All Forum Posts by: Allen McGlashing

@Adam Romano

Yes, I would think that would be the best and most safest route. Create another LLC with your all your partners and spell out how much ownership each individual has. I would absolutely have an attorney write up the operating agreement.

@James Wise

Is that list up to date? 
My agent recently told me that 44120 is going through a revival and is a great opportunity for investors also 44106 near the hospital is great. I stayed away from those because in your report those were “F” and “D” grades. Just wanted your thoughts?

@Alana George

Wouldn’t real estate be so much more easier if we started before kids, ugh imagine the time we would have lol. Although I attribute my kids to why I bought rental so maybe if I didn’t have kids I wouldn’t have rental idk.

I am getting ready to start my first out of state deal and I think the biggest think for me is the contractor. I have interviewed 5 PMs and have my favorite and have an agent I’m working with; it’s just the contractor. I don’t have a property under contract yet, but just asking them “when I get a property under contract will you be able to come out and give an detailed SOW during the 10-day due diligence phase” most contractors won’t or are booked out. I also made it very clear I would pay them for their time. I know eventually I’ll get through this, learn some lessons and find a better and more efficient way of doing things cause once you go through it the next time you have some experience under your belt.

@Account Closed

Congratulations. 
This is how I started after I moved out I rented my primary and still have it. It cash flows $900/month after all the expenses. I think this is a great way to get started in real estate and I recommend everyone rent out their first home once they leave (as long as the numbers work). I would have missed out on all this appreciation and loan pay down equity if I had sold it.

@Nathan Leger

Hey Nathan, 

I remember when I bought my first rental I had all those same fears. It actually kept me awake at night the fear of something major breaking or the tenants not paying. As months went on and none of that happened I started to relax. When something did happen I actually embraced it, I told myself to just calm down and there is a way to handle everything. Then some things did happen I had to evict one tenant and at that same time another tenant moved out, but i told myself if I could get through this everything else would be easy. I took everything one step at a time and eventually got through it.

“The hardest thing to do is leaving your comfort zone. But you have to let go of the life you’re familiar with and take the risk to live the life you dream about.” T. Arigo

@Robin C.

I would start with Recommendations from experienced people. 

@Craig TeRonde

Sounds like a **** show I would end their lease once you close on the property and start the process over. You will be able to vet your own tenants. Sounds like the selling landlord was in stress and couldn’t deal with them anymore. A huge red flag is why did the old landlord return the security deposit? 

@Christina Zimmerman

I was under the impression that the bank goes off of the appraised value of the house. Although my house appraised for only $2k over the purchase price they gave the loan off of the appraised value. I would hear what more people say and possibly find another lender if the $50 is that big of a deal.

@Stephanie Wells

Unless it’s adding parking spots I wouldn’t say it would hold much weight on the appraisal. $6k-$8k is a lot to spend compared to the return you’ll get on adding value to the property. I would wait, you could put that money into bigger items to get a bigger and better value add.

@Paul Thompson

Thank you for your input on this topic and sharing your experience. I am currently looking for and vetting PMs to manage the rehab as well as manage the property once it’s done. I am following David Greene’s guide and am asking all the right questions(I think). One thing I do require is I can terminate the contract if I’m not satisfied with the quality of work that way if I don’t like the way they are handling things. I can just part ways without having any consequences.