, and then you can focus on the area after. 

    I have lived in all 3 of the cities you have mentioned, so I can offer some perspective there if you'd like. I preferred the city of Detroit, but depending on where you live now I really did like GR and think it'll continue to grow. I looked to invest in Lansing before a few times, but in hindsight it just doesn't have much an industry or local market for me to want to invest there now. 

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you for the advice Sir. I will definitely implement these tactics to build a strong strategy in how I will invest and build my portfolio. I definitely need to understand a bit more about how to critique properties before I begin.

    0Reply
  • Melissa Wesling
    Investor · Chicago, IL · Member since 2020 · 148 posts · 97 votes
    6y

    It sounds like you are looking for long term rentals, but if you are looking into real estate for short term vacation rentals, I have experience renting STRs in southwest Michigan should you have any questions about that market.  Good luck! 

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you Miss! I am focused towards long term but that sounds interesting. I'll look into it and definitely shoot you some questions should they arise.

    0Reply
  • Remington LymanBusiness Member
    Real Estate Agent · Columbus, OH · Member since 2017 · 6k+ posts · 7k+ votes
    6y
    Originally posted by @Joe Kilchermann:

    I am 21 and have a wife and child. I have done a lot of research and I want to acquire rental properties in about 3 years. I have to get some things in line before I can start, but I want to be as prepared as possible. I am currently wondering:

    -How can I find out if an area is right for a rental property?

    -Where should I begin investing in the state? (In other words, where is the tried and true areas to invest in? I assume metro areas like Grand Rapids, Lansing, Detroit, etc. are the prime areas for rentals?)

    -Lastly, Is their any active LL's and investors in MI that have turned rentals, or other forms of "passive income" investments, into their main income recently? If so, what was the biggest hurdle that you had overcome to reach that point in your investment career?

    Thank you for reading this, and thank you for your time.

    Joe Kilchermann Jr.

     You can put the address into a rentometer and see if there is a lot of comparables in the area. If there are other rentals chances are it is a place that supports rentals

    [email protected]614-541-8475Podcast Guest on Show My Job Laid Me Off, So I Replaced My Salary with Rentals
    Reafco512 Reviews
    WebsiteView Page
    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you Sir! I didn't know that those were available. That will definitely help!

    0Reply
  • Faith Steller
    Realtor · Lansing, MI · Member since 2014 · 26 posts · 8 votes
    6y

    Hello Joe,

    Sounds like you have been doing a lot of research a studying a lot which is a good place to start investing your time into knowledge.  Depending on if you plan to manage your rental your self or have a company do all your management would be the way I would figure out what location is a good fit for you? On the one hand, you can save money if your handy and available to your tenants but on the other hand, having a known company to take care of what you do not want to but needs to be done can have its advantages. 
    Anyway, I love up chat about real estate, yes I'm a Realtor in the Greater Lansing Area but always willing to chat with someone about their real estate goals. 

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank you very much, I've been trying to find property managers around mid Michigan but am coming up dry. I plan on reading a few more books before jumpong into all of this haha

    0Reply
  • Mark Pardee
    Rental Property Investor · DeWitt, MI · Member since 2015 · 11 posts · 11 votes
    6y

    @Joe Kilchermann

    I'm a realatively new real estate investor in Lansing. I have 2 properties in Lansing and a duplex in DeWitt. I have a very experienced mentor and a property management company. love to talk real estate if you want to meet for coffee sometime, PM me.

    0Reply
  • Joe Kilchermann
    OP
    Member since 2020 · 22 posts · 3 votes
    6y

    Thank You Sir!

    0Reply
  • Will GastonPro Member
    Rental Property Investor · Columbia, SC · Member since 2010 · 1k+ posts · 2k+ votes
    6y

    @Joe Kilchermann there are currently 388 BiggerPockets podcasts. Listen to one per day for the next 388 days. You'll learn a ton and do it for free. Using that education will make you and save you a tremendous amount of money in your career.

    0Reply
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