Local Real Estate Recomendations

10 Replies

Hello BP,

I have been researching/trolling BP for quite some time now waiting until I am at a point in my life where I feel comfortable to start investing in the Rhode Island area. I recently became debt free and have no other loans except my home which I purchased from a company who flips homes ( I got a great deal and I love it). I work full time as a network engineer so have plenty of room for a risk/reward scenario. I learned a vast amount of information during the process of purchasing my own home. Me and my wife were planning on buying/renting a multifamily but we decided against it since we were having a baby soon. I am looking for recommendations on realtors in the Rhode Island area that have experience working with investors as a start. I am also looking to get information on how some of you other investors in Rhode Island started out and if you were in similar situations in the beginning (owning a home and starting to invest). Starting is always the hardest part and I am a stickler for being prepared which makes it even more difficult. I would like to begin with a 3-4 family property in the area to learn the ropes and continue from there. Your recommendations and advice is greatly appreciated. 

Thank You

Tim 

Tim, I'd recommend checking out a meeting of a local real estate investor group such as RIREIG (rireig.com) which I think is meeting this Thursday.

There are usually several agents in the room you could talk to, and assess their level of knowledge and personality compatibility with yourself. From there you could have coffee with one or two and make your decision that way.

And congratulations on your recent home purchase and the new addition to your family!

Medium logoAnthony Thompson, Real Home Solutions of Rhode Island | 401‑300‑0093 | https://webuyri.com/

Originally posted by @Anthony Thompson :

Tim, I'd recommend checking out a meeting of a local real estate investor group such as RIREIG (rireig.com) which I think is meeting this Thursday.

There are usually several agents in the room you could talk to, and assess their level of knowledge and personality compatibility with yourself. From there you could have coffee with one or two and make your decision that way.

And congratulations on your recent home purchase and the new addition to your family!

 Anthony,

     I will definitely be making time to come to a meeting soon (work schedule makes that a challenge). Thank you for the advice and I will definitely try to come. Do you find Rhode Island a challenging place to invest? I know rental prices are pretty high in the area so I would assume as long as you can find a good property with favorable numbers (which I hear can be challenging in RI) it should work. 

Thank You

     

Tim, I like it because it's smaller and easier to wrap your head around.

And there's less driving (which, as any Rhode Islander will tell you, is a scary thing - see http://s3.amazonaws.com/citybuzz/2014/07/rhodeisla...)

There's less competition, but the #s are also smaller which means that, say compared to Boston, the profits generally are smaller so you have to work a little harder.

In general I don't view RI as being particularly business friendly, nor this part of the country to have favorable economic/demographic trends. My advice for people considering moving into this market is: look elsewhere.

However if you're already here anyway, you can certainly eke out a living or good investments, if you're willing to put in the work of course.

And despite what headlines may say, I don't find rents to be particularly high here, mainly due to lack of new economic activity and a roughly stable population. If rents have increased I personally think it's only been marginally and probably due more to QE/inflation (see shadowstats.com).

(Though, the theory is that the overall demographic trend in the U.S. toward Millennials having a preference for renting could be part of a mild rise in rents. But I personally haven't seen a huge bump in my travels.)

Hope this helps - be sure to say Hi if you attend one of the RE meetings (I usually make it to RIREIG and occasionally to Black Diamond in southern Mass).

Medium logoAnthony Thompson, Real Home Solutions of Rhode Island | 401‑300‑0093 | https://webuyri.com/

Thank you for the insight Anthony and I will definitely keep that in mind. I generally put 110% into any endeavor I take on so the extra work based on the area is fine. Honestly, my plan is to use real estate investing as more of a long term retirement plan but if a successful short term opportunity presents itself I will definitely take the risk. I will continue to learn as much as I can on BP and will also make it out to a meeting as soon as possible (I live pretty close to the meeting location). 

Thank You 

Hi Tim! 

Congratulations on wiping out the debt! My wife and I seem to be on the same track as you- after we got married, we paid down our student loans & car, and then started investing in 2-3 family's in RI. It's been a good experience so far. We started with a 2 family on a short sale- the units were grossing 1200/mo total when we bought it. We've put about 15k into it (upgrading electrical, boiler, insulating & finishes in 1 unit) and it currently grosses 2k a month. 

It took about 6 months to find the right deal. Don't Rush it!

I think my biggest lesson learned up front was "don't diy". I love fixing up my own place, but found working on the apt to be less rewarding. From a business perspective, if the property doesn't pay for someone else to do its upgrades/maintenance, you've bought yourself a job, not an investment. 

I am a broker in NV, MA, and RI. I prefer to invest in Las Vegas personally as the monthly cash flow is better as well as appreciation. However I would be glad to help in any of the 3 markets. Please let me know if I can be of any assistance. 

Medium rgc adams team logoRobert Adams, The Adams Team at Rothwell Gornt Co. | [email protected] | 702‑349‑9175 | http://www.LVrealestateHELP.com | NV Agent # 62827, MA Agent # 9530304 , RI Agent # 18138

@Tim Gilman

It sounds like you are doing everything right.  The one thing that stood out that sets you apart from so many others is that you are debt free.  Living within your means or below is hugely important in this business.  Everyone who has done this for a period of time has had a hang up here and there, an unexpected large expense, or a deal that dragged out and cost more than you originally expected.  No matter how good you are, if you do enough of them, it is bound to happen because it is simply the nature of the beast.  Being as fiscally responsible as you are is an enormous factor in staying afloat during those difficult times.  

Also, @Anthony Thompson , that was an outstanding post.  Quick question, what is the investor group that you are referring to?  The only one that I personally know of is the one that meets in Warwick once a month. 

Medium avellino white copy  jpg Brandon Ingegneri, Avellino Const. & Property Mgmt. | [email protected] | 401‑301‑5528 | https://www.avellinocpm.com | RI Contractor # 41301

@Eric Army

Just curious what city/neighborhood your rental was in.  Also, great job on increasing the cash flow.  You threw the money at the right items, and I love your shtick on the DIY.  It took me a long time to learn that in order to make more money, I had to put down the hammer, and replace that with a pen.  Sounds like you figured that out right out of the gate!

Medium avellino white copy  jpg Brandon Ingegneri, Avellino Const. & Property Mgmt. | [email protected] | 401‑301‑5528 | https://www.avellinocpm.com | RI Contractor # 41301

Originally posted by @Brandon Ingegneri :

@Tim Gilman

It sounds like you are doing everything right.  The one thing that stood out that sets you apart from so many others is that you are debt free.  Living within your means or below is hugely important in this business.  Everyone who has done this for a period of time has had a hang up here and there, an unexpected large expense, or a deal that dragged out and cost more than you originally expected.  No matter how good you are, if you do enough of them, it is bound to happen because it is simply the nature of the beast.  Being as fiscally responsible as you are is an enormous factor in staying afloat during those difficult times.  

Also, @Anthony Thompson , that was an outstanding post.  Quick question, what is the investor group that you are referring to?  The only one that I personally know of is the one that meets in Warwick once a month. 

@Brandon Ingegneri

Thank you Brandon, it has been a challenge. I have definitely learned to live with little throughout my early 20's and it has taught me excellent financial skills. I am someone who gives new meaning to due diligence but I definitely realize there will be a time where things do not work out but I will definitely be prepared. I am very excited to get going but I do realize there is some preparation and patience involved. I continue to absorb as much as I can both from BP and other resources. 

Thank You