All Forum Posts by: AJ Singh

@Nick Shri

You made the right decision. why are you not looking in your local area. maybe you can get a duplex or a triplex and engage a local management company.

Do you due diligence before getting hooked on the buzzword " turnkey "

@Kevin Kim

prop tax is around 1.5% of your assessed value which is different from the acquisition price.. Check the assessed value with seller or sellers agent

Olive Branch is a solid neighborhood. But do check with HOAs for rental property. Do not assume a rental is grandfathered in.

@Ernesto Uribe

Its not hard to invest in entry level SFR or condos with 30k down in Southern Ca. You will have to align with a realtor in Riverside and San bernadino counties. You can find entry level SFR for 300k in Victorville, Hesperia. they should rent for $1700 plus monthly.

You can find condos in Colton, Rialto etc. for 300k and less.

Some other areas of interest are Beaumont and Banning. These two cities are doing great rental yield wise due to logistic warehouses.

Start doing your due diligence by first teaming up with a realtor. its not impossible.

@Steve Shin

Unless you have capital to go to 5 OOS acquisitons in a couple of years, stay local.. you can invest in riverside or san bernadino county in 2 to 4 multifamily assets and make a good rental yield in a couple of years..You will certainly make appreciation locally rather than cash flow initially.

Also remember that OOS cash flow markets are as hot as LA market. Nothing in b class or above neighborhoods is at value.. The prices have shot up compared to last 3 or 4 years..maybe doubled or tripled as well..

Once you identify your OOS cash flow market, reach out to a realtor and tour the area and neghborhoods. Dont invest a dime before doing your due diligence.

And when you see turnkey deals, ask yourself why didnt a local investor buy it ? 

@Chris Clothier great insight.. To achieve market rent and maintenance stability of property, a front end renovation is absolutely needed. Thats why best to buy vacant rentals. 

Also a diligent screening of tenant is necessary to avoid turns and evictions. its better to have a vacant property extra two weeks rather than loosen the screening standards to achieve immediate tenancy

The above criteria and third party property management has helped us in growing our memphis and southern ca rentals.

@Will Barnard

I started with a 6 unit in Riverside county in 2018.. sold that for 300k profit in 2020.. I realized the power of apartment investing.

we sold four SFRs ( bought during recession in High Desert area) and1031 exchanged into 25 units in riverside county . We will stabilize market rents in 2 years and well over six figures of rental income...

Southern Califfornia is a different ballgame altogether.

@Shiyuan Zhang

You cant find a multi family in long beach or riverside for under 400k.. In Riverside a triplex will start at 600k and a quad around 750k. 

They will have deferred maintenance,  under performing market rents and we cannot move tenants due to eviction moratorium.

But in 2 to 3 years, these same properties will be stabilized and performing at market rents..and earning great yields..

Patience is the key to investing in Southern Ca

@Account Closed

Have you checked with a local realtor in Indianapolis about the neighborhoods of the two homes? 

Bad Stuff usually happens in real estate investing with loose tenant screening criteria and location of the asset.

If its maintenance, then the home inspection report can help you out.

I would be looking at all numbers before comitting more dollars to turnkey .. If you like a city, then go to local realtors and pick their brains on B class neighborhoods and a good property management company

1031 into a 2 to 4 multifamily close to you and avoid paying gains.. Equities are doing well right now but i doubt they can give long term appreciate as in real estate holdings

when you say 5% monthly cash flow at crowdfunding sites, thats 60 percent annual return. think yourself how safe is that kind of asset holding?

Norada Promissory note is 15% annual return.. Again thats probably investing in speculative assets. I am no guru here. But you should take a look at the asset portfolio

I am not sure why you want a turnkey. Buy any property and do an internal and external rehab, change all components and you have your own turnkey asset...

In a syndication deal, you are holding paper and not any equity in an asset. dependent on others to operate the asset. 

@John Neville

Since i invest in memphis, there are not too many below 100k properties available in B neighborhoods like Cordova, Bartlett, Southaven, Olive Branch etc..

It would be better for you to take one trip to Memphis and check out the B neighborhoods.. Make acquaintance with an investor focused realtor and after that invest remotely with confidence.