All Forum Posts by: David Clinton III

Idaho is the only state other than Maine that you don't have to be licensed to manage property for others, so there is that.

It seems to me the sheer number of toilets (and what the sewer line is set up to handle) is likely to become an issue with any sort of scale. A fair sized office can get by with a single mens and womens bathroom. With that amount of square feet you can get multiple units, but not necessarily as many bathrooms as needed to support full time residents (vs. daily workers in an office setting).

Has anybody else run into this?

It all depends on what the mentor brings to the table and how you agree to it in advance. There is no one-size-fits-all.

@Ari Hadar generally, I think referrals from others that you trust. I personally like the model of sharing deals with a mentor because it aligns your interests. Rather than simply paying for education, you both win together, so the mentor is motivated to help you get to the finish line.

Hi @Ari Hadar, I think the terms Coach and Mentor are often used interchangeably. I have paid for directly for some mentors, and others have mentored me while sharing deals. Some have been compensated for their time by me using their other services like contracting or lending. A good coach / mentor is always worth paying for, and if they aren't being compensated for their time in some way, they either don't realize their own value, or they aren't going to be motivated to continue to stick around very long.

Hi @Isaac Islas, the seller transfers whatever deposit collected to you, the buyer, in the process of closing. So you have those funds. Then, yes, you are responsible for paying deposits out to tenants that leave, but you have the funds to do so.

Part of the due diligence process before buying is making sure that what the lease says is on deposit is what the closing company gives you through escrow, and that you get an estoppel signed by each tenant. This is them stating what they believe their deposit is, which appliances belong to them, etc. 

@Jared Johnson, that's great! I have had a very good experience with Numerica Credit Union. Generally speaking, among our local colleagues, it seems that you'll have the best terms and experience working with the credit unions on local real estate... the understand what they're lending on.

Ah, I see what you're saying... the last lease is difficult to follow based on the way it's actually billed for the duplex. And best not to make any changes in the current environment!

@Matt Gilroy, don't make it complex for the tenant, even if you want to make it complex to figure it out or justify your own numbers and analysis. They don't care to understand why you're making the choices you are. Make it a flat dollar amount every month that covers their utilities, rather than fluctuating every month. It just isn't worth the hassle. $100/month is fine. Better yet, just increase the rent you're asking, and say utilities are included.

Yes. I think your individual goals will really lead to which tactics will work best for you. Many strategies can be made successful, and many tactics within those strategies. But there is no silver bullet, or one-size-fits-all technique. That's what most are hoping for when they first learn about real estate investing, but there are so many ways to make (and lose!) money in real estate. I'm one who believes a mentor is the way to go. I made my most expensive mistakes between mentors, and won't make the mistake of being without them again!