Rental property investor

5 Replies

Hello, I'm new to the bigger pockets forum and wanted to know are there any investors here from Ann Arbor? My goal is to start with a duplex that I live in and start there. I would like to know whay your thoughts are on this idea and how I can grow my real estate portfolio from that point.

Hello Ramon!  You might get some important experience on that investment but that way of making a living  is too risky.  You need to own about 20 of those to make enough to just pay your bills and you'll have 20 different addresses.  You did not explain any of your goals   That may be a decent way to start but will not earn you any money but save you some on the down payment.  It's a sign that you are willing to move to make your first investment.

What you should do while you are dealing with your first investment is to learn about how to recruit investors and/or Partners so you can start purchasing apartments but start off small and work your way up in quantity as you learn.  When you own about 32 units your budget might be able to hire Property Management out of your investment and they can probably handle the day to day operations and your time will be reduced while you manage the property management and that might be something you gladly let somebody else do that.

You'll have one address instead of 20.  The location matters more with multifamily rental properties.  You might have to work a little harder upfront  but once you find something you can take it a little easier.  Owning a bunch of houses is not very easy and managing them can be painful and you might look forward to not having to do it any longer.  You'll find out pretty soon that residential properties are not easy and possibly as painful it is. 

Among other things, the less units you own the more painful a vacancy can be.  My purpose is not to try to make you feel bad but I think apartments are a good way to go right now.

Good luck to you!

Hi Ramon— yes, that is a very good idea to start with, especially in Ann Arbor. PM me and I can tell you more about the rentals we’ve owned and how they’ve done. 

Hi @Ramon Williams welcome to BP! I'm somewhat local to you, in Livingston county. 

My advice is to start listening to the podcasts, search for house hacking, to get a better picture of what you want to do.

I've also started a Livingston County REI meetup that you are more then welcomed me to join to talk with other local investors. The next one will be in mid Sept and I will be creating an event in the Events tab soon. If that is too far for you, I know of a few other meet ups in AA.

Feel free to reach out.

Hello @Craig Herring,

Thanks for the response. The way my schedule is it would be very challenging to commute outside Ann Arbor. If you can connect me with local meet-ups in my area that would be great. 

Again thank you

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