Real Estate Investor · Houston, TX · Member since 2010 · 37 posts · 326 votes
"So, how many properties do you own?" I get this question almost every time I tell someone that I'm a real estate investor. Tenants and applicants ask the same question also. I generally respond with a smile and say "At least this one." To me the question is about the same as asking a stranger how much they make. Do you get this question and if so how do you feel about it and how do you respond?.
Investor · Louisville, KY · Member since 2011 · 1k+ posts · 1k+ votes
13y
I get this question from friends, family and prospective tenants. I think everybody has different levels of comfort and to each his/her own, but I never have any problem divulging this information.
From a friends/family perspective, I like to show off my hard work and effort and don't mind if people know how many properties I have. Plus I see these people as a pool of potential partners/investors on future projects and as such want them to know what I'm up to.
From a prospective tenants perspective, this becomes a little less about showing off what I've amassed and more-so about letting them know that I'm an experienced landlord, not just some schmuck who will be in over his head when it comes time to make repairs or fix a leak.
At the end of the day, this information is public knowledge (at least in KY) - and sharing the number of properties you "own" doesn't really divulge all that much information about you or your financial situation seeing as any number of them could be highly leveraged, under-water or completely paid off. Not to mention they could have a wide range of retail values. So if you say you own 1 property or 100...what does that really mean to the person asking? To me, it tells them how experienced you are at what you do and how well you do it or maybe even how long you've been doing it.
Rochester, NY · Member since 2013 · 20 posts · 2 votes
13y
Originally posted by Robin Grimes:
I started this thread because I get asked the question constantly. Just yesterday I was rehabbing a new rental and posted two free vanities on Craigslist. A young guy and his pregnant girlfriend show up and the first two questions they ask. Q: "So are you going to rent it out?" A: Yes. "How many properties do you own?" A: Only this one is available for rent.
My response If I was them: "oh I see. You're an a hole. Good day".
Rochester, NY · Member since 2013 · 20 posts · 2 votes
13y
Originally posted by J Scott:
Originally posted by Ryan Fischer:
I think that's silly. You could own 300 properties and be losing money each month, and mortgaged to the hilt. Telling someone how many you own has nothing to do with your financial state or how much you make. All it does is give them an idea of how much work you have to do to keep them all going.
You give people too much credit. If you tell an average person (i.e., your tenant) that you own 300 properties, he's going to assume that means you're loaded. That makes you a lawsuit target.
If it turns out that you really are mortgaged to the hilt, you have nothing to worry about. But, if it turns out you have a lot of equity in those 300 properties, do you really think it was a good idea to advertise it?
So, I guess my point is, if you own lots of property, have no equity and want to brag about it, go for it. But, most experienced investors who have equity in their holdings recognize that the downside of disclosing anything about your financial situation far outweighs the need to brag about it.
I understand that.
But if you look back at what I replied to, I was replying to the statement that its the same as asking how much money you make. And that's not true at all.
There are also tenants who won't rent from you unless you have at least a few homes. To them, that means you're not a newby and will be able to fix their issue if one arises. It's a security thing.
Investor · Southeast, MI · Member since 2012 · 2k+ posts · 1k+ votes
13y
Robin Grimes I like your website too.
I like the way you explain how a cash sale works. I've had people question cash before. I explain to them that I'm not handing over a garbage bag full of cash and you throw me the keys. It will be above board at a title company.
Investor · buffalo, NY · Member since 2008 · 354 posts · 23 votes
13y
J scott I agree with you. I always tell people I am the property manager and I work for my 'partner' ( I don't tell them I am the other partner) That way I feel less pressure from the tenant. Then when the tenant asks for something and I don't think it is necessary I can say " I will check with the owner and let you know" It makes it easier!
Lender · Woodland Hills, CA · Member since 2013 · 362 posts · 115 votes
13y
Originally posted by J Scott:
If it's a tenant, the best answer is, "I don't have any...I'm just the property manager. The owner only owns this one though."
Bravo that Scott, and also gleaned from Mike McLean's Section 8 Bible (so good Im tickled to parrot him) tell them you are the contractor and answering to the property owners.
Puts you in a position to be the good guy and the nameless/faceless owner the bad guy when you have to instill hardened discipline.
Also, gentle wisdom for the 20 somethings in this thread. . . I was a 23 year old CEO of my company, and felt the same thing-not being taken seriously.
I want to give a thoughtful word of encouragement, that it is YOUR RACE, the path is looong and in the end, only with yourself.
You DONT need validation from ANYONE, and find the folks who will support you and nurture you.
Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
13y
Smart landlords will compartmentalize their holdings for liability, and I can promise you that you'd have no idea how many properties a professional landlord concerned about liability will have.
Using your logic, the guy could own 1000 units and still not be good at property management, so what does it matter how many units he has?
Btw, I'm pretty sure that I'm more transparent about my real estate business than 99.9% of investors out there, I spend a lot of money on attorneys to ensure I'm protected from frivolous lawsuits, and I still wouldn't volunteer this information to a tenant...
Rental Property Investor · Upstate, NY · Member since 2012 · 3k+ posts · 3k+ votes
13y
Originally posted by J Scott:
Originally posted by Ryan Fischer:
Using your logic, the guy could own 1000 units and still not be good at property management, so what does it matter how many units he has?
Exactly.....
We have many friends in RE & we all have a fair idea about who owns what & how many as we consult each other a lot on deals.
The question is not how many do you own BUT
'how many are actually making money' !!!
Rochester, NY · Member since 2013 · 20 posts · 2 votes
13y
Originally posted by J Scott:
Smart landlords will compartmentalize their holdings for liability, and I can promise you that you'd have no idea how many properties a professional landlord concerned about liability will have.
What is your full name? Give me an hour and a call to my lawyer and I will tell you every property you have ever owned.
So, Robin should be more thick-skinned about getting questioned, but the tenant shouldn't be thick-skinned about getting a smart-*** answer. If the tenant can't handle a sarcastic answer, they shouldn't be asking personal questions.
It's not a personal question. To say that it is, well, that idiotic.
I'm not justifying their reasoning, I'm explaining their reasoning.
Also any scammer will respond with a well thought out process to handle issues.
The fact remains that telling a tenant how many properties you own is neither private nor does it open yourself up to lawsuits. But if it makes you feel better about yourself, then OK.
Rochester, NY · Member since 2013 · 20 posts · 2 votes
13y
Originally posted by Pat L.:
Originally posted by J Scott:
Originally posted by Ryan Fischer:
Using your logic, the guy could own 1000 units and still not be good at property management, so what does it matter how many units he has?
Exactly.....
We have many friends in RE & we all have a fair idea about who owns what & how many as we consult each other a lot on deals.
The question is not how many do you own BUT
'how many are actually making money' !!!
Right. Yet somehow the OP thinks that asking how many properties someone owns is the equivalent of asking how much money someone makes.
Real Estate Investor · Houston, TX · Member since 2010 · 37 posts · 326 votes
13y
My mistake, I used the word private when I should have said personal. How many properties I own is personal information that I would rather not hand out to anyone who ask, regardless of how publicly available it is.
Rochester, NY · Member since 2013 · 20 posts · 2 votes
13y
Originally posted by Robin Grimes:
My mistake, I used the word private when I should have said personal. How many properties I own is personal information that I would rather not hand out to anyone who ask, regardless of how publicly available it is.
I dont see it as personal either. But I apologize if I offended you. I was just trying to convey a point. Please remember that its tough to determine tone in text. I was just having a conversation, not saying that you dont have balls.
Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
13y
Originally posted by Ryan Fischer:
What is your full name? Give me an hour and a call to my lawyer and I will tell you every property you have ever owned.
First, I find it pretty ironic that you think you're such a super sleuth, but can't even figure out my full name...
But anyway, here you go: Jason Scott Steinhorn
I'll even give you a head start -- I've had full or partial ownership in 53 properties in my life (47 of them are listed right on my website), plus the interest I have in 2 REITS, which both own lots of property (as partial owner of the REITs, I have a small legal interest in the properties owned by the REITs).
I'll be back in an hour to see what your lawyer came up with...
Investor · Southeast, MI · Member since 2012 · 2k+ posts · 1k+ votes
13y
I just went to the bank today and a teller asked me how many houses I own. She was looking for a house for rent. I've found that often times people will ask this if they are looking for a house. Many times I will get a call about a house that has been rented and the person will ask if I have "other houses" or "how many houses do you have". Either way, I don't always think the intent is to be nosey.
I don't tell tenants how many houses I have because I don't want to be a target. I usually say "a few" or "too many, do you want to buy them?". Or I might say, "I wish I didn't have any. The market crashed. Did you hear about that?"
When I meet another investor, I always ask how many houses they own. Maybe I shouldn't. I never thought anything about it. Most investors are open with each other. I never have a problem telling them how many I have and I've never had one get offended by me asking.
I can see how someone would want to keep it private. I think this whole topic has been blown way out of proportion. I can see how the OP wouldn't want to tell anyone, tenants or otherwise. Some people are an open book and tell you there whole life story and others keep it close to the vest. To each his own.
Rochester, NY · Member since 2013 · 20 posts · 2 votes
13y
Originally posted by J Scott:
Originally posted by Ryan Fischer:
What is your full name? Give me an hour and a call to my lawyer and I will tell you every property you have ever owned.
First, I find it pretty ironic that you think you're such a super sleuth, but can't even figure out my full name...
But anyway, here you go: Jason Scott Steinhorn
I'll even give you a head start -- I've had full or partial ownership in 53 properties in my life (47 of them are listed right on my website), plus the interest I have in 2 REITS, which both own lots of property (as partial owner of the REITs, I have a small legal interest in the properties owned by the REITs).
I'll be back in an hour to see what your lawyer came up with...
I don't think i'm a super sleuth, nor do I claim to be. THAT IS THE POINT. You don't have to be to find out this very basic information.
You don't seem to have much in the way of common sense.
Investor · Maui, HI · Member since 2009 · 13k+ posts · 3k+ votes
13y
Nice image Ryan Fischer :) and fun debate ya'll - but - I'm closing down shop on this thread, as it's veered quite a bit away from the original question!