Hello BP Investors,
Just wanted to say a HUGE "thank you" to the BP community! I had dabbled in real estate many years ago and have a vacation rental, buy and hold vacant land...but after finding out about BP, reading and connecting with other BP members I decided to step up my game and build up a portfolio of rental property. I am currently overseas so the experiences of many out of state investors was very helpful.
In December I purchased a 3 bedroom, 2 garage, 1.5 bath property in Michigan for $55,000. The bank's appraiser appraised it well above the purchase price. I then spent an additional $5,000 mainly for upgrades to the electrical system and a few minor things. The Christmas and New Year plus record snowfalls - most snow since 1886 I think - delayed both the work and the city inspections. It also reduced the amount of visits to the apartment and made showings difficult.
Anyway its now rented to a lovely couple - I took on-board the advice from the podcasts and forums about tenant screening and training - so hopefully this will eliminate some problems that could have arisen otherwise.
Looking forward to increase my portfolio, and so now considering whether to purchase in the same area, same state or another state. Also interested in buy and hold manufactured/mobile homes. Any advice appreciated!
Thank you BP!
Good to hear Paul! I'm in a similar boat as I'm also investing from overseas. I'm closing on my first property in a week from overseas and I hope to have the same success you're seeing.
We live overseas too. My question is was it hard to do it from overseas and how did you do all the paperwork etc?
Congrats on the deal.
You might consider building team members.
Go to IREM.org search for ARM certified property managers. Call 5 ask them what sides of the city they like/dislike and why. Ask what they see them selling for and what expenses are by category. Ask if they know anything coming up for sale.
Locate 3 different local REIA club meetings great place to meet people gather resources and info. Since you are a distance you can call the club officials and any vendors listed. Here you will meet wholesalers who provide deals get on their mailings.
@Paul Hector Congratulations on your great start! I am noticing that there is quite a number of us living overseas but not willing to let that stop us from pursuing our RE investment dreams. Just like @Joakim Esaiasson , I am very interested in your process to complete this first and probably hardest deal. Maybe we can connect and build a support network for our unique situation. Let me know if you're interested and again, CONGRATULATIONS!!!
Thank you everyone for your comments and queries and also those of you who viewed the post without commenting, I hope it provides some encouragement!
Sorry but I can't seem to get the "@" feature to work??
Good luck Roy! Ask questions, check, check and recheck. Once you've signed its all yours. Are you doing all of the purchasing from a distance or did you have a chance to visit the property?
Hello Joakim, for several months everyday I looked at condos and SFR listings on the MLS and asked lots of questions to the realtor I was working with. Got pre-approved with my credit union, then came to the USA to see the properties. The exchange of paperwork including with the credit union was mainly done by e-mail. In the case of the loan documents this was also done online with digital signatures, and I forwarded the supporting documents they needed. My credit union insisted on having me or a representative present at the closing. So I had to prepare a power of attorney designating a representative. The power of attorney had to be notarized and also apostilled in accordance with French law and then the originals sent by courier to the Title company handling the closing and my representative. This was the most complicated aspect of the paperwork. Some other challenges included not being fully aware of some particular requirements and local peculiarities for example the process for setting up rental inspections and transferring water and electricity into my name. My realtor was a great help in all of this!
Thank you Paul for this great tip!! I will try this approach as I try to find other properties and areas to invest in.
Thank you Pyrrha, this is a great idea and something that I'd be happy to work with you and Joakim on! Will send you a pm and perhaps we can do a skype call.
Once again thank you all!
@Paul Hector Congrats on the deal!
I'm scheduled to close next week on my SFR deal in the same market. Did you rent it as quickly as you hoped as far as only having a couple showings? (Not taking into consideration the crazy snow) Also, did you get the monthly rent that you were hoping to get as well?
Thank you Nick!
About 15 persons looked at the property. Using Sharad's and J Scott's tips we screened the prospective tenants and avoided the ones with the red flags. We also got the rent we were looking for!
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