All Forum Posts by: Kurt Pauley

Hey everyone! Excited for this meet up. Last month was the biggest yet with 50+ people. Thanks for the support. 

If this sounds interesting to you please come down to Venn Brewing, have a beer or kombucha, and talk some real estate. Open to anyone from newbies to experienced investors and everyone in between. Agents are welcome but this is primarily for people currently investing or looking for their first investment whether that investment is local or out of state.

Venn Brewing

3550 E 46th St Suite 140, Minneapolis, Minnesota, 55406

6:30 PM start time

Limited parking in Venn's lot but easier to park on 46th Street or another side street. Venn is also located right on the light rail blue line at the 46th street stop.

Thanks!! Looking forward to sharing ideas and building our networks.

See everyone tonight! Don't forget that there is a food truck if you're in need of a meal! 

Thank you all for RSVPing. Looking forward to meeting everyone! 

Hi @Mario Russo , 

I live in Minneapolis and I think each person has their own unique competitive advantages those will start to come out and help guide you what investment category fits you best. 

I have 10 units in the Omaha, NE area and I did manage them myself for a while. I had family and friends back there so I hired two people I knew. That was still challenging and took too much of my time. I have since hired a property management company for all of my properties back there.  

I also have a 6 unit building in NE Minneapolis that I manage myself as it is close to my home and makes sense for now. I do not plan on managing it forever as eventually I want to have all my properties under property management so I can focus on the other things I want to do in life.

I see both sides of the argument on property management vs self management.I think it is a huge learning opportunity to manage your own properties but for me  here are some benefits of using a property manager:

1.  If my goal is to own 150 units and I know that I cannot properly manage 150 units but could only probably trust myself to manage about 20 units (depends on your priorities and where you want to spend your time) then it is inevitable that I will need a property management company. So property management is crucial to being able to scale upwards.

2. I think that managing a property manager is a bit of an art form and takes some skill and experience. I want to start learning this art and working with a management company early. This will help me learn how to find the good management companies. Once this skill is learned and mastered it means you can now invest in any market in the country and you are not limited to your own backyard. Find a good management company, good realtor, etc.

Every person is different and has different goals. Consider how much time you have and your bandwidth for managing tenants, contractors, etc. 

As for me I plan to keep my Omaha properties under management and manage my properties in MPLS by myself for a few years at least. 

I always make sure every property will still cash flow with a property manager costs added in.   If property management costs are a deal breaker than I would say its not a deal. 

As for what size I say go for what ever you can afford and wait for deals. If a 8 unit comes along and is a good deal and you can take it down - go for it!  Partnering with an experienced investor can also be a great way to learn the ropes at the start. I did this with my brother at the beginning. 

Amount of money you need depends on your financing and amount of reserves you will need once you purchase.

Good luck on your journey. Always open for a call or coffee.

Kurt 

@Vang Lor Good luck on your journey. House hacking that duplex is a great start. Looking forward to meeting you at the next south minneapolis meetup. If you have any questions or want to bounce ideas off me feel free to reach out.

@Vang Lor

Look forward to meeting you! Let me know if you have any questions about the real estate market in MN. Happy to help.

@Todd Wilson Looking forward to meeting you!

@Will Hawkinson

Hey Will, Welcome to BP! Sounds like you guys have some awesome goals. Good luck on snagging an awesome investment property. I love the brownstone by Powderhorn Park idea. I live in the area and I am a sucker for the older buildings with lots of character. 

As the others here have mentioned, I would also vote for using a 3.5% or another low money down owner occupant loan product.  In my opinion this helps you scale the quickest as majority of all other loan products will require 20-25% down and putting 25% down on property after property uses up cash too quickly for my liking :-).  If the deal has enough value add or "meat on the bone" you will be able to refinance the property into a conventional loan down the road. Some lenders have seasoning requirements.

Good luck on your journey!!

Thanks, @Mike Juliff !! Hope you've been great. Look forward to seeing you soon.

Hey guys! Heads up - we are moving the meet-up to the last thursday of February (28th) as my wife and I will be on vacation. Last month was an amazing event and we had 35+ people. 

If this sounds interesting to you please come down to Venn Brewing, have a beer or kombucha, and talk some real estate. Open to anyone from newbies to experienced investors and everyone in between. Agents are welcome but this is primarily for people currently investing or looking for their first investment whether that investment is local or out of state.

Venn Brewing

3550 E 46th St Suite 140, Minneapolis, Minnesota, 55406

6:30 PM start time

Limited parking in Venn's lot but easier to park on 46th Street or another side street. Venn is also located right on the light rail blue line at the 46th street stop.

Thanks!! Looking forward to sharing ideas and building our networks.