All Forum Posts by: Michael R.

A few questions. How did you find out about this property? Have you determined what your real estate investment goals are and what you want your real estate to do for you? I started in SFH but would do things very differently if I had found BP and dug deep into the podcasts and forums sooner.

With that said, do you have any rehab experience or is your 10K estimate based on a third party contractor? There are just a lot of questions that are brought up by your questions. Take a look at the bigger pockets calculators. Also a book that has helped me out that I learned about in one of the podcasts is: The Complete Guide to Real Estate Finance for Investment Properties by Steve Berges.

I hope that helps.

Sell. Unless you can refi into a good situation sell. It sounds like you would be trying to squeeze more out of this situation than is realistic which sounds like a big source of stress. Take the lessons learned and cut your losses. The math tells the story.

@Dominick Hayes

Welcome to the community and congrats to you and your family.  My advice is to start at podcast 1 and just start listening....the amount of information in there will help you with all of your questions!!

Also consider doing your upgrades at a lease renewal time to help increase rents. So the kitchen this year, flooring next year etc.

To echo what has been stated, determine what your market wants so you do not over improve. Also improve what is going to generate the most revenue. If that is everything and you can afford it, do everything.

Definitely consider all of your worst case scenarios - what if all of your properties need major repair in the same month? You could spread your risk out by bringing in a partner.

As has been stated if this is a rental, what are your competitors doing? Go shopping and see where the market is.

Your tenants can find out who owns the property if they are so inclined. In one of the podcasts it was mentioned that if your tenant wouldn't want to live in the same property as the owner, they may not be the type of tenant you want. I would tend to think on site management is a good thing. I hope that helps. 

The obvious answer is look at the financials.  Also stated was a reference to The One Thing (great read).  My wife and I look at where we live and where we have support systems in place.  For example, we invest with my parents in upstate NY, we travel there several times a year and housing is cheaper than in the DC area.  So for us - upstate NY makes sense even though the taxes are higher.  We also hold property in Las Vegas and since we have a network of maintenance people and family out there, it again makes sense for us.  

I hope that helps.

Mike

@Brandon Turner, @Chad Jarrah - BOOM you guys are on it!!!  I have taken your advice -- as it was also a quick tip on one of the podcasts!  Thank you much for the welcome.