All Forum Posts by: L. L.

Hi everyone on Bigger Pockets. I have a question for those who have been purchasing properties in the Cleveland market for a while via both on the MLS and through wholesalers. I understand the Cleveland market has Point of Sale requirements which require a buyer to deposit Rehab Funds into an escrow account for distressed properties prior to closing on a deal. This has been a road block for me in the past as I have had trouble looking for hard money lenders that would loan below 50k on as-is properties, work with "upside down" properties, as well as loan the extra POS requirements. When I first started looking in Cleveland I thought my 45k would have been enough to start working with hard money lenders in that market. I have recently considered purchasing through wholesalers as a means to bypass the POS requirements. Im currently thinking that a Title Company is more likely not going to require POS deposits which would allow me to make a purchase and notify the specific city after purchase. At that time I dont think the city can still require a new property owner to deposit funds after a purchase has already been made. This would allow me to rehab without POS requirements. These are just my thoughts and I would love for those with experience to share there advice on this matter. Is this a good idea, or risky? Any sincere input would be greatly appreciated. thanks!

Hi Khizer.  Im a newbie out of state real estate investor looking in the cleveland market.  I use a neighborhood map from cleveland investor primer.com under the Area Guide section to help me determine the quality of neighborhoods in Cleveland. It helps give me a better idea of what im looking at

 So who is the new Property Manager?  

Thanks for the information Joseph.  I have heard other out of state investors paying 10% on the cost of rehab for boots on the ground service. There were two PM companies who I found who have advertised "boots on ground" but both didnt seem interested when approached.  I am talking with someone who has family members in Cleveland and I will see if I can pay them to stop by my future properties every week during the construction phase and take lots of pictures.  I will also be asking PM companies if they might stop by for an extra cost.  Its going to take sometime finding people I can trust and work with.  I put a list of residential contractors together over the weekend who I will be calling.  I will also be asking if they could give me an estimate on rehab costs before I put in my offers.  This will allow me to have a good idea of my offers and total costs before starting a project.  Im more likely going to have spend the next few weeks trying to get people willing to work with me.  I will be asking about boots on the ground with whoever im talking with to see if any doors open up. 

 Jordan! I will send you a personal message!

 Thanks for your response Joseph! I have been watching a lot of youtube videos with David Green and am familiar with his 4 core team approach.  I also remember him mentioning that sometimes using a property manager's connections and general contractors will help.  I going to have to make a lot of phone calls and find people I can trust, especially good general contractors like you mention.  I was hoping for some type of Project Manager person who I can pay a premium.  But if I cant find one then developing a good relationship with my contractor will have to do.  

Hi Jordan! Im looking for properties in the C,C+,B- range. I would like to find single family homes ranging from 85k ARV to 120k ARV. Im using a cleveland Neighborhood map found on Cleveland Investor Primer.com website to help choose decent locations. Once I find a good Property Manager that is willing to work with me I will be taking their suggestions into consideration as I would prefer an area that a property manager feels comfortable managing. Are you from Cleveland?

 Thanks Uri! I will reach out to him!

Thanks Uri! I will do that for sure!

Thats good information to know Andrew! I will keep that in mind.  I heard its good to find a property manager with all the connections as they already have people they trust and like to utilize.  I have a large list of property managers and I think I will just cold call them and see if they might become my "go to" person.