Northern Nevada - Introduce Yourself

161 Replies

@George Lui I believe it is stronger.  The local economy is firing on all cylinders, with hundreds of businesses added in the last year, low inventory, strong increase in rents and a drastic increase in building by developers.

Nevada is VERY business friendly.  I believe it is #2 in the country for corporations, and many have moved here from CA beause of business friendly laws, no state tax, and an abundance of open land.

@Aaron Kaplan please send me a PM.  I always love talking about Re!

Hey all,

I have been on bigger pockets reading anything I can and listening to all the podcasts. I have also listened to every bigger pockets podcasts and have read most of the books they have published. Currently I work full time as well as attend school full time. I am going to be graduating next spring from UNR with a degree in both accounting and finance. 

When it comes to real estate investing, my goals are set high. I want to push into fix and flips to begin my investing. As I am sure all of you know, Reno is going nuts right now. It is making finding buy and holds with high enough rents to justify investing (without venturing into larger multi-families) but lends itself perfect to fix and flips. I have been spending a lot of time running numbers on any possible houses that fit the fix and flip criteria. With that being said, I would love to get together with anyone who is interested in talking, running ideas, or just letting me ask you questions to get a better grip on what is going on in the area. 

Have a great night all!

Brendon

@Brendon Borrego welcome to BP!  

It sounds like you are building your knowledge...how about building your experience? 

Come on out to the job site and we can talk numbers while you get your hands dirty.  ;-)

@Michael S. Helton I have been trying to! The experience is a little bit harder for me to find access to! If you are ever in need of help, feel free to reach out to me on here! I stay busy between work and school, but am always willing to work out some free time to lend a helping hand!

One more thing Michael if you have a moment. You seem to stay extremely engaged in these forums and I have seen you post time and time again. My question for you is are we nearing the top of the market? The stock market has been on a record setting run, the housing market has reach pre crash prices, you see on many posts that investors are beginning to feel like we are hitting a plateau, but does that hold true to Reno?

We have continued to see job growth in Reno that appears to not slow down but this has been combatted by huge amounts of building in the South Reno, Wingfield Springs and out towards Cold Springs. That was a long winded way of asking my question, but do you believe that the housing market is strong and stable, or the end of a Jenga game waiting for the final block to be pulled?

@Brendon Borrego

Welcome to BP! You should come to the REI meetup this Wednesday at 6pm at the Keller Williams office in south Reno on Professional Circle. Good group of folks and its free!

I feel the market here is good for the next 3-5 years unless something happens on a national level to cool things off. I think if things do slow down it will be just that, a slow down. Not a complete collapse like in 2008. The trick is finding properties that cashflow. Rents have risen slower than the sales prices so cashflow is non existent on the mls.

Good to meet you!

-John

This post has been removed.

@John Kesner I will be there! 

And after Google announcing they purchases 1200 acres in the TRI Center, I think I agree. To many heavy hitter tech companies are coming and bringing jobs for this area not to be able to sustain growth over that period. Hopefully rent will begin to follow the housing price trends!

I want to come to the REI meetup this Wednesday. I live in Tahoe and have a couple of properties in Reno and am looking for more.

@Brendon Borrego

I just read an RGJ article that said Reno has the 6th fastest rent growth in the nation. The rents have come up about 25% in the last 2 years and continue to grow. Its a good time to be in Reno!

@Josh Sharon , come on down! All are welcome! It's always fun, this months speaker is a local property manager. I'm looking forward to getting all my tenant management questions answered.

@Brendon Borrego Thank you and I think that's a great question.  I have started a new topic for discussing the market so that this "Introduce Yourself" thread does not go too far off course.  

It would be great to hear from @Bill Schrimpf and @Tim Farrell and other active people in this forum.

However, to quickly address your question: I am bullish on the Reno market.  It is where I am investing my time and money.

I am a little more conservative than @John Kesner because I think we have 2 very strong years while the builders are playing catch-up.  There will be a correction, but I do not see a collapse because of the strong influx of hundreds of businesses and 20,000 jobs in the last 2 years (we only have about 200k jobs in the area).

@Michael S. Helton I, too, rationalize any potential resiliency to any downturn due to your statement on the influx of businesses and job in the near term.  However there's always the pessimist that thinks about what kind of potential downturn could negate that :D

HI everyone, new to BP and very interested in investing in the Reno-Sparks area. I do plan to drive up from the bay area in the upcoming weekends to look at open houses so if anyone has any good suggestions on which area to start looking, please feel free to share. Look forward to learning from all of you and if anyone has a realtor in the area that you can recommend, that would be greatly appreciated. Thanks! 

This post has been removed.

This post has been removed.

I am located in the Bay Area and I am looking to invest in the area and would like to hear if any of you have an agent who you have been satisfied with and would refer?  Going to be taking a trip up there next week and would like to meet with an agent to familiarize with the market.  Thanks in advance with any replies!

Originally posted by @John Kesner :

@Brendon Borrego

I just read an RGJ article that said Reno has the 6th fastest rent growth in the nation. The rents have come up about 25% in the last 2 years and continue to grow. Its a good time to be in Reno!

@Josh Sharon , come on down! All are welcome! It's always fun, this months speaker is a local property manager. I'm looking forward to getting all my tenant management questions answered.

 Hey John I'm curious how the meetup went with the property manager and if you had your questions answered?  I'm a multi family specialist and property manager and need to get more involved with the local BP community.

Thanks!

Shawn

@Dave Ya and @Michael Cameron  I messaged you my recommendation for the Broker/Agent I have used for half a dozen transactions.  He used to be a developer, so in addition to knowing the Re side, he is very knowledgeable about construction costs.  He is also a Property manager, so is a one-stop-shop for me.

I am also working on my Re license, but I do not plan to take on clients. I decided to get it for my personal use for information, to have access to the MLS (specifically the private comments) and go see homes without needing to schedule through another agent.

But I am always willing to help other investors, so send me a PM if you need anything.

@George Lui I hear you, haha.  The way I combat the negative thinking is information.  Reading and talking to others.  

Failure in Re is guaranteed to happen.  The important factors are:

-when/where the failure is most likely to occur
-the scope of the failure (and planning that hopefully went into mitigating the extent of the failure) 
-contingency plans in place to address the failure when it happens

Then just adapting to the new situation.  That's how I look at it.

@Shawn Hand The meet up went great! The property manager was very informative and incredibly helpful. He would try to answer any question you tossed at him. I had the chance to meet @John Kesner as well as a few others. I would try to make it to the next meeting if at all possible for the connections you make and the information they "give away."

@brandon borrego that's awesome!  Is there an event calendar anywhere with local meetups?  That seems to be my biggest challenge at the moment.  It's like I'm trying to break into a secret society.  😂

@Shawn Hand

Meetup.com has the calendar for the 3rd Wednesday of each month at the Keller Williams office on Professional Circle in South Reno at 6pm, its free.

The other one is the 1st Tuesday of each month at the Reno Association of Realtors on Riggins Ct., 6pm $10 donation, food is provided.

Hope to see you guys there!!

Hello all!

I am located in So Cal (LA area- Ventura County) but would like to start investing in the Reno area. I work in Agency lending (Fannie, Freddie, FHA) for multifamily properties. I know real estate well and my job is entirely looking at deals to see if we want to finance them.

I like the Reno market a lot especially with the diversifying economy and the recent Google industrial land purchase. Plus, flights from LAX or Burbank are quick and cheap so it wouldn't be bad to be an out of state investor.

I would love to team up with anyone in the area- I can provide a very small bit of capital (less than $10K) right now but can provide a lot of valuable insight on financing for multifamily and am willing to do whatever else I can from afar to help with deals. Any market intel is also fantastic.

I just bought a condo locally that I am currently living in but will rent when I finish renovating it. That's the extent of my personal real estate investing experience though I do know the industry well working it in full time.

I’ve been reading this thread since the beginning and thought that I would weigh in on the topic.

The influx of Fortune 500 companies to the area and the diversification of the local economy has generated positive growth to a region that has relied upon the hospitality industry in the past. And while there is no denying that the real estate market in Northwest Nevada is expanding any Real Estate Investor should be looking under the covers to determine if this market is right for them.

In Wahsoe County 89% of the supply on the market is sell in one month. The Median List Price is $487K while the Median Close price is $321K. So, this means that the lower end home <$250K are selling before you have a chance to see them. If you are not watching this market on a daily basis and think you can dabble in it you are going to get hurt.

Purchase Price to Rent Ratio…. Yes, BP suggest that your rent should be 2% of the purchase price. With the Median Close Price in Wahoe County at $321K are you going to be able to get #3,210.00 per month in rent? Even if you are able to get one of the coveted homes at <$250K are you going to be able to hit the 2% ratio? As Michael Helton has stated rental prices need to be higher in order to generate a healthy environment for investors to maintain long term rentals within their portfolio.

Construction Labor. Unless you are like Michael Helton, John Kessler and others that rely upon your own talents to rehab a property finding good quality trades that are affordable, reliable, and timely, your rehab could be in serious jeopardy. The Great Recession drove a lot of this talent away from the area and as the recovery takes place the good talent is being attracted to the home builders that are offering higher pay and benefits that us local rehabber just cannot match.

Northwest Nevada is a great place to live and to build your business. But just like Michael Gerber states in E-Myth you need to be working on your business not in your business, meaning this market will eat you alive if you don’t watch the Key Performance Indicators and invest wisely.

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here