All Forum Posts by: David Flores

@Derrick E.I think it is more common in West Virginia than in other places. I used to live in New Jersey and banks there do not respond well to the idea of sellers carrying the down payment. But after one successful deal it was easier for that same bank to continue to fund my deals. Track record is everything, once you do one of these deals it is easier for the next because you will have references and a record of keeping up with you debt. 

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $71,000
Cash invested: $22,000

Bought and rehabbed a cabin to make it into an airbnb property

What made you interested in investing in this type of deal?

I really wanted to get into the airbnb game

How did you find this deal and how did you negotiate it?

I found this deal through the normal MLS. I actually went up above listing price to ensure we got it

How did you finance this deal?

Traditional mortgage

How did you add value to the deal?

Added a fire pit area, a driveway, a staircase to a loft, new floors, paint, and furniture

What was the outcome?

On airbnb and is doing great! Started on Jan 1st 2022 and is already booked through September 2022.

Lessons learned? Challenges?

Just dive into it, you will figure it all out when your in it

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Howard Hanna in South New Berlin

Investment Info:

Retail buy & hold investment.

Purchase price: $550,000
Cash invested: $26,000

Bought a 12 unit apartment building on main road in growing part of West Virginia. The building has 5 lawyers offices, 1 hair salon, and 6 residential units. We are also putting my office in one of the units are is a vacant commercial spot right now.

What made you interested in investing in this type of deal?

Very large cash flow. Purchase price was 550k off market and currently bring in just a little over 11k a month. My cashflow on it was enough to quit my job and focus on real estate full time!

How did you find this deal and how did you negotiate it?

Off Market deal by an agent I was friendly with

How did you finance this deal?

The down payment was seller financed. Meaning there is a traditional loan with the bank and then I have a loan structure with the seller to finance back the down payment they carried for me. Even with both loans I am extremely profitable.

How did you add value to the deal?

Redoing an office space, new roof, and rehab on one unit.

What was the outcome?

Producing very large cash returns every month. Very happy.

Lessons learned? Challenges?

Befriend people in real estate if you want to do well in real estate

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Howard Hanna in Morgantown WV

@Alicia Marks

Just do it already!! Lol i would have started earlier and probably not have gone to college

@Christophe D.

To answer your question. Yes that is a good criteria to look at. Population gain means more people, more people means more rentals needed, which makes a stronger market. Yes things can happen but I agree its hard to place money in areas with consistent population decline. Consistent population is usually a good sign for growth development and prosperity. If its a little choppy i don’t think that is a reason to look away though. But year census after census of decline is deff not good.

@Jose Lopez

Find me a property with over a 10 cap rate and a management company setup. I will pay you a 5k dollar finders fee if we close. DM me if your serious!

Hi Jacob, I own 24 units in Morgantown and my company manages over 300 units. I am quite fond of the area and the local trends. If you ever wanted to link up let me know. Feel free to DM me!

To pretty much everyone who can help, does anyone happen to know how to get cleaning people in remote areas for short term rentals

There is definitely a lot of investor friendly deals. And in Morgantown specifically I have been an investor for quite some time now. I used to invest in NJ/NY but nothing compares to the returns you can get in Morgantown so we have shifted our focus solely on the Morgantown market.

You need to be able to manage properties well in WV though. A lot of homes are older and yes tenants can be hard to deal with, but they are hard to deal with anywhere especially for the type of property you purchase. If you ever have any questions or concerns feel free to DM me!

Being in the property management world I have noticed a boom going on in Morgantown WV. It is very strange to me because it is a city that has had very stagnant growth in a long time. But for some reason homes, restaurants, employers, hospitals, and more are either expanding or brand new to the area.

I was wondering if other "sought-over cities" are experiencing the same kind of thing. I am referring to smaller cities in more unpopulated states. I know Boise is experiencing a huge boom as well, which is an example I am referring to. Not the NYCs, LAs, San Franciso's, Detriot's, etc. The small cities in relatively not so populated states. I think people have shifted their focus on quality of life and finances. People are looking for a smaller city with everything they need, but not paying the extremely high property prices or taxes.

I think covid had a big impact on this. But wondering if a lot of people see the same thing? Maybe places like fargo, salt lake city, jackson hole, bethesda, Charlotte, lehigh valley, etc