All Forum Posts by: Gino Barbaro

@Meghan Begue

When you're investing in real estate, most of us do not consider the exit strategy enough. To me, there is a danger in buying a short term rental only because it cash flow better. There is risk in the model, if they decide to change laws, for example.

If you buy with short term, will you be able to refinance or sell with the same income stream. I know most people say they're gonna buy real estate and hold for the long term, which I advocate, and I do also, but at times, you need to pivot and sell, and can you sell at a price that will make you whole.

Now, if you're going to short term rental model, then I would find a coach/mentor to help. There are some nuances and intricacies that a pro can help you with, and help you save time and money

Gino

@Richard Wilkinson

If you are looking for homes in the 200k or less, markets such as Memphis, Cleveland, Omaha, cities in the midwest, tertiary markets will be your best bet.

I started my investing in Rochester NY. It definitely cash flowed, but there were other challenges. These types of markets are usually linear, meaning there is very little appreciation, unless forced, and the assets tend to be much older, and need more deferred maintenance.

Good luck

Gino

@Dawn Miller

DM me and I will send you our book on Creative Financing.  Great way to sell your property and create mailbox money. After holding for 21 years, great job

Gino

@Dena Sommers

look at apartments.com, and we also use Craigs List to rent apartments

Gino

@Deshen Tang

You can always choose to do both options, but both options requires knowledge of investing. Even though the syndication route will allow for you to invest passively, you still need to know how to vet a sponsor, pick a market, align your interests with the sponsor, and underwrite the deal.

Gino

@Eric Stugart

I would first select a market, and then find boots on the ground. Go to meet ups in the area, find out all active investors in that market, talk to brokers in the market who have clients looking for capital, attend events that you can network, and look into joining the various communities in real estate

Gino

@Stuart Udis

There are two ways to learn,, either on the street or in the classroom. Like most, I started n the street and lost a ton of money. I then turned to mentorship, and totally changed the trajectory of my investing. 

And I agree with you, if you haven't lost money in this business, you are either extremely lucky or blessed. My business partner Jake was one of the lucky ones. When we partnered, I had already made all the mistakes and he avoided them from my experience.

Gino

@Matthew L Hearn

Hi Matthew,

The tenants are not in the way if they have a signed lease, and you do have to honor the lease once you take over the property.

Once the tenant's lease expires, you can always send a letter of non renewal so that they will vacate the unit once the lease expires.

Make sure you read the leases carefully and the expiration date

Gino

@Tyler Kesling

Contract services and supplies are specific to the market, as maintenance, with labor. The strategy depends upon your scale. Either an in house maintenance person with HVAC certification or you have to hire out subs for the various jobs.

You can always contact PM companies and ask them what they budget per unit for maintenance

Gino

@Hunter Duplantis

Find out what median income is in your area/neighborhood, and don't expect to charge more than1/3 their income. If they make 3k a month, you'll probably top out at 1k for rent.

Also, go on apartments.com and zillow and see what the competition is charging. Finally, pick up the phone and call any similar complex to yours and see what they're charging

Gino