All Forum Posts by: Reuben H.

Usually the initial lump sum at closing is the purchase amount plus a significant pile of additional cash - more than enough to get started on renovations. As I get receipts for completed work I submit to the bank for disbursements, which are transferred to my checking account the same day. If I stay right on top of it there's never a need to pay out of pocket. 

As a seller or listing agent, I get a pest inspection and regular home inspection done immediately from a local company that all of the local agents trust. Then we address those issues with my Handyman that will give me his paid invoice showing all work was done. I attach this info to the listing and have it in a binder at the property for open houses and showings. 50% of the time the buyer just accepts our inspection rather than spending $400 on their own. It’s much easier this way rather than scrambling to address issues mid escrow.

As a buyers agent I meet with my client as soon as the offer is accepted. I will bring 2 sample inspections to review with them and warn that they all sound like the house is about to fall down. I say that no XX year old house is perfect and I will get any health and safety issues addressed but we need to be reasonable, we are not buying a new home. You need to control the process and set expectations up front.

You have a lot of great advice on here!  I agree with sticking with just a couple of areas instead of owning properties all over the US.  I highly recommend you visit them at least once a year, so if they are all in a similar area, that helps.  Visiting them lets you know for sure you are getting your money's worth.  I went to visit my properties and discovered the exterior needed to be painted.  I don't know how long it would be before the PM noticed because it was on the back (the front is brick), so they might only pay attention to the interior during turnovers and when there's no turnover, who knows if they every look at the back of the property.  Also, I found early signs of water damage from drainage problems that needed to be addressed.  Even if you have good property managers, no one will care as much about your places as you will.  Not to mention, the person who deals with my properties is always the same person, so I provide a second set of eyes to find issues.

When you make a trip to a location, I suggest trying to see if you can coordinate it with a local meetup so you can start networking in person.  Also, make friends with folks in the area that you find on here.  When I went home over the holidays, I made plans to meet 2 BP folks that are more connected to the area than I am now.  :-)  

Also, drive around (more conveniently with an agent or local friend) and mark neighborhoods you want to own in and those you for sure don't want to so you can make better decisions when presented with offers.  And be sure to check comps before buying.  Buying a $100k house in a $60k neighborhood should have been easily avoided.  

I have a friend who bought their personal house through an agent who showed them every nook and cranny on FaceTime.  If your turnkey company doesn't do something like that (or have ready-made video showing you the whole place), maybe consider another company.  Someone said others do that.  

If you're going to pick a new area to invest in, try to find an area near a friend or family member who can help you with the search, not to mention, provide a free place to stay when you visit the properties.  ;-)  They can help with areas to stay away from and if you're lucky, maybe even get you a deal through an auction, if that sort of thing is possible.  (I've never done an auction, personally, so I don't know if they would be allowed to bid on your behalf.)

Good luck!

Thank you.  That’s not going to be easy as a non resident. Hard money loans probably your best bet but not for long buy and hold deals.  May want to partner with a Canadian like I’ve done.