All Forum Posts by: Alex Chin

@David Kirtman - have you tried listening to the Podcast series? There are some good ones, can't remember the exact cast', but they talk about automating systems, and building the business so that it can function with minimal owner input, especially for long-distance landlords.

@Ryland Taniguchi - Agree with you that in the next 5-10 years, it has potential to appreciate massively, especially as Light Rail continues to expand. At the moment though, Rainier Valley is definitely not for the shallow-pocketed, inexperienced, or faint of heart investor. Cops have stepped up their presence to keep a lot of the bullets from flying, but there are big chunks that are still pretty rough.

@Rey Orinion - I don't spend enough time down in Tacoma to be able to answer your questions. I defer the knowledge/experience of local investors.

@Account Closed you are a treasure! Thank you for posting your experiences and knowledge for folks in the Portland market.

@Mitchell Kane - It could be that the person is loaning the money out from a retirement account. If it is a self-directed Roth-IRA, that may allow them to invest money with you and not have to pay taxes on the resulting profits. I think you can do something similar with a 401(k) account, but it isn't something that I've ever taken a hard look at.

Hey @Don Channel. Welcome to the site, welcome to the real estate investment community of Washington. If you're looking for basic, beginner's advice, I would say check out: "The Ultimate Beginner's Guide" (see the Education tab at the top, Guides section). Provides a good base and starting point for you. I would also recommend starting to work through the podcasts, there is some FANTASTIC information available in them. Also look up the BRRRR strategy, great way to potentially jump into rental investing for relatively low money down.

Cheers, and keep putting questions out there for the community!

 Greg, setting aside any opinions we might have on the "green" movement, there are a lot of aspects that knowledgeable investors, particularly those who work with high-end tenants or very large multifamily properties, can take advantage of.

A simple example is the industry that I work in: LED lighting. Screw in a set of LEDs in the hallways of a large multifamily and they will pay for themselves, without any government incentives, in about 15 months. Add in the government incentives? 4 month payback. Obviously the answer changes a bit depending on what types of fixtures we're talking about, but I have seen thousands of lighting retrofit bids and they average about a 2-yr. ROI from everything from a 15-unit condo building to a 750+ unit apartment tower complex.

Who cares about the environmental implications or whether the tenants really consider "going green" a factor when you can generate a quick and easy 300% ROI? That's not even accounting for the multiplication effect it has on the value of the building as you lower operating expenses. You don't have to be some tree-hugger to appreciate efficiency at work.

I am in a similar position to you @Brandon Stevens, although I think I may have a bit of a headstart as I own property in Tacoma currently.

I would second what @Jake Thompson said with the caveat that like any neighborhood, Hilltop is pretty big and there are certainly pockets that make for great investment opportunities, it will require a bit more work to drill down and identify them though. I believe that long-term, with the Light Rail expanding and sites already picked out in downtown Tacoma, there is strong potential over the next 5-10 years for appreciation similar to what we're seeing in the Rainier Valley of Seattle.

I don't really like multifamily in the Stadium District for the most part, I feel that it is an area where the highest returns to be had will come from the high-end SFR and condo market. The few multis that will work there will probably be mixed-use buildings along main arterial.

No experience in Fir Crest.

Generally speaking, I believe more can go wrong for a newbie on a flip. If you are not experienced in the contracting industry, I believe you should stick with your plan of buying a home, and renting out rooms or units in the property.

Build equity, get hands-on experience, start really learning the business, and get a bit of a sense for how to interact with contractors as you do minor repairs.

Plus this way, you keep you W-2 income and the banks love it when you can show steady, consistent salary.

Judiet Dere Insurance Agency are State Farm, they're doing a Tacoma duplex for me at about $760-annual.

I worked with Galina Moiseenco, she was able to expedite and get insurance on the property with about 2 days notice.

@Charles Moore - Rainier Valley has been slowly gentrifying as super-high prices in Ballard/Fremont have raised costs in the CD and Beacon Hill, which in turn has begun pushing up the cost of living in Rainier Valley.

I'm betting you were in the Columbia City area? Definitely a spot that has seen some serious investment in recent years.

@Steve Wynne - yeah, personal safety-wise, I think I have a bit of a different tolerance level than a lot of investors.