All Forum Posts by: Fernando Parker

Apologies for the delayed reply. Thanks for the response @Doug Spence. Yes I've owned SFH's in Memphis since late 2016. You inspired me to put my deals on my profile :)

Each time I type "London" in the search bar, nothing comes up! I can't be the only investor on BP in London!

I was born and raised in Memphis, TN, but London, United Kingdom is home now. If you are in or around the Greater London area and want to talk shop on real estate in Memphis (or wherever), feel free to hit me up. 

Hi Michael. I've been with Reedy since 2016. They typically payout between 10th and 15th of the month. Give Christy or Keri a call and they should be able to walk you through the details. 

@Diane G. thats an interesting take. From Sunnyvale to Memphis, there are many paths out of the rat race. Here's to sitting pretty at the end of all of them. Cheers

@Daniel Weaver I think it's a great feel good story, but let's get to the nuts and bolts: As currently proposed this program will help 10 people purchase homes. I think it's a good initiative, but for my money the real value in this proposal is the credit counseling. I don't necessarily equate "low-income" with low potential, but the reality is that there has to be a much larger paradigm shift regarding the low income earner's fundamental understanding of how money and credit works. I think that in order for this program to gain some real steam, the government would have to back it in some way. That seems unlikely as this segment of the borrowing population represents a substantial risk for convention and institutional lenders alike.

Looking forward to reading other takes on this. Thanks for the read

On the subject of Memphis zip codes, here's something that might help everyone. Keep in mind that there is a dizzying array of variance within each zip code in terms of tenant class/neighborhood/price range, etc. So be sure you're vetting your potential deals thoroughly. Hope this helps.

Memphis Area Zip Codes

38002--Arlington

38004--Atoka

38016--Cordova

38017--Collierville

38018--Cordova

38028--Eads

38053--Millington

38103--Downtown

38104--Midtown

38105--Downtown

38106--Bellevue/McLemore (South Midtown)

38107--North Memphis

38108--Kingsbury

38109--Whitehaven

38111--University of Memphis area

38112--Highland Heights/Hollywood-Jackson

38114--Orange Mound

38115--Hickory Hill

38116--Whitehaven

38117--East Memphis/Laurelwood

38118--Airport

38119--East Memphis

38120--East Memphis

38122--Berclair

38125--East Hickory Hill

38126--Southeast Downtown (Crump Boulevard)

38127--Frayser

38128--Raleigh

38131--Airport

38132--Airport

38133--Bartlett

38134--Bartlett

38135--Bartlett

38138--Germantown

38139--Germantown

38141--Hickory Hill

@Rashard Alomari pm me the specs on that house if you still have it.

@Jasmine Norris I'm not sure what metrics you're using to conclude that Cordova is on the decline. Cordova is a solid B+ to A- area.  @Alex Craig is correct that many people in Cordova got caught up around 2008; my own mother being one of them. Cordova, as with much of Germantown, Bartlett, and Cordova, does not fit the traditional Memphis mold of strong cash flowing properties persay, but if bought right, there's still a ton of upside here. That area is not in decline. It's merely a different asset class in a strong Memphis investor marker. If you think Cordova is on the decline, I'd probably cringe at your assessment of 38127 where I have several strong cash flowing homes.

As far as the UofM area; do you currently own investment property there? If so, then your feedback is much appreciated, but if you're not in that arena i don't know that it's entirely productive to generally say on this forum that any area is one way or another, or that you "can get ______ for _____" in an area where one is not an active investor. This isn't a rant by any means, but if I were considering deals in the UofM or any area, I'd want a synopsis by someone with skin in the game there. Less nostalgia, more [real] #'s.

All the best to everyone as always

@Steven Mitchell I'll say this not just about property management in Memphis, but about pm in general: Property management is a business. And just like any other business, they exist to make money. I'll concede that there are property management companies that are divisions of larger real estate entities, but the fact remain that they have to make money in order to survive. 

So that leads to a question that I'm not sure enough investors ask: How exactly do property managers make money? That answer can vary widely, so I'll leave that to the pm's in this space to tackle, but you can bet that these three items will be there: lease-ups, "fees", and repairs, repairs, repairs! What ends up being a trend in most pm horror stories is transparency. We look at a property and assume what it would cost to maintain/rent it, and for us as investors, those costs are as low as we can get them. I do not believe that property management companies see this in the same light. If we can agree that property management is a business, and that businesses exist to make money, allow me this example: If a repair in your property costs you $100 to fix, for the sake of business, why would the pm ONLY charge you $100 to fix it? There's has to be some kind of a markup or else their business doesn't survive. 

The stink on pm's everywhere is that since everyone knows that they have to make money to survive, a lot of people are skeptical that their money and trust will be burned by pm's who want to eat away at their NOI with a seemingly endless array of fees and repairs. There's a ton of merit in that stigma, but I also believe that in the long run, you get what you pay for. Would you cheap out on your lawyer? Your CPA? I think we all just nodded our head no there. So if you're out of your investment area (like me), vet your potential pm as thoroughly as you would any other key part of your business. While there's a chance you'll pay a bit more, I'm sure the peace of mind will be worth it.

I use Reedy and Company for my property management in Memphis. @James Wachob would be the man to hit up to get you set up there. Those guys have a pretty high standard, and they manage to that standard without exception. I've heard good things about CrestCore as well. Them and Reedy seem to be the go-to options in town.

If I'm off anywhere, feel free to set me straight. Sorry for the rant guys, Happy New Year!