All Forum Posts by: Layne T.

@Eden Pogiro There's no easy money, and what looks tempting with a 40-60k property will have problems that follow. I'm in Indianapolis and I always suggest to go for B/B+ properties - which means you need to look at 100k homes. Longer-lasting tenants, less evictions, better appreciation, long term will be better financially. That minimal extra in cash flow from 60k properties isn't worth it in the long run. 

For sure, it's interesting because LA has great weather but a lot of objective 'cons' against it - cost of living, CA State Taxes (be prepared to take a 10% hit compared to TN), city does a terrible job of maintaining roads, traffic, and homelessness is rising. There's also been increasing crime in pockets you wouldn't normally think. 

Weather is amazing, but many fear LA is going the way of San Francisco - either millionaires or homeless. However, many from SF (and NY) are moving down here because it's actually a quality of life improvement which throws off the amount leaving LA for the usual suspects: FL, TX, AZ, NV. 

Your plan is smart, spend a month here, see how it feels to you - most important factor. Also will be dependent on your income. Good luck!

Smart move on the welcome package, people often overlook it / try to save every $50 increment they can. To me, it's an investment, think of your tenant as your client and when times get tough give them the emotional incentive to want to keep paying rent/be extra communicative and transparent. Great cash flow for house number 1!

@Josephine Wilson - Always get 2-3 quotes for financing as a minimum. Also, look at banks beyond big names (Chase, B of A) - look at local neighborhood banks, get some referrals from your realtor, etc. The bigger banks aren't the best when it comes to investment property typically as well. 

@Kellan Martz
The prices on those home warranty companies seem so cheap, it's almost a no-brainer to use them for repairs that may come up. EXCEPT:

a) It may take days to get someone to come take a look vs. using your own vendors who can come same day
b) Most property managers hate home warranty companies and won't work with them
c) Most importantly, you should check out google reviews and yelp reviews for these companies - these scammers try to avoid paying for any major repairs when you need something done

I'd skip them.

@Pablo Hernandez
A good piece of advice may be to try to see what you can get here in LA for 1-1.5M in terms of duplex/triplex/fourplex, and take a 3-4 day trip out here to see some of the properties. You may not like what you get for your money here/quality of life compared to TN where much of CA and NY is moving to. Just some food for thought.

If the properties are in good shape/not costing you headaches in TN, I'd keep the cash flow and refi.

@Maste Gezahegn
Call these guys: 
https://www.indianapmg.com/

Ask for Jason, tell him I referred you. I've used them for years and can't speak anything but the best about them!

@Angeli Castrence

I feel your pains about the LA market. Nevada may be a bit cheaper than the bigger markets of TX, but I would venture to say TX will appreciate faster. There are some intangibles to also think about:
- Submarkets vary a lot, so it's not just about the State but also the City you want to invest in
- Having a 'team' in that city - Agent & Property Manager (2nd half is as important as first half
- Would you ever want to live in that market yourself down the road (having someone pay off 5 years of a mortgage before you move into a house in a neighborhood you like is a good thing)
- Would that market get devastated with random events like any one big employer leaving, or a COVID (Vegas and Reno were way more affected than a Dallas for example)

I can get you some contacts in Dallas if you're interested - 

Layne 

@Deepak Kumar Call Indiana Property Management Group. Best team you can imagine. 

@Account Closed
I can not tell you how much my investing experience improved after working with the team at 

https://www.indianapmg.com/

Drop a line to Jason there - if you PM I can give you his email address -I would honestly pay them more than they charge, that's how good they are from managing, feedback, guidance, rehab management, A-Z.