All Forum Posts by: Doug Thompson

@Jordan Moorhead

Frogtown isn't close to West St Paul...

I just purchased a property on the northern edge of Frogtown.  Hit me up with your number off line, and we can talk.

thanks @Brian Wagner

It may be different doc or form in OP's state of Illinois, but good info here.

Another Welcome from St. Paul!

Podcasts and Forums, they are the best!

welcome @Patrick Kelly

for sure check the podcasts, and set up a few keyword searches, like St. Paul (which is how I found this) to keep you informed of the discussions on the forums that are mentioning your areas of interest.

How about an informal meetup for coffee or lunch?  I'm in Roseville, just bought first property in St. Paul, and am buying 2nd this in July.  I've only just started investing, but have learned much here on BP.   You will too!

Welcome to Bigger Pockets

@Andy Schornack

I'm certain you'll be providing some good commentary and advice on your posts!

@Andy Schornack

Andy doesn't just work for Flagship, he is the President. 

I would say Andy may know a thing or two about the lending business.

@Andy Schornack

Welcome @Joseph Rath

I'm with @Kyle Soderman and his plan, get into a house pronto if possible, and rent rooms to students while you go to college.

Hey Rashad, your timing with this post is awesome;  I'm looking for a similar referral for an Atty.

I'll let you know if I find someone, but will hope to see an atty or a referral up here too

Bringing this thread to a conclusion, I have walked away from the deal on this apartment building.

Two issues, were the comparable sales, but especially my personal rent survey. 

I contacted a local realtor for a price opinion, and he showed 4 sales within the last 24 months that confirmed the price.  These were better buildings that have sold for lower, or substantially lower.

Still, its about cash flow.  So, without being able to get a clear enough idea of the rental market rates, I started knocking on doors.   What I found were rents were up to $550/month for very nice condition similar building, and $450/mo for the next door neighbor buildings, that were cleaner and much better managed than this unit. 

So, our building owner has squeezed his rents $1-200 above market, to create this cap rate.   I informed him that the price didn't work; I didn't give him (yet) a counter offer.   Frankly, I'm not sure how I'd price it knowing he is at $650/mo while his neighbors are at $450/mo in rents.

In the end, I learned a great deal, and avoided a tough mistake.

By the way, I had no concerns at all about the factory town issue.   They will be there for a long time.

Thanks to all that gave me their input.    I can't recall which podcast it was, but someone said get out a clipboard and start knocking on doors to know your target neighborhood.

My number one lesson; do your due diligence, and confirm all your numbers.  Number two, you cannot listen to enough podcasts.

Welcome @Chad Rainwater, I should get my intro done one day too!  I also credit Josh and Chad.  It is a great learning environment here.

@Mike Weide, I'd be happy to bounce ideas too.  Looks like you're further along the road than I am, but I also hope to get 3 flips this year.   I hope to have buy and hold also.