All Forum Posts by: Jonathan Tavarez

I also have properties in Baltimore and use a property management company as well.  My recomendation to you is to talk to a few reputable property management companies first, check the zip codes/ areas they work and then start your research from there.  They can give you some real numbers and in that way you could have a good idea on what to expect.  

I personally try to get properties with ARV of around $150k, usually you can get some quality tenants on that price range, at least in my experience. Best of luck

I see this kind of discussions a lot about getting a mentor, guru, etc. and the truth is that a lot of these mentors can really help in speeding up your real estate journey.  Is also truth that all that information is on the internet BUT it will take you way longer to figure things out than hiring someone to teach you step by step what needs to be done.  I have a personal philosophy regarding problems and money and that is "spending money to fix a problem should never be my first step to fix the problem".  If you have been putting time an effort in your real estate business for sometime but still feel like you need more education to accomplish your goals then maybe a mentor is the answer, but for most people this shouldn't be your first step.  Plus honestly if a mentor charges $5K for a step by step program, you will get that money most likely in one deal, just keep that in mind.

I'm 100% with @Russell Brazil your lender is an integral part of your business, loosing a deal because of a bad/irresponsible (or whatever else) lender is very frustrating but as we all know sometimes it happens.

@Nic Bernal I dont know all the details (investment, house hack, distress property etc.) but regarding your $6K is all about the wording on contract contingencies, your best bet would be a real estate lawyer to verify your options or maybe even just your realtor. For example in Maryland a buyer can walkaway and get their EMD back for almost anything, stuff like "I just dont like the rules of the HOA" but its really all about the contract and clauses. Best of luck.

A quick search in rentometer.com or call to realtor or property manager for the area will give you an idea of rent averages. In my experience rent is somehow proportioned to property value (in Maryland up to $200K or so for SFH) and the thing that really makes the difference is neighborhood class. For example if the neighborhood is class C in average it would be easy to get a 1% return or higher but if it is B or A (and you are buying today) it wont be as easy to get 1%.

https://www.biggerpockets.com/renewsblog/2015/12/09/class-a-b-c-d-real-estate/ 

@Eric Menser I'm always looking for MFH but the ones I see are usually turn key and overpriced (they usually sell the cash flow even if the property is not worth the money). So yes my focus most of the time is SFH for flip and town homes for rent just because in my personal experience they are easier to maintain and at least if there is something wrong with tenants neighbors usually complain faster. That's a "heads up" for me to keep a closer look on the situation.

Hi @Eric Menser, I'm an investor in the DMV area and my wife is a realtor and I can tell you by experience that there are not that many MFH in those areas available for sale and at least in Arlington you should budget with the idea of paying a mortgage for $1.5M easily. Realtor.com is a good resource to easily filter the multi-units in the area if you are looking for MLS deals. Good hunting!!!

It is a very common practice (specially when the home buyer is going to take a significant amount of time from the realtor).  My wife is a realtor here in Laurel Maryland and she requires that signed document from all her clients.

"Believe" by definition is "accept (something) as true; feel sure of the truth of" and at least in my world that is the first step on any journey.  Believing will guide your actions, focus, purpose, etc. if you don't question the journey and just believe in the end goal you will get there one day.   Congrats!!!

I want to give you some advise from personal experience, is better to have just support than to force someone to become your business partner, because that’s basically what ends up happening when you both decided to be in real estate.  Just like you, I wanted my wife to get involved and she ended up getting her real estate license and that was great thing but at the end of the day I am an investor (and a very passionate one lol) and she has become a real estate agent, but she likes to work mainly with first time home owners because it is a different part of the business and for her a more enjoyable one. As an investor you go to properties to see how “bad they are” but with typical buyers she goes to see “how nice the place is” and I will be the first one to admit is not easy to see bad place, after bad place, after bad place, it takes a certain personality to deal with that kind of environment day in and day out, because at the end of the day is not just about money is basically a life style. So just saying, talk to her about it, let her see what you are doing and if she wants to get involve then great but if not, that’s ok too. Good luck!!!

Just to add a few more ideas, you could consider selling it with security system if the area is not ideal, the basic package for simplysafe is like $200 and from my experience people really love it (at least in my rental property).  You could also consider selling the house with a home warranty, that usually runs for about $500 for a year.  Try to think like the "home buyer" in this scenario, try to see it from their perspective and maybe you can come up with a relatively cheap solution to the problem.  Good luck!!!