All Forum Posts by: Logan Freeman

I agree with @Carnet Williams that @Colin Douthit is tremendous to work with. Best of luck! 

@Michaela Kelly, what type of property (single or multi)?  

Colin Douthit with Atlas rentals would be great. feel free to dm me and i'll get you his info 

@AJ, nice to meet you, and congrats on your 1st purchase! Just to clarify, did you mean to write you are "now" venturing into the world of BRRRR? Have you read David Greene's BRRRR book? Feel free to dm me if you like to talk about your goals. Best of luck!

ABCs of Real Estate Investing, Ken McElroy 

I think some other markets for you to consider would be: Riverview (affordable MF properties at lower median listing than Coronado, at $105k). Also, Bethel Welborn and Argentine have affordable MF. Good luck! 

@Tricia Valverde, some solid advice so far. Additionally, for great B/C neighborhoods I can recommend Excelsior Springs, Belton, Grandview, Ruskin Heights - to name a few. Happy hunting! 

@Mark Anthony House, absolutely there's a market. For an investor, having a project manager/contractor who (1) understands their business goals, (2) can do great, on time, and inexpensive work, (3) can communicate with the city for permits, (4) have a network of reputable roofers, HVAC, electricians, plumbers ... this is an invaluable relationship for an investor, particularly those investing in properties that will need reno work done (flips, or BRRRR deals, etc.).

If you can connect with a lender or broker who works regularly with investors (or know of any investors yourself) there is a niche to be carved out. 

Best of luck getting your side hustle on! 

@Connor Wentling, hi and welcome to BP! 

Simply put, Cap rate = net operating income (NOI) / value. this is an important assessment tool because it allows you to measure the level of risk assoc. with a property, i.e. a higher cap rate means higher level of risk, and as such higher potential ROI. Typically a cap rate of 8-12% would be solid, depending on your market and asset type

CoC = net operating income (NOI) / total investment. this is helpful to forecast future cash flow. The relationship between the two is essentially that CoC takes into account the annual financing costs (annual investment), while cap rates don't.

I'd definitely recommend familiarizing yourself with the BP calculators which will show you how to use and understand both these factors in your initial analysis. 

Good luck closing your first deal! 

@ABHAY N DIVRANIYA, can you share your goals with us? It's difficult to give you a roadmap before you decide where you want to go... 

Once you determine your "why" you need to perform due diligence when determining what market(s) you want to invest in: 
>is there sustained demand (for the long term) >assess the comps, i.e. what are other similar properties selling and renting for in the area, determine if the guarantees are accurate 
>vet your developer, look at their track record
>know the underlying risks
>establish your team 
>know your exit strategy: look for long guaranteed income periods & high yields 

These are just some of the factors you should be considering before jumping in. But without first determining your specific investing objectives, all the other details are irrelevant. 

Best of luck to you! 

@Elliott Wolf, thanks for taking time to share your goals and current journey so far. You mentioned St. Louis, and to @Chad Stark's point, Kansas City has a solid market, with low cost of living, affordable rates, and many cash flowing properties. 

You also mentioned big headquarters, and KC is home to American Century, Hallmark, Garmin, Sprint, H&R Block, Cerner (to name a few). 

OOS is not without its challenges, but it is feasible for the educated and motivated investor who is able to identify their local team who will act as their boots on the ground to manage the day to day details. Partnering with a local realtor is crucial as they will know the good neighborhoods from the bad, and have sound knowledge on the school districts and overall economic outlook of the market. Your team is key!