All Forum Posts by: Leo Furest

@Cassandra Sifford hello how are you? Want to see my thought about Detroit? See any of my threads..I started a year ago and I am planning to keep my buy and hold strategy

@Mora Clark I have done pretty advances in Detroit. We can catch up whenever you want. Did you finally invest?

@Andres Aguero go for it and never EVER quit your dream. One year ago I was wishing to have my first rental cash flow property...YTD counting dozens and moving forward!! 💪💪

@Ryan Sykes I don’t know the terms of your purchase agreement, but as far as you are “under contract” you can do whatever you want. You can send a satisfaction report/dissatisfaction report...you can counter back reducing the price, step down or move forward. Moreover if If you haven’t closed due to owners obligations

@David Sussman Walk away David, if things are just as described you might be wasting your valuable time, that you could be using looking for a great deal!

Originally posted by @Fern Goldhar:

Very impressive Leo!  I live in Toronto and trying to get started in Detroit - I recently visited to try and get a feel for the lay of the land but didn't connect with a realtor etc. who I'd choose to move forward with.  Do you have any advice as to how to go about building a local team?  First steps? Thanks!

Fern

Fern, you have to do it my friend! You are a couple hours flight from Detroit. I have 14 hours flight (with 2 or 3 connections) and I do it every month...Let me give you a couple tips to focus on Detroit properties. I am not going to advice on how to build a local team because that dependes exclusively on you. 

1) I never buy a property I didn't t personally visit....NEVER!!!

2) I don't buy houses in blocks with blights or vandalized houses

3) When I am visiting the houses with my realtors I only ask them to visit houses that after rehabbing can rent at $800/month (if that doesn't t work I penalize them discounting that money).

4) In every trip to Detroit I drive more than 600 miles inside the city (4 or 5 days), I park anywhere, talk to people...feel the atmosphere.

5) I always send inspection companies to ALL the properties one under contract

6) My closing is contingent upon inspection and FINAL WATER READING (This Point is very important in Detroit!). I have seen $9,600 due bills in properties closing (due to my clause debited from the sellers closing statement).

7) I buy houses on the market (MLS), but I most like the off market deals (once you start investing hard with cash those deals start appearing...those are the best).

8) I NEVER EVER feel I am done, I can still fail and take all the precautions to avoid it. Remember, once you knew all the answers somebody will change the question! So don't get used to dancing always the same music!.

Let me know if I can help you!

Originally posted by @Roy Gutierrez:

Originally posted by @Leo Furest:

Hi everybody, very interesting thread! First things first, let's define this "investment" concept. I am not only based out of state I am based out of the country and I have been investing couple $MM in real estate in Detroit and I will surely continue. Going back to the beginning of my commentary, is not the same focusing on flippings or buy and hold or BRRRR, etc. the kEY here is having THE LOCAL TEAM, that one that is trustable and you can delegate some aspects of the business. I have been buying SFR, rehabbing and renting them in a long term buy and hold strategy. No vacancy, no evictions so far (I know), strong rentals with no laye payments and IRR over 18% cash on cash...Not bad at all. I travel there every month.

Glad to hear that Leo Furest (La garra charrua!) What part of Detroit are your properties at? It's a challenge managing these contractors locally so I can imagine being out of state and you're doing it, so congratulations!

Hahaha Roy, you made me laugh with La Garra Charrua, but well....I have to admit that doing business I try to put as much as possible Garra Charrua! My properties are spreaded in different zip codes, but I have some investment principles that I never quit. My property managers and realtors work on a result basis, if the fail I penalize them with economic results...When you do that everything works! haha

Hi everybody, very interesting thread! First things first, let's define this "investment" concept. I am not only based out of state I am based out of the country and I have been investing couple $MM in real estate in Detroit and I will surely continue. Going back to the beginning of my commentary, is not the same focusing on flippings or buy and hold or BRRRR, etc. the kEY here is having THE LOCAL TEAM, that one that is trustable and you can delegate some aspects of the business. I have been buying SFR, rehabbing and renting them in a long term buy and hold strategy. No vacancy, no evictions so far (I know), strong rentals with no laye payments and IRR over 18% cash on cash...Not bad at all. I travel there every month.

@Roy Gutierrez you are saying wise words. The only thing that keeps me investing in Detroit (buy and hold and also flips) besides travellIng every month is that I have the more trusteable and loyal local team I can ever imagined. This is not something to deal “remotely”. I would suggest that if someone wants to enter Detroit market take at your own risk two trips: flight/car/meals/hotels to know the city, its people, the neighborhoods and develop local connections! Is the best investment on risk and opportunities assessment you can do! Best Leo

Originally posted by @Aaron B. Lewis:

@Vincent Patel SMART GUY! Detroit has best deals in the world. You already stated this! Anyone who isn't investing in Detroit now, I encourage them to continue to invest in the areas they are (more for us).

Here is my track record of deals-(open challenge to anyone to provide better returns per $'s invested, no takers to date)

https://docs.google.com/spreadsheets/d/1_b5hu-UrEB...

Here to discuss your flip strategy at your convenience.

@Aaron: I sent you a message couple weeks ago, but no response at all. I am interested in getting in touch with you, I am already investing in a SFR portfolio in a buy and hold strategy but want to enter in flipping. Please respond my message

Thanks, Leo.