Mid south Home buyers - memphis TN
Investor · Houston, TX · Member since 2015 · 7 posts · 0 votes
Hello,
I have been reading and looking into this website and I was wondering if anyone has done business with them or know anything about them?!
Thanks
Since we are starting to get deep in this, I want to mention I have received the standard referral fees from Mid South that they offer to everyone on their website, and while I'm not trying to promote them in this thread, I want to let everyone know I like their model and it's what I do in CA for my houses.
That being said, I do have 5 houses with them, I don't focus on the Frayser area. I am ok purchasing there if the houses are newly rehabbed directly through Mid South or if I get a really good deal on their homes from their clients who want to sell, and they have been difficult to find. I closed on 2 a month ago that are Mid South homes where an out of country investor purchased the homes 2-3 years ago and now wants to invest somewhere else. I got them at a discounted price and they have great tenants. I had the homes inspected and looked at the tenant's payment history and I wish I could have bought more.
The newly rehabbed houses I have purchased from Mid South have been appraised at purchase for a few thousand more than what I paid. So I make a little equity, which is nice but not what I'm after with their homes. I'm primarily looking for the cash flow and a quality home that won't need major repairs for 5-10 years. By then I'll be retired from the military and living out there and can do most of the repairs myself.
I am guessing that Mid South will rehab/sell 280 homes this year from talking with them. They have been doing 200+ for many years. So as to Alex's question, I'd have to guess that they will be able to continue for several more years as I continue to see homes up for auction/foreclosed on/investors tired of dealing with homes that they have neglected to maintain to mention a few ways they find homes. I actually think @Alex Craig's company- Memphis Turnkey, Memphis Invest, Rent to Reward and the handful of other quality companies that do turnkey that I didn't mention will continue to thrive since there are so many homes available. Each of the turnkey companies out there have their own niche and focus. That's how they continue to grow. I may be wrong but I don't think I am and that's why I will continue to buy there. (Hopefully I'll retire in a few years, buy a 40' RV and maybe move out there and open my own turnkey company. Then I can sell homes while driving around the country. At least it sounds like a good dream.)
So, in conclusion, no one turnkey company is right for everyone. I talk to at a handful investors each week from here who reach out to me and they are looking for homes but no one company in Memphis, or wherever you choose to invest, will be what every investor is looking for. If you have taken the time to read this far then do yourself a favor, if you are an investor or a wanna be (future) investor, and determine what it is you want from an investment, at least some basic goals. Ie, I'd like to make $250 per month from a turnkey home. I have $20k to put down and I'd like a 15 year loan but may need a 30 year loan if I want the $250/mo cashflow or I want to pay the loan paid off in 10 years so that I can collect $400 a month cashflow once the mortgage is paid off or I'd like ??% cash on cash return knowing the higher the return the larger the down payment or older the home will probably be. There is soooo much more, so take it one step at a time, talk with all of the people on here who are willing to volunteer some time to talk with you, read the posts, attend REIA meetings, talk to the companies where you want to invest and then, the most important step, take action with the company in the location that best suits your style of investing once you have done your research. Good luck.
@Doug Spence wow! That’s insane. I was told about 10 months when I signed up for waiting list back in June. Have they just been stringing you along?
@Anthony Matus Yes they have. Its kind of like when the airlines delay your flight, but have no idea when the new departure time will be so they just keep adding 30 minutes. Mid South has experienced delays due to COVID and hasn't been able to predict when people will be up to buy homes because of these delays. The frustrating part, is I've had ~25k set aside in a savings account now for 18 months expecting to use it to purchase a Little Rock or Memphis property, but its just been sitting there... Hopefully I'll be up for a property soon, but I'm not holding my breath.
They are a great company. We sell a lot of homes to them and then they rehab them and sell to other investors. A lot of our clients actually find us and are on the waiting list and then decide to just buy it unrepaired and then fix them and refinance them. They have a good management. Good Luck!