All Forum Posts by: Jordan Jones

Thanks for the replies everyone. Great insights! @Stephen J Davis and @Kenneth Garrett, how long does it typically take you to rehab a property? Those are fantastic numbers! I'm cash flowing $200 / $335 / $375 on each SFR respectively. My COC is 8.25% / 11.5% / 12.13%. But again, numbers for house #3 are projections as I have not yet closed on it. I also have a lot more money tied up in the deals. Thanks again!

Hi all. For those who are in the midwest who are willing to share: what are you typically cash flowing on your SFRs and what are you getting for COC returns? Also, what do you consider "good" numbers? This is my second year doing real estate. I buy solid, high quality / low maintenance properties, in great, blue collar neighborhoods. I have 2 SFRs and a third under contract. All conventional 20% down. My second house performs quite a bit more than the first; and the third is projected to perform better than the second.

Either I'm getting better at finding deals, or my deals weren't that good to begin with...lol. That's the downside of a new endeavor; you don't know what you don't know. Thanks!

HI @Brad Moore. I have a small SFR portfolio; all properties are located in the midwest and all purchased between $108k - $118k. Every home I've financed 30 year conventional 20% down. I did not have to occupy the property for any period of time. If it's an investment property (in my experiences) the interest rate is a little higher so I usually buy it down. I have kept the properties in my own personal name. My mortgages have non-transfer clauses. All of my properties cash flow well and (luckily) I've had really great tenants. Good luck!

@Nathan Shankles great question and thread. I have a very small portfolio of SFHs in Southeast Michigan. My philosophy is similar to @Steve K. I have a busy professional career so I try to get into great areas, buy solid properties, and keep them in great shape, to minimize headaches. 

I hover right around 1% (anywhere from .8% to 1.1%) but all my properties are cash flow positive. This investment style suits me because I do not have the skill set to efficiently rehab (I'd have to pay for labor), and I tend to get great tenants with very little issues. I see it as a trade off!

This is a really interesting idea. Do you offer a lower rent increase on a 2 year lease option and a higher increase on the 1 year option? Thanks!

Hi @Tye Lacey. All you have to do that is any different is provide your immigration information. The bank is going to want to see your passport, I-94, and visa. Everything else is the same.

Great thread, and very thoughtful responses from many people. I have a similar situation right now and spent a very long time thinking about what to do. 

@Quentin Mitchell I considered all the things mentioned above, but I also took into account that the tenant is very low maintenance. I have a very small portfolio of single family homes and I also work full time -- so in my thought process the fact that he was very low maintenance was really important. I never hear from the guy. A high maintenance client can really disrupt your life and make you less productive -- especially if real estate is something you do on the side. I decided to raise his rent 4% this year and he was fine with it.

Hi Jeff, welcome to Detroit! I moved to Detroit 9 years ago and have loved every day of it. Like some others have said, Detroit is really block-by-block so just make sure you really get to know the neighborhoods. Also, if you're doing a buy and hold in Detroit proper, there are some somewhat unique regulatory requirements that they don't have in some of the surrounding communities. So look into that too! Good luck, and again, welcome.

Hi @Tim Addai. I have a small operation (2 single families and renting out a room in my primary residence). I use Venmo for all of them. It's easy and free. Make sure you set it to private, though. When I first switched over to Venmo the tenants could see my payment activity. I wasn't comfortable with that. But have never had a problem otherwise. Good luck!

@Karina Villamar Hi! Mine was a single family home, 10% down conventional. I house hacked and rented out a room right away. The rent covered a big portion of the mortgage and really helped. The person is actually still living here. This worked out well for me, but it's always a risk.. the key is finding a good tenant you can coexist with!