Greetings from Chattanooga!

Greetings from Chattanooga!

Chattanooga, TN · Member since 2018 · 15 posts · 6 votes

Hello everyone. I've been listening to the guys' podcast for awhile, and I've decided to take them up on their Quiiiick Tiiiip! by introducing myself. 

My real estate experience is limited. I've participated in numerous renovations in Knoxville and Chattanooga, so I know how to get myself in trouble at a construction site. Fortunately, I'm clever enough to realize building is not one of my core competencies (I'm an ace at Demolition though!) I guess it goes without saying that I did not find BP on accident. My obsession for a long time has been trying to figure out where to start in real estate (thank you, Kiyosaki), and I have been overwhelmed by the community I have found at BP.

I'm starting to build a little team of mortgage brokers, realtors, and builders here in beautiful Chattanooga, TN, but I'm not at a point to make a move yet. My main business partner and the love of my life is currently serving Uncle Sam abroad and getting our little nest egg squared away for us, while I do the homework and networking here at home. 

We're looking to get started by buying a small multi family near the city. It would be our first home, as well as the start of a lucrative real estate investment portfolio. I like our local economy, and I have a vision of building up some neighborhoods which look a little neglected of late. My goal is to have our first property up and running by the end of 2018. I have bigger goals beyond that, but I also believe in planning, and that's where I am right now.

I'll wrap up by saying that all of you guys who post and answer the forums on this site are truly inspirational. You've given me the hope and the tools to make this work. To Joshua and Brandon, thank you guys for making the podcast so accessible and for all you do on this website. I'm proud to think I can be a part of this. 

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Investor · Chattanooga, TN · Member since 2016 · 146 posts · 108 votes
8y

Hi David,

Welcome to the the BP community. I think Chattanooga is a great market to start out in, I'm sure you will be able to find something that meets your goals.

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  • Investor · Chattanooga, TN · Member since 2016 · 146 posts · 108 votes
    8y

    Hi David,

    Welcome to the the BP community. I think Chattanooga is a great market to start out in, I'm sure you will be able to find something that meets your goals.

  • Rental Property Investor · Chattanooga, TN · Member since 2011 · 82 posts · 51 votes
    8y
    Welcome. We have been investing in Chattanoga for over 10 years now. Still has good opportunity.
  • Investor · Chattanooga, TN · Member since 2016 · 676 posts · 543 votes
    8y

    Welcome.  I love Chattanooga.  I have bought 4 duplexes and a 12 unit locally in the last 12 months the market has a bunch if opportunities.  I started investing in and around Detroit  been living here since 2010 and only recently began serious investing locally.

  • Rental Property Investor · Saratoga Springs, NY · Member since 2017 · 51 posts · 16 votes
    8y
    @david miller What areas are you thinking of? My wife and I visited Chattanooga and plan to move there once we get things situated here in upstate NY. Any thoughts of the good areas and the bad areas to avoid? Good luck!
  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y
    Thanks guys! Glad you are doing well here. I can't wait to post a deal. Brian, what are you looking for? I feel there's potential everywhere, if you know how to work a niche. Downtown is gentrifying quickly. I've looked at highland park as an area which is improving, and there are plenty of others. Having jobs helps
  • Rental Property Investor · Chattanooga, TN · Member since 2015 · 69 posts · 28 votes
    8y

    Welcome David!

    Great thing is Chattanooga has many neighborhoods to invest in and each has its different qualities and styles. 

  • Rental Property Investor · Saratoga Springs, NY · Member since 2017 · 51 posts · 16 votes
    8y
    @ David Miller I’ve been hearing a lot of good things about Red Bank, but I’ve also noticed the more affordable places are slightly west or southwest if the city. I have found some coming for sale next to the CHI memorial hospital.
  • Dan BeaulieuPro Member
    Lender · Knoxville, Tennessee (TN) · Member since 2016 · 422 posts · 667 votes
    8y

    @David Miller Welcome to BP! I think you will find what you are looking for this year if you are persistent enough. 

    Quick thought regarding your team building. You mentioned mortgage brokers; They shop around for the best rates for you yes, but they will often add points / fees for themselves which ends up costing you more. It is usually better to shop around at local banks and go straight to the direct lender. Cheers! 

  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y

    I agree with Kurtis that Chattanooga has some very diverse opportunities. I love red bank and Hixson but that area around memorial probably doesn't suit my business model. Missionary ridge is next to that area and it's amazing but also not my business model. I'm looking for mid priced homes for working class families. Chattanooga doesn't lack jobs right now and I see no reason that would change.

    Daniel, thank you ! I hadn't thought about points. I will keep that in mind. I feel like I've met you, actually. Do you ever work with Blue Dog ? 

  • Investor · Chattanooga, TN · Member since 2016 · 676 posts · 543 votes
    8y

    I agree Hixson, and red bank are great I also like East ridge and the highway 58 corridor heading toward Harrison but not all the way to it.

  • Dan BeaulieuPro Member
    Lender · Knoxville, Tennessee (TN) · Member since 2016 · 422 posts · 667 votes
    8y
    Originally posted by @David Miller:

    I agree with Kurtis that Chattanooga has some very diverse opportunities. I love red bank and Hixson but that area around memorial probably doesn't suit my business model. Missionary ridge is next to that area and it's amazing but also not my business model. I'm looking for mid priced homes for working class families. Chattanooga doesn't lack jobs right now and I see no reason that would change.

    Daniel, thank you ! I hadn't thought about points. I will keep that in mind. I feel like I've met you, actually. Do you ever work with Blue Dog ? 

     We may have met before. Blue dog? probably not. 

  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y

    Okay nevermind. I met some Nashville finance guys trying to work a Chattanooga deal with them last spring. You looked like one of them. 

    Jeffrey, Do you rent in East Ridge ? I used to work EMS over there, and I got a biased sense of the town. I'm a little on the fence about the quality of tenants I might find there. I wouldn't be surprised to see improvement with the recent growth but my experience still makes me leery. What is your opinion on it ? 

  • Investor · Chattanooga, TN · Member since 2016 · 676 posts · 543 votes
    8y

    I don't rent there but I know several people who do and like it. My properties in Chattanooga are all in a compact area just off Webb Rd near 58.  I also have a few in Ringgold area

  • Rental Property Investor · Chattanooga, TN · Member since 2011 · 82 posts · 51 votes
    8y
    East ridge is definitely on the upswing. We have flipped 3 houses there in the last 6 months and hear good things from the city. They are making an effort to change the perception.
  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y

    Congratulations on your flips, Thomas ! I appreciate the insight. Bass pro moving in was a huge deal, and I love camp Jordan ! Like I said, EMS just gives a skewed perspective, and the population I dealt with most in East Ridge was less-than-savory. 

    If I could change the topic a little, how's our REIA ? I saw they do monthly classes. Anyone have experiences with them ?

  • Rental Property Investor · Saratoga Springs, NY · Member since 2017 · 51 posts · 16 votes
    8y
    I’ve been trying to find the answer on google but not having much luck. Does Tennessee have school taxes that are paid every year? In upstate NY I have my property taxes and In some spots school taxes are $3,000-$5000 a year on a $100,000 home.
  • Investor · Chattanooga, TN · Member since 2016 · 146 posts · 108 votes
    8y

    @Brian V. No school taxes, but there are county and city taxes. You can find the county taxes here: http://tpti.hamiltontn.gov/AppFolder/Trustee_Prope...

    and City taxes here: http://www.chattanooga.gov/finance/treasury-divisi...

    Not all properties are in the Chattanooga city so in that case you can just use the county site. 

  • Rental Property Investor · Saratoga Springs, NY · Member since 2017 · 51 posts · 16 votes
    8y
    @David Grabiner Thank you for the reply!
  • Investor · Cleveland, TN · Member since 2016 · 279 posts · 187 votes
    8y

    @David Miller I've been to the local REIA. It's the standard thirty minutes of stories, an hour or so of "imagine if" to get one dreaming, then hard sell. I gave up on it pretty quick. I think I went three times, not sure. When they started charging at the door to get to their sales presentation is when I said enough and walked.

  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y
    Originally posted by @David Grabiner:

    @Brian V. No school taxes, but there are county and city taxes. You can find the county taxes here: http://tpti.hamiltontn.gov/AppFolder/Trustee_Prope...

    and City taxes here: http://www.chattanooga.gov/finance/treasury-divisi...

    Not all properties are in the Chattanooga city so in that case you can just use the county site. 

    To piggyback on this, Chattanooga is so close to Alabama and Georgia, that much of what one thinks of as 'Chattanooga' is taxed completely differently ie Rossville. 

  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y

    Richard, thank you for the heads up. Networking is nice, but I'm not trying to play the guru game

  • Brian LevredgePro Member
    Investor · Chattanooga, TN · Member since 2009 · 1k+ posts · 903 votes
    8y

    @David Miller,

    With regards to East Ridge it's a pretty strong rental market in Chattanooga.  I personally own a number of  units there and our largest concentration of units from a PM perspective is also in East Ridge.  It also depends on asset class.  Multi family rents for more in East Ridge compared to Red Bank.  I do think Red Bank has more upside long term so if you're willing to ride out the higher cost per unit and lower rent to get there, then fine, as long as you go into it with your eyes open.  

    I've also flipped in that area and done well but you do you have take it block by block and be careful of the flood zones.  

  • Investor · Chattanooga, TN · Member since 2016 · 37 posts · 38 votes
    8y
    Originally posted by @David Miller:

    Richard, thank you for the heads up. Networking is nice, but I'm not trying to play the guru game

    Hi David - I just wanted to chime in on the REIA. I've been a few times recently and have found it to be helpful. Yes, some of the talks are sales pitches, but I've still learned good information from them. Also, each time I've been there are hardly any seats left -- so lots of participation and networking. I've met people from all over the board, too - handymen, hard money lenders, wholesalers. I would go check it out for yourself a couple of times-- I think it's worth the $15 at the door (sometimes it's free).

    Apart from the REIA, I am very close to starting a regular investor meetup that will be just causal networking over happy hour, coffee, etc. I've been searching for something like this an decided I should just pull the trigger myself! Once I get things squared away, I'll start an event/post on BP to make sure I get the word out to you and other Chattanooga BP members. If anyone reading this is interested in helping, please feel free to message me!

    Great to hear that you're taking full advantage of BP - it's where I started, too!

    Take care,

    Jenna

  • Chattanooga, TN · Member since 2018 · 15 posts · 6 votes
    8y

    Thanks Jenna. I do like hearing alternative points of view. I would have already edited my initial response but it's not an option. My gut reaction was run away, but I do see some value in the REIA. I'm all about networking. If you start doing a real estate coffee hour please let me know. I work downtown and I would love to meet other investors and people in the industry.

  • Investor · Cleveland, TN · Member since 2016 · 279 posts · 187 votes
    8y

    @Jenna Crye Lacy I am definitely interested in something like that. Casual investors sharing goals and stories. And no selling. :)

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