All Forum Posts by: Larkin Adey

@Russell Brazil

I think we are missing a key factor here. If your ROI is significant in this "declining market" and your plan is to own for 5 years, 7 years, 10 years.. it may not be a bad play. ROI in established markets falls victim to hot prices, and emerging markets are tough to pin down.

Most investors are not truly tied up in a market for 30 years, as you grow your portfolio you may exchange your way into better markets in the future.

Just because it is in the decline this year, next or the next 5, doesn't mean it won't be a hot market in 10 years. Maybe google mlves to buffalo NY. Who know!

@Jaden George

Start with your IRA. Try to max it every year. When you are older, you will be very thankful that you did.

Spend the next 24 months educating yourself about real estate investing and meeting people in the industry. Read the following books to start:

1. rich dad, poor dad

2. Think and grow rich

3. The millionaire next door

4. The millionaire real estate investor

5. The one thing

6. The richest man in babylon

Good luck on your journey.

@Nathan Gesner Has some solid advice for you @Nikki Closser, while the market is still solid, maybe this would be a good opportunity for you to sell and utilize a 1031 Gain Tax Exchange to move your money into a more conservative market. Seattle might be a better flip market for you in the coming years, as this economic calamity may expose over leveraged owners and produce some quality income opportunities in the flip market. It's tough to sell, but given what you are facing - it may make sense to get ahead of the exodus and sell quickly. I understand that this would be a massive undertaking, and if you decide to stay I hope it works out and your tenants pay their rent.

Nice Graphs. Read @Jay Hinrichs post. Also, the 2008-2010 debacle had more to do with mortgage lending/ballooning values, and .... fraud, coupled with large bank failures. I was an investor at the time. It wasn't pretty.

The general consensus now is that everyone wants to get back to work and pay their bills. Strict lending guidelines and low rates don't equate to a crash like 2008. Even if this goes through July.

@Nathan Gesner hit the nail on the head. His post sums it up. You have to develop your system, treat people with respect, but be very firm with the rules that are established. We currently have 32 C class units, we keep up on maintenance and take care of the buildings and the tenants appreciate having a nice place to live and pay the rent. If they are late with rent, we take action immediately.

@Christopher Mikle Nice work! We are in the neighborhood, investing. Keep us posted on your experience!

Greetings BP community, 

If you miss the old calculator like I do, and want the Beta testing of the new calculator to go the way of the dinosaur - Please leave feedback for the BP support staff at the following link: 

https://www.surveymonkey.com/r/FG67VKL

(I understand that we can still use the old calculator for now - let's make sure that it stays that way!)

Respectfully,

Larkin Adey

@Nathan Gesner - Don't respond. She is crazy and everyone who reads that knows it. You don't need to debase your company by responding on her personal page. If anyone ever brings that post up during an interview, just explain that you did you job, did your due diligence and tried to provide quality housing at a decent price. 

@Jay Hinrichs - 2/1 1,000 sqft home in an A/B neighborhood in St. Paul MN will rent for 1,900-2,500/mo depending on finishes. Across town in East St. Paul B/C the same home will rent for 1,400/mo. Location specific of course, but in expensive rental markets, I can't see any reduction in rents in A class SFRs covering that spread.

When it comes to the MF space - depends on the town and availability of A/B property for tenants to scale up to, and to be honest, I can't see many of my C MF tenants being comfortable moving into nicer neighborhoods. Many have lived in the C neighborhoods for most if not all of their lives and feel comfortable. Nobody thumbs the nose in their direction because they drive a older vehicle or take the bus to work. I could be completely wrong about that, but only time will tell.

@Justin Kanipe We are still writing offers. There are some lenders tightening down, and things are a little goofed up with lock-downs. Some states deemed RE Pros as essential, some did not - so depending on your hunting grounds it might be a little quiet for a while.