All Forum Posts by: Linval T.

@Lacy Goldman

Welcome to the vibrant BP community. Your time here will be well spent.

Now that you have made the move, below are some links that will help you navigate the site. However, this site thrives on interactions and as such we encourage two way exchanges and look forward to educational and thought provoking ideas relevant to REI.

• http://www.biggerpockets.com/starthere
• http://www.biggerpockets.com/ubg
• http://www.biggerpockets.com/meet
• Setting up Keyword Alerts
• How to Use @Mentions on BiggerPockets
• 25 Tips for Real Estate Success

Before your 1st purchase, please ensure you visit the below link for some tips.

http://www.realestate.com/advice/buying-your-first-investment-property/

eBook

http://www.biggerpockets.com/files/user/brandonatbp/file/real-estate-rewind-a-biggerpockets-

community-book

Blog

Lastly, don't forget the podcasts, webinars, #askbp podcast and the blogs.

I use www.erentpayment.com

Another site to check is

https://venmo.com/

@Ryan Brantley - Welcome to the BP community. Yes, the Entrepreneur articles are excellent and I am not surprised that you would go to the community for more info....lol.

We are here to help!

Anyway, I will share my view on REI as we have the same traits with regards to stocks and real estate.

I will rehash your questions and answer them accordingly.

What was your approach to finding your first property? I live in New York and my investments are in metro Atlanta. In 2013 I spent two weeks in Georgia with my RE agent daily pounding the pavement and looking at scores of houses in various neighborhoods.

Between June 2013 and December 2013, I purchased 5 properties, made six trips to Atlanta. I did the closings remotely, but, I physically wanted to see for myself what exactly I am spending my money on. It was a lot of money, so, I wanted to own the responsibility for the risk of taking this huge step.

Also, one of my stipulations was that I was only interested in properties with tenants in them. This has been positive for me, because of the fact that I hit the ground running with immediate income streams. I didn't have to wait a month or more to get tenants in place.

Frankly, this approach drove my RE agent crazy, but, I didn't care, it was my rule and it works!

What were the key attributes for you, Price? Yes, absolutely

Long-term upside? Yes

Location? Yes

Single Family? Yes

Attached? No

How did you approach the deal from a financial perspective? 100% cash? Yes, I raided my 401k and paid cash for the purchases. At that time I was competing heavily with institutional investors with their tons of cash. So, to be competitive with offers I used cash as well.

100% financing? - No, as explained above.

Bank financing? - No

 Private loan? - No

 If you had multiple options for the financial structuring, what was the ultimate deciding factor on pulling the trigger on that structure? Again, to be competitive even in today's marketplace, cash is King. Plus it depends on your tolerance for risk and your long term goals. 

My objective is long term buy and hold.

Additionally, I tell people all the time that not everyone can be a landlord. So, you have to take that into consideration as well with regards to moving into a new arena of dealing with people, issues and management of the properties. Unless you decide not to self manage the properties.

Good luck with your endeavor and all the best with your REI plans.

@Michael Garcia- If the carpets are the only cause for concern, then, you absolutely must return the security deposit. This is attributable to wear and tear over 14 years....probably.

If there are other significant damages to the apartment, then, you have to make adjustments accordingly. But, you did not list this as an issue at the outset, so I suspect this is a moot point.

Furthermore, in this time of grief and considering the deceased lived there so long, you should show some empathy. 

Money is not all!  You should step up to the plate, rise above the fray and return the security deposit without any fuss with the family.

This is an ideal opportunity to raise the rent for the next tenant most likely.

@Thomas Kiefer - Welcome to the BP community. You have taken the initial step, mapped out a plan and now need to take action.

We look forward to your interactions and I am sure you will find the help needed to succeed.

Good luck on your REI journey!

@Michael Julian- Yes, I give my tenants a $50 gift card at the end of the year. They appreciate it and have taken very good care of the properties.

I don't have any reservations about doing so.

@Cori Barnes

 It's an excellent question to ask, but, it depends on your preference and risk level.

I have charted a course wherein all the properties bought are acquired with tenants. I specifically seek this model of operation....and it works.

It's a good feeling to hit the ground running with partial income received when closing is after the 1st of month and security deposits handed over at the closing, rather than spending a month or more looking for a new tenant.

In this model I have only had to evict one tenant so far and will continue to pursue my goal of other property additions with this model of acquiring the property with a tenant.

I drive my RE agent crazy with it, but, will not change.

Good luck with your search and decision either way.

@Derrek Sander

Welcome to the BP community. Congratulations on you taking this bold step to progress to the REI stage.

The good thing is that you have a lot of tools in your toolbox and they are in demand.

Yes, there are lots of investors on this site that you can partner with and share handsome profits in your undertakings.  

Their influx of  money coupled with your skills can and will get you going.

So, you have to outline your goals in terms of the areas you want to focus on and then advertise it to the community....you will be deluged with responses from the near 320,000 active BPers!

Additionally, it's best to be interactive on the site by adding inputs of value so that others can see and become comfortable to approach you for partnership.

Good luck on your REI journey.

@Scott Scharl- There is nothing wrong with revisiting an old idea that worked. The fact of the matter is that with today's technological mindset, this route might not produce the bounty it did in the '80s.

But, as the old saying goes...nothing beats a trial, but a failure.

So, go for it!

Please keep us posted regarding your success....positive or negative.

@Micah Leestma

Welcome to the vibrant BP community. Your time here will be well spent.

Now that you have made the move, below are some links that will help you navigate the site.

However, this site thrives on interactions and as such we encourage two way exchanges and look forward to educational and thought provoking ideas relevant to REI.

• http://www.biggerpockets.com/starthere
• http://www.biggerpockets.com/ubg
• http://www.biggerpockets.com/meet
• Setting up Keyword Alerts
• How to Use @Mentions on BiggerPockets
• 25 Tips for Real Estate Success

Before your 1st purchase, please ensure you visit the below link for some tips.

http://www.realestate.com/advice/buying-your-first-investment-property/

eBook

http://www.biggerpockets.com/files/user/brandonatbp/file/real-estate-rewind-a-biggerpockets-

community-book

Blog

Lastly, don't forget the podcasts, webinars, #askbp podcast and the blogs.