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All Forum Posts by: Dan Mumm

Dan Mumm has started 7 posts and replied 104 times.

Post: Opinions about trajectory for 89142?

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

I guess it depends on your standards. I’d consider it a C/C+ area. I don’t see it changing for the positive anytime soon, probably will just stay as is. 

The whole northeast part of town doesn’t have a lot of promise of improving. No real major developments that seem likely to revitalize, at least to my knowledge. Interested to hear other opinions. 

As the old real estate adage goes, best chance of that happening at this point is if it burns down.

Post: Buying an investment property in Las Vegas

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

Condotels are BRUTAL. Avoid at all costs. Management fees are insane, typically 50-60% of GROSS rents. They are MAX 2-3% cap after fees. Also they are bad assets long term, very high association fees with poor management, don't appreciate well or hold value, very volatile market, very difficult to exit (12mo+ of inventory).

Only use is for someone who wants to have something on the strip if they come into town very often to visit and want to offset the cost. Even then, makes more sense to just rent a damn room at the hotel.

Post: Only 18 4plexs on MLS in Las Vegas inventory

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

I have 2 fourplexes coming up for sale on MLS so I'll bump the inventory up 10% :D @Robert Adams is correct that many are sold off-market. Part of this is due to the personality style of the people who own 4-plexes here. The vast majority of the owners self-manage them as a part-time/retirement job and are older. They have the time to do a lot of it on their own and sometimes just prefer that route vs working with Realtors (for better or worse). Property management on 4-units in a D area with a lot of evictions/turnover can be very cost prohibitive so a lot of owners are forced to self manage. Most times, they can get a better price on MLS though.

Post: Sales, prices and time on market in Vegas getting worse

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

Agreed with @Bill B.. Clark County can be very misleading. Both months of inventory and active supply dropped. Looks to me like prices stayed the same month over month at $282k median, not that one month is really statistically significant. Still waiting on exact data but mine shows way different figures. Sounds like you got a BS automated e-mail. See below.

Post: Interested in Las Vegas , help me with areas to choose

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

Hi @Account Closed. Can you make your question more specific?

There's always trade off for quality of location and percentage returns. What is your plan/strategy? Is this for a long term hold? If so, how long are you planning to hold? Is a premium location (A+ area like Summerlin, Green Valley, west Henderson, etc) important to you? Or are you looking to maximize return and willing to invest in C/D areas with high crime rates?

I'm happy to answer any additional questions you might have and help you point in the right direction. 

Post: Investor/Agent Relationship - Finding Deals

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

If you are helping clients who are busy professionals locate buy-and-hold deals for passive income, that's a little bit of a different story. My post was more aimed towards flips, I should have been more clear. 

Rental deals are much easier to locate since there isn't nearly as much of a discount needed for them to make sense.

Post: Investor/Agent Relationship - Finding Deals

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

@Eric Fernwood, in the case where you locate a lucrative flip opportunity for a client, what value is that client bringing to the transaction, especially if they are using hard money/financing and not their own capital? Why would you not purchase it yourself?

Post: Investor/Agent Relationship - Finding Deals

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

@Allie Dickson no, it's not necessarily a waste of time. It's a good question, there's a lot that goes into this.

I do help my clients find off market deals when I come across them. I probably send investors more off market deals than 99% of Realtors, actually, just due to the number of sellers I talk to. But to make this a primary objective of your sales business might not be the best strategy. 

To find off-market deals, you will employ a lot of the same strategies that you would to find traditional, MLS sales (networking, phone prospecting, door knocking, marketing, internet advertising, mailers). So the off market opportunities will come as a natural side result (albeit scare) of what you are already doing.

The problem comes when you devote an inordinate amount of time doing what an investor should be doing themselves. But this question about how to run a real estate sales business is kind of a different subject :)

Post: Investor/Agent Relationship - Finding Deals

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

Hi all,

I've had a lot of people reach out to me privately about investing in Las Vegas and decided this would be a good place to share some tips for building a successful investor/agent relationship. Part of my intention with this post is to create a codified reference to send to clients before working together. This will also be helpful for other investors who are just getting started.

For the sake of providing credentials (not intending to brag), I am a very active agent and investor. I both live and work in Las Vegas. I personally sell about 100 homes a year (15-20% of which are investor clients, thank you BP!) and have acquired multiple single family and townhome rental properties. I also invest in large multifamily properties.


With experience as both an agent and investor, I feel (somewhat) qualified to speak to this important relationship and how to make it synergistic and fruitful. As an investor, I am certainly familiar with the frustration of dealing with “Soccer mom” Realtors who pitch cute kitchens and have no acumen on the investing side of the business. As a Realtor, I am familiar with the frustration of dealing with “time sucker” investors who want me to spend 50hrs/week finding them deals, writing 10 offers a day, while they work with 9 Realtors and then never end up buying. 

Hopefully this short guide will help you in either role.

1 - Finding deals is the primary role/responsibility of the INVESTOR. With very few exceptions, the most difficult part of any business is FINDING NEW CUSTOMERS. Real estate investing is no different. In fact, REI is a quintessential example. Finding deals is the most difficult and rewarding part of the business. It is the highest dollar per hour, high-leverage activity that pays the big bucks. Everything else, to some degree, can be delegated out. Finding deals is what YOU, the investor, get paid to do. This is the entire purpose and primary objective of REI businesses. This is what all of their marketing, advertising, and sales strategies is geared towards. To expect a Realtor to do this part of the job for you is unrealistic and does not make any sense. If a Realtor is spending 20-30 hrs/week knocking on doors to find you a deal, and you are outsourcing all of the contracting work, and using the Realtor to sell the home, what exactly are you getting paid for? What value are you bringing to the transaction? I don't want to sound condescending, this is simply meant to clarify roles and expectations.

2 - The MLS is NOT a rich source of discounted properties. Often times, investors who only have experience purchasing primary residences get confused here. Realtors are a great resource for finding a home to purchase as a residence (so is the internet), but not so much for investment properties. The reason for this is that sellers who list their homes with a Realtor on the local MLS - "traditional sellers" - typically want top dollar for their properties and are not likely to sell at a significant discount. OF COURSE, THERE ARE EXCEPTIONS TO THIS. However, to expect your Realtor to scour the MLS for hours to find a needle in a haystack, and write 10-20 offers a day, is unrealistic and not effective. If you want to use the MLS as a resource, ask your Realtor to set you up on a customized auto-search and do some basic underwriting on your own to narrow the deals down. Drive around town to get an idea of what areas you want to rule out. Or, you can use search engines for this, they are nearly as powerful as the MLS nowadays anyway.

3 - So if my Realtor isn't for finding deals, what do they do? The nature of a Realtor-client relationship is certainly different for investors and owner-occupiers. If you are looking to purchase a home to live in, one of your Realtor’s primary responsibilities is to find a property that fits your needs. If you are looking for an investment property, this becomes your job. Your Realtor’s job is more consultative - to advise you on locations, rentability, tenant profiles/demographics, exit strategies, salability, connect you with vendors, help you underwrite deals, and help you negotiate contracts. The *RIGHT* Realtor will be worth their weight in gold for these roles. 

Tip - Do not underestimate the importance of vendors and resources. A realtor who has a large book of business with vendors (landscapers, painters, plumbers, etc) can save you a lot of time, hassle, and money!

4 So how do I find deals then, if not with a Realtor? This is the right question to ask. This is where you should focus all of your time and attention. There are plenty of resources on this website on finding deals. You can start by networking with wholesalers (a good investor-friendly Realtor can help you here), browsing auction websites, asking a Realtor to set you up on a customized search, calling/driving for dollars, working your personal database, and sending mailers. 

Keeping these points in mind will help make your Realtor relationship more productive. It will actually make them want to work harder for you and invest more time, energy, and resources in you. A good Realtor will also be able to occasionally send you deal opportunities, but keep in mind this is not their primary role. Personally, I know that my deal opportunities go FIRST to clients who have proven themselves and have a history of closing transactions.

Please reach out with any questions!

Post: Has anyone Invested in the Las Vegas, NV area?

Dan MummPosted
  • Real Estate Agent
  • Las Vegas, NV
  • Posts 107
  • Votes 57

Agreed with @Brad Bellstedt on all points above. 5-6 cap for the average SFR is pretty standard right now.

Mentioned this a few times before but here's my quick cheat sheet on Vegas right now (at least what I'm seeing) for cash-on-cash returns with 25% down (these all assume GOOD VALUE DEALS - if you pluck a property off the MLS, many of these will show negative returns or <1%)

A location: 1-2% COC

B location: 2-4% COC

C/D location: 6-10% COC