Introduction - Newbie to the Tacoma Market

Introduction - Newbie to the Tacoma Market

Contractor · Tacoma, WA · Member since 2018 · 14 posts · 10 votes
Hey everyone! First day here on the BP scene and loving all the inspiring stories, wealth of knowledge and openness of everyone to share ideas! I spent the first 10 years of my career managing commercial properties in Bellevue. Relocated down to the 253 about 3 years ago and soon lost the desire to help other wealthy people manage their assets. In the past 18 months, I’ve Co-founded a general contracting company where we perform a variety of services at commercial / residential properties (TI projects, general maintenance and repairs, etc.). I’m making the jump to full time at the new company in a few months with the goal of expanding our business into the house flipping market with the intent of learning the in’s and outs of flipping. Ideally in the next 1-2 years we will be under contract on our first rehab project. I’m very interested in the idea syndicated investments. As I’m a licensed broker, I’m also kicking around the idea of opening my own brokerage out of my home office, but not quite sure if thats a viable option or if it’ll be worth my time. All that being said, I look forward to networking with you all, learning a lot and attending some of the meet ups!
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Rental Property Investor · Seattle, WA · Member since 2017 · 383 posts · 248 votes
8y
Originally posted by @Bryan Close:

Hi @Christen G. thanks for the kind words! If you ever need anything contractor wise, just let me know! We cover pretty much all of Western Washington! Did you start with multi-families? How's your experience been with the Tacoma market? That's our ideal target area when we look to start investing here in a year or so. 

I started in Seattle with my home - then a small vacation place up north (which we also STR) and then yes, for investments, my partner and I started in Tacoma MFH.

So far, so good but not without the usual trials and tribulations that come with starting a new enterprise. The average tenant that we're seeing is a bit different than I'm used to to personally (B/B- properties and the dramas that come with those. read: screening tenants is very important, a lot of these folks don't have checking accounts -- so paying rent online is not an option and waiting for checks is a thing). We also inherited tenants at both locations and needed to evict in one and not re-new a lease in another due to the condition of the units. As a result, we had some unexpected / un-budgeted reno costs but we had a pad and are willing to invest in these places for the long term. I'm hoping to have the 2nd place fully occupied by mid Feb and be cash-flowing.  

I'm a big fan of the city itself: blue-collar, hard-working with growth everywhere. Great breweries, great restaurants and bars, local sports teams and overall really friendly people. 

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  • Aaron NelsonBusiness Member
    Real Estate Agent · Seattle, WA · Member since 2016 · 307 posts · 191 votes
    8y

    Hello @Bryan Close! Welcome to the forums. Always nice to meet a fellow investor. Hope to see you at one of the local meet ups. I try to attend the Cascadia Investor Alliance in Lakewood hosted by @Kevin C.. Check it out when you have some spare time. 

  • Rental Property Investor · Seattle, WA · Member since 2017 · 383 posts · 248 votes
    8y

    Hi @Bryan Close - welcome! It sounds like you have a lot of valuable experience. Best of luck with your new company and stay in touch as folks here (self included) always need a reliable contractor. The flipping strategy is interesting to me, too - I am currently doing buy and holds (in Tacoma) w/ multi-families. Best of luck and hope to run into you around the way.

  • Puyallup, WA · Member since 2017 · 31 posts · 17 votes
    8y

    Bryan welcome to the community best of luck.

  • Contractor · Tacoma, WA · Member since 2018 · 14 posts · 10 votes
    8y

    Hey @Aaron Nelson! How frequently does the Cascade Investor Alliance meet up? Is there a schedule of future meetings I could find somewhere? 

  • Contractor · Tacoma, WA · Member since 2018 · 14 posts · 10 votes
    8y

    Hi @Christen G. thanks for the kind words! If you ever need anything contractor wise, just let me know! We cover pretty much all of Western Washington! Did you start with multi-families? How's your experience been with the Tacoma market? That's our ideal target area when we look to start investing here in a year or so. 

  • Rental Property Investor · Seattle, WA · Member since 2017 · 383 posts · 248 votes
    8y
    Originally posted by @Bryan Close:

    Hi @Christen G. thanks for the kind words! If you ever need anything contractor wise, just let me know! We cover pretty much all of Western Washington! Did you start with multi-families? How's your experience been with the Tacoma market? That's our ideal target area when we look to start investing here in a year or so. 

    I started in Seattle with my home - then a small vacation place up north (which we also STR) and then yes, for investments, my partner and I started in Tacoma MFH.

    So far, so good but not without the usual trials and tribulations that come with starting a new enterprise. The average tenant that we're seeing is a bit different than I'm used to to personally (B/B- properties and the dramas that come with those. read: screening tenants is very important, a lot of these folks don't have checking accounts -- so paying rent online is not an option and waiting for checks is a thing). We also inherited tenants at both locations and needed to evict in one and not re-new a lease in another due to the condition of the units. As a result, we had some unexpected / un-budgeted reno costs but we had a pad and are willing to invest in these places for the long term. I'm hoping to have the 2nd place fully occupied by mid Feb and be cash-flowing.  

    I'm a big fan of the city itself: blue-collar, hard-working with growth everywhere. Great breweries, great restaurants and bars, local sports teams and overall really friendly people. 

  • Contractor · Tacoma, WA · Member since 2018 · 14 posts · 10 votes
    8y
    Christen G. That’s awesome! Down the road would you make it a requirement to have a bank account? Or due to the market your currently in, would that eliminate too much of your tenant pool? As for the upgrades you’ve had to perform have you seen an uptick in rents? As for Tacoma, it’s definitely got some tougher parts. But there’s so much good going on in that city and I love the vibe of everyone and much more laid back people are. I grew up a 425er, but I’m definitely converting to a 253er ha!
  • Aaron NelsonBusiness Member
    Real Estate Agent · Seattle, WA · Member since 2016 · 307 posts · 191 votes
    8y

    The CIA usually meets monthly at the RAM in Lakewood on the third Monday of each month. There is also an Eastside meet up in Kirkland on the first Friday of each month at the Wilde Rover. Hope to see you there sometime!

  • Rental Property Investor · Seattle, WA · Member since 2017 · 383 posts · 248 votes
    8y
    Originally posted by @Bryan Close:

    Christen G. That’s awesome! Down the road would you make it a requirement to have a bank account? Or due to the market your currently in, would that eliminate too much of your tenant pool? As for the upgrades you’ve had to perform have you seen an uptick in rents?

    As for Tacoma, it’s definitely got some tougher parts. But there’s so much good going on in that city and I love the vibe of everyone and much more laid back people are. I grew up a 425er, but I’m definitely converting to a 253er ha!


    It's definitely a screening question we ask - if they have a checking and savings account - I think the answer tells you a lot about a potential tenant. And yes with new paint, floors, etc... we're able to get rents up to market or +$50 (if needed.) Overall one of our company tenants is to provide affordable, well-maintained at-market housing (while maintaining positive cash-flow) - we're doing just fine so far and looking for the next deal already.

  • Real Estate Investor · Bonney Lake, WA - Washington · Member since 2016 · 58 posts · 35 votes
    8y

    Welcome to BP @Bryan Close! It's always great to see another investor here in the 253. Sounds like you have a lot going on, and I wish you the best of luck. Please never hesitate to reach out if you need anything.

  • Rental Property Investor · Pittsburgh, PA · Member since 2017 · 25 posts · 12 votes
    8y

    hi @Bryan Close welcome!! You seem to have vast experience. This is a great platform to learn about flips and more and meet fellow investors. There are many active real estate meet ups in the area including fixated on real estate, seattle investors club, etc.. and would like to meet and hear more about your contracting services.

  • Investor · Kaiserslautern, Germany · Member since 2017 · 77 posts · 25 votes
    8y

    @Bryan Close Welcome to BP Bryan! I love the resources and knowledge on this site. I wish I came across it sooner. It looks like you're on your way to do big things! I just started going to a meetup in Puyallup at the RAM with Washington Real Estate Investors Club. They cover a certain topic at each of their meetings. The first meeting I attended was on Tax Strategy. Contact @James Marszalek if you are interested!

  • Contractor · Tacoma, WA · Member since 2018 · 14 posts · 10 votes
    8y

    @Victoria C. thanks for the tip! I agree, I wish I would have known about BP sooner, it's great! I reached out to James and will hopefully connect with you in the future!! 

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