All Forum Posts by: Chris Coleman

@Chaz Desousa

I have used Hodges Law Firm in Germantown, TN several times.

Nice to work with and very easy transaction.

@Whitney Dority

There are numerous GRID Meetups throughout NoVA. I believe there’s one in Alexandria.

@Clifford Paul yes.  3/2 and 1/1 seem to be the best for rentals, catering to either a family or a single person.

@Joshua Williams

Create a plan and strategy for how you will go about this. Will you be renovating and repositioning the property to add value? Will you partner or try to bring in investors for the purchase? Can you get lending? Will you need property management or self manage? Do you have Contractors?

You need to get the numbers. You definitely need the NOI, and find out what the cap rates are in the area.

You’re correct, you can’t rationalize the price, or irrationalize the price, until you have more information to do your due diligence.

@Cory Tollefson

For single family rentals, 3 bed/2 bath all day long.

@Brian Troquille

I have invested in Turnkey with MemphisInvest for several years, and currently own 7 rentals that they manage. I can say from first hand experience that they are outstanding.

They support you completely through the purchase and closing process, and also keep the leasing and property management in-house and controlled by them. They are very proactive in communicating and reaching out.

Chris Clothier is on BiggerPockets frequently answering questions and discussions turnkey.

@George W.

I would try to find another way to purchase the high cash flowing property.

The risk of what you're asking about is that on paper, the negative cash flow of the BRRRR property may be -$400. However, in reality, it could be more, due to vacancies and unforeseen issues. Plus, what about the same even in the high cash flowing property? A month when you only net $900 instead of $1200 due to whatever unforeseen issue (e.g., I just had to pay to have a huge tree limb cut up and removed from one of my properties after a storm took it down and it was blocking the sidewalk).

Even at $0 break even cash flow such a risk is still there.

Maybe the alternative is if you plan to only own the negative cash flowing property for a short time period, like one year, and then flip it. In this case, if the equity and overall return is high on exit. But still risky, as you don’t know what the market will be like a year from now, etc.

@Matt Davis

One thing I recommend if using Excel, is to setup your spreadsheet according to the Schedule E.

That is, if you look at an IRS Schedule E, you’ll see how it’s formatted to list Income and then the list of Expenses (#3-21).

If you setup your Excel sheet to mirror this format of the Schedule E, then it makes it very easy come tax time.

@Dan Gorman

I’ve been investing in both turnkey and multifamily for several years, but I don’t think I’ve ever come across a turnkey operator that does anything more than a one-off duplex now and then.

As @Taylor L. mentioned, if you’re interested in passively investing in multifamily, then you may want to consider multifamily syndications. It can be more truly passive than turnkey rentals.

@Frank Chambers

Congratulations! Looks great.

Did you do a syndication or JV for the $1.2M?