Feels Great to invest...but.. I might have a heart attack!!!

Feels Great to invest...but.. I might have a heart attack!!!

Real Estate Investor · Redlands, CA · Member since 2017 · 5 posts · 1 vote

Hey BP community!!!!  

I'm from Southern California and I just bought a duplex in Racine, WI without seeing it in person. 

I chose Racine because:

1.) Its much more affordable than So Cal  

2.) I have an Army buddy that lives there and help keep an eye on things in a pinch

3.) I found what I believed to be a good deal based on principles I learned here on BP

I have planned on buying rental property for over ten years but never had the capitol and/or nerve until last month.  Once I got the money and guts I decided to go crazy and buy a place halfway across the country.  I closed December 30th and flew 2 days later to see what I got myself into.  Once I got there and saw it in person, the pressure started to hit me and now I'm a little bit scared.  

Although it's been working out well so far (just finishing rehab) I'm afraid that I'm missing something in my preparation for tenants. 

I've read multiple books and listened to tons of podcasts and audio-books but I'm aware that I have much to learn about the business.  I'd love to share my experience here for anyone who wants to see me fumble my way through the process.  I would also love to have some help navigating the crazy world of Racine real estate.  

Let's meet and discuss how to get Bigger Pockets!!lol

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Developer · Hobart, IN · Member since 2014 · 773 posts · 225 votes
9y

Welcome to the site! And congrats on your big jump and purchase. Love the prices we get out here in the midwest. Let me know if you ever need anything or if I can help at all. 

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  • Developer · Hobart, IN · Member since 2014 · 773 posts · 225 votes
    9y

    Welcome to the site! And congrats on your big jump and purchase. Love the prices we get out here in the midwest. Let me know if you ever need anything or if I can help at all. 

  • Investor · Chicago, IL · Member since 2016 · 38 posts · 11 votes
    9y

    Congrats on the purchase and good luck!  How'd you find the property?

  • Real Estate Investor · Encinitas, CA · Member since 2016 · 3k+ posts · 3k+ votes
    9y

    @Todd Jackson I don't think I've ever made a purchase and not had (more than one) the moment of "They accepted? <Insert curse word here> I must have overpaid!" "Why didn't someone else by this before me?" "If it was a great property, why did the owners sell in the first place?"  What I end up doing is rerunning the numbers again and again and again.  Odds are you did miss something.  Odds are that "something" won't be the end of the world.  Odds are you'll be calling your Army buddy to drive by the property (more than he/she would like) to check on it.  For whatever it's worth, better to be overly diligent than overly confident.  

  • Real Estate Investor · Redlands, CA · Member since 2017 · 5 posts · 1 vote
    9y
    Thanks for the welcomes and encouragement. Hopefully you're right and my fears are just the normal jitters and it'll make me a millionaire one day. 😁 I found the place with help from a great realtor in Racine. Kerry Sue Dunk She is experienced in investing and was great. She,in fact, is still helping me as I rehab it.
  • Rental Property Investor · Fort Collins, CO · Member since 2008 · 168 posts · 105 votes
    9y

    I bought a house like that once site unseen, but my plan was to rehab. I had some trustworthy people put eyes on it and ended up being a profitable deal. I think I made around $40k on that deal...would I do it again?? Probably not!

  • Investor · Coppell, TX · Member since 2008 · 2k+ posts · 646 votes
    9y

    Hello and welcome to BP!  It is kind of hard to look at all of your properties before closing.  It is good that you have a friend who lives in that area.  In the sales contract have a clause to give you the time to make a detailed if that is a qualified deal.  At least it is a long term purchase.  Or at least you are looking at something that is a plosives cash flow versus a negative one.  Just keep your fingers crossed and make any necessary adjusts to your schedule.  If you don't have one then now would be a time to a shot at it.

    Good luck to you!

  • Real Estate Investor · Redlands, CA · Member since 2017 · 5 posts · 1 vote
    9y
    Adam Meier why not again? That bad of a headache? I plan to hold (BRRR) but should have enough equity to sell if it ends up working out better.
  • Rental Property Investor · Fort Collins, CO · Member since 2008 · 168 posts · 105 votes
    9y

    @Todd Jackson Looking back, I think it was too risky and should have spent the $500 to fly out and inspect myself. Maybe a buy and hold...maybe. :) 

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