All Forum Posts by: Bryan Mitchell

@Justin Goodin, I’d assess that one of hardest step for GPS is finding the deal that meets their stringent criteria. If it’s a great deal, investors will follow. For LPs, it’s trusting the GP can manage the process (cost) effectively through the rehabilitation to the sell. 

@Bruce Woodruff, you brought up a good point. If your flipping you don’t need a contractors license. Sometimes you need a license to pull certain permits, but you could hire someone to help you with that part of the job. Moral of the story, many won’t need a license but it works well for those plan to use it more often than not. And it is another tool to generate income if you want to. Also I’d recommend people to determine their highest and best use. If I’m a well paid professional who gets paid $600 an hour and I can realistically add another 1 to 2 billable hours because I’m a highly experienced subject matter expert, that would be my highest and best use. Therefore, I would not try to get a license whether it’s a real estate agent or a contractor or an appraiser, etc. i’d be investing a few hundred thousand dollars in either a joint venture or syndication.

@Justin Goodin, great points. How do you spend your hours? 

In my experience, 3/2s are better. You can charge more for rent and turnovers in my experience are fewer. That said, put the rents in the BP calculator and see how the two compare. If all things were equal, the two bedroom would be worth less. Ofcourse as others have said, try to look at comparables. What are two bedrooms duplexes selling for in that market. Again, it should be less.

I usually use my agent after I’ve already vetted an opportunity. I’ve probably called the sellers or their agent very early on. This mitigates any potential delays. While I’m not an agent, i can see value in becoming one if you are a professional investor and this is what you do as your primary vocation. You most certainly could be able to generate other streams of income from sales and leasing if you so desired. If you only wanted it to save the amount you’d pay in commission on 1-2 deals a year, probably not worth it. 

@Cesar Hernandez, I'd recommend you run the numbers like you did with the first and see what your return is and then compare to the first one. Don't compare small MF values with SFH. In my experience they don't mirror each other. Instead, compare rents in the area for 2 and 3 bedroom MF. This will help you with the numbers you input into your calculations. As for 2 bedrooms versus 3 bedrooms, more is usually better in both types of properties, but again, you more concerned about what you can rent it for.

@Monish Lillaney, I’d get $50K more out of the deal. $100 more a month does nothing for me. You could use that to invest elsewhere and make another $200 a month. 

I wish I would invested earlier while in my early 20s. I spent all my free time chasing my bodybuilding dreams and spending far too much time in that scene. 

Who owns and operates a construction company that works exclusively on their investments?

Who out there has had experience with Building Modular Renewable Energy Smart Homes? Which companies or resources would you recommend?