All Forum Posts by: Brian Wilson

No sir. But I would assume CAP rates would equal to or lower. I still like the idea of investing in Colorado for larger multifamily. Fort Collins is also a different market than down here near Denver. So it may make sense. If I had to ball park it though I wouldn't be surprised at 5-6 Caps being your typical. It's just such an expensive market.

Shoot me a request!

@Dustin Le I moved to Colorado late last year. That being said I don't invest in the local market. However, since I was prospecting it for STR's I found a few things and spoke with other LTR investors in the area. The most profitable investments on LTR that I have seen from a purely CoC perspective have been SFH rent by the room situations (for LTR). Everything in Colorado is fairly expensive, while rents aren't as high as I'd like them to be. I think most of what I was looking at was penciling out at a 4-6% CoC ROI once stabilized.

Another investor did splits. Would rent the upper half of a home for STR and the basement/ADU as an LTR. But when you start looking into STR's in Colorado you need to be aware of the regulations as many area's do not allow for non OOC STR"s.

 Hey Will. I’ve been in your shoes. Quite literally. Former Intel guy here. Turns out I hated working for agencies and decided I wanted to do something different. I chose construction to get me closer to RE investing. What a journey. My income started at 52k and is now hovering around 185-200k per year. I’ve hopped companies a few times. I’m an estimator. I actually work for a company that’s local to your market and would be a great place for you to gain skills that will help you get to a position where you can better prepare yourself to run a portfolio. Shoot me a message if you’re interested. It’s not RE, it’s utility investing but it’s essentially the same thing. You get to see how a massive company operates to acquire, develop, etc. only thing you’ll be limited by is your ability to network in the company. I’ve learned more in a year than I have 3 years of self study. 

Second point. Having a w-2 is essential. I’m finally getting my license, but if you start doing that now (be it MLO, RE agent, etc) and do it as a side hustle, you’ll make money on the side to throw into deals and you’ll learn more about RE quicker. You’ll truly know when the time is right to jump from your w-2. But don’t tie your shoe laces before you start running. 

Feel free to reach out and connect, I’d be happy to put in a word at my company for you. They hire vets all the time. 

I feel as though getting a guest on this list is all flash and no substance in regard to RE investing. So get someone who runs a development firm focused on RE, or a RE Hedge fund, or a owner of a private equity group or large private lender that does 1000's of deals per year. Bloomberg has had many great guests on their podcasts over the years that would be a great addition to a panel for a BPCON. Many wouldn't know who they are (I didn't), but everyone that came would get real value out of hearing them speak.

Just my 2 cents.

If you buy a home with a conventional mortgage you are required to live there for 12 months. Otherwise it is mortgage fraud. Option 2 sounds better.

 I had a furnace replaced in my duplex last year (cheap furnace) 8k from an investor friendly company. Flooring (unless you're doing it yourself). Is about $2-3/SF right now. So realistically since it's a smaller project you'll probably spend 5k on flooring. Another 15-20k on a roof. You're at 33k. Whatever numbers you decide to use, make sure they are recent. Then, take what year you think you'll need to replace the big items, HVAC, roof, flooring, etc. Then isolate them with an escalator in your sheet. You want to account for future dollars. While your rents may or may not go up, you need to escalate now to know the value of the property before you. For labor escalations I would do, 3% per year, for materials 2% per year. 

@Waylon Smith A few things that stick out. I would have money for landscaping accounted for (leaf cleanup is going to be a thing next to the house) at least I would think to some extent based on the photos. No values for cleaning fee's or insect inspection. Also, how did you come up with your CAPEX values? 145/MO seems light in my opinion.

 Many states have county websites that list property and parcel numbers. Some interface with a GIS system so you can look at a satellite image of the property in particular. I think that's what you're referring to. If the POI on the county file isn't receiving your contact then I would just touch base periodically, leave a friendly VM. "Hey John, it's Issac again. Looks like we still haven't been able to connect about your property at 123 easy street. Just wanted to chat with you real quick about possibly selling. If you've got no interest in selling no worries, feel free to just text this number "No" and I'll just mark you down as such so I stop calling you". Simple as that. Then it's a numbers game. 

 Ryan,

My advice to you is to just lurk around these forums for a little bit and read some books before reaching out to any FA's on RE. Most FA's have very little interactions with RE other than maybe REIT's or syndicators that they personally know (from my experience), unless they own RE themselves. That being said I recommend the following books:

How to win friends and influence people - Dale Carnegie
The One Thing - Garry Keller
Think & Grow Rich - Napoleon Hill 
What Every Real Estate Investor Needs to Know About Cash Flow.. And 36 Other Key Financial Measures - Frank Gallinelli

You'll notice that other than the last book, all the others aren't RE specific. That's because it RE info is quite simple. The fundamentals you need are business specific (in order to be successful in this space). I think you not wanting to replace your income for starters is one of the best approaches to begin with, too many beginners (myself when I first started) are this way. Which can lead to making poor deal decisions, bad modeling, and poor strategies.

Welcome to the community!

Realistically if you can get decent at it, cold calling is the most effective. It's a valuable skill, has minimal cost (other than time) and doesn't require you to drive (unless they want you to show up to the property). So you can cold call more in one day than you can door knock or anything else, also some people don't receive strangers showing up very well; however door knocking can be a successful approach. 

Just keep it short and sweet. When investors approached me about buying my property I just wanted to know the BLUF: Bottom Line Up Front. Don't waste peoples time.