All Forum Posts by: Alex Rodgers

I'm mostly interested in Alabama right now, specifically Huntsville and Tuscaloosa. My strategy was to value-add a property and have it cash flow then refinance if rates go down. The problem is the if part about the rates. I don't really want to have to put 100k in a deal just to get $100/mo cash flow but that's what it has been looking like. 

The many suggestions from this thread however have greatly helped give me some other ideas.

Quote from @Michael Dumler:

@Alex Rodgers, over the past two to three years, my clients and I have been implementing the investment strategy of rent-by-the-room in Atlanta, GA. It's a high-risk, high-reward strategy and is not for everyone, if I'm being honest. That being said, these deals are absolute cash cows. For further insight, research rent-by-room companies such as HomeRoom and PadSplit. Moreover, I'd be happy to chat if you want to learn more. FYI, many of these deals come directly from the MLS. With challenging market conditions, investors are forced to get creative. Those who aren't getting creative are buying negative cash flow/break-even or acquiring their deals off-market.

Thanks Michael, what are the high-risks of rent-by-room?

Hi everyone,

I've been looking for properties for months and am still having trouble finding properties that cash flow. I'm aware that with high interest rates and the crazy rates of appreciation we've experienced within the past few years it's almost impossible to find something on the MLS, but I'm not sure what other strategies are working right now. What strategies have you used successfully in the past year to aquire a cash flowing property? Did you go through a wholesaler? Did you buy a MTR/STR? I'd love to hear about your experience!

Thanks for the advice Alecia I appreciate it! I think it's a good idea to check with property management companies. Also I tried Facebook marketplace for rentals and found a few more rentals :). I'm still struggling on the ARV part but one step at a time I guess!

Hi everyone!

I'm just getting started out in real estate investing after learning and reading about it for months. I've been looking to make my first purchase in a city with a population of ~100k. The problem I'm having lately is that there aren't many good comparables out there. Both in terms of nearby rentals and recently sold properties. This is making it hard to determine both ARV and what I would charge for rent after refurbishing a property.

For example, I'm interested in a 3/2 ranch style house built in the 1960s. In the past year only 3 other houses have been sold in the neighborhood 2 were distressed and one was a 2022 new construction. The house sits on the corner of a 4 lane road, across from the road is a much nicer neighborhood with more recently sold houses but I don't think I can use them because the area is very different.

It's the same problem with rents, there are no 3/2 rentals nearby, only a single 3/1 and one 2/2.

How do you go about getting comps in this case? How do you go about determining how much to charge for rent? Any advice would be great!