All Forum Posts by: Magnus Göransson

Hi Melany!

My name is Magnus and i am Swedish citizen. I started a tyres company in Sweden 2006 and worked pretty hard on it and was mentally burned out 2011. I am the person that is to nice to employers and customers and they have been eating me alive and thats the reason why i was burned out. I had the most successful tyrecompany in the whole country in 10 years in a row. But 2011 it went really bad and i through my phone with all my customers in the ocean. Couldnt meet people and could not manage my company, when it was the worst my daughter 6 year old get Diabetes Typ 1 and i decided to sell the company. I was very close to sell it to a franchise dealer, but another franchise dealer stopped me and had another plan, to put a Manager in the company and i was not working there for 3 years. My brother gave me a book which was rich dad poor dad, Cash Flow Quadrant, and i was lightened up of it. Passive income without employers and without customers sounded great to me. I bought 3 apartments in Spain and tried to rent them out. I did not make any money in 2 years, and wasnt sure this was worth it. In the same time i decided to go to my dream and go to Las Vegas and watch Boxer Floyd Mayweather live VS Marcos Maidana in 2015. I connected a Real Estate agent in Las Vegas just to get my trip dedactable from my company in Sweden. It ended up i trusted this agent like i never trusted anoyone i ever met before. It ended up i bought 6 condos of her under a 2 years period between 2015-2017. Then i sold my Apartments in Spain and bought in Detroit under 2017. The condos in Las Vegas doubled (almost) in value in 2 years. Then i did 1031 Exchange 2018 and bought 8 more properties in Detroit which i collected double rent income compare to the Las Vegas market.

At the same time Detroit was on fire and all my properties went up in value as well and so did the rents.

Then i started to experince the bad stuff in Detroit, floodings without Flood insurance, 2 sqautters, in the same house. No rent income since 2018. He is hopefully out in december. Covid has helped him. I get 1 lawsuit from Detroit landbank, and a lot of violenciens from the city, for ex i had a tenant growing mariuana plants in my basement, and a lot of other stuff.

Now i finded a new PM that has everything under control, and its working fine.

So a lot of headeache, but it was worth it, and i also bought 3 houses in Missouri and now the first in Chicago.

I only read 1 book, and did not find out anything, just bougt and hoped for the best, which is kind of stupid and i payed the price, mentally and economic. I do not recommend it.

Taking action is the most important thing !!!

Goodluck!

@Stephanie Barthelemy

Hello Stephanie!

My name is Magnus and im from Sweden.

When i bought my first condo in 2015 it was in

Las Vegas. Pretty far from Sweden.

The agent i was buying from.

I was anylising how she was, and if she was trusty, and also if she really wanted to make both of us happy with the deal.

She was and i was buying 6 more condos of her without no fear at all. It was only exciting.

If you buy from a agent you dont really trust, you should listen to that and not proceed.

This is what i think is the most important thing.

Then the other thing is to make sure she is working with a solid property manager that is balanced and also hopefully is balance over years to come.

Good luck!

@Omar Ganem

Hello Omar!

My name is Magnus from Sweden.

Im interested in El Paso.

Can we connect?

Magnus

@Mike Sullivan

I use Real Property Management Metro Detroit since Januari this year.

My PM is Ruth and she knows all you need to know about where to invest and has contact with several good agents.

I can not say its been easy to live in Sweden and done this.

But i dont regret it one bit and i will continue.

Now it feels stable.

I also hade one house flooded 2 times in 1 year without insurance. Also you can google on floodzones in Detroit which i thought it wasnt.

Nightmare but now i learn that to.

You dont have to have any fear with going in with the right people. Just do it.

Its good that you get a lot of info before going in, i didnt really do that.

Magnus

@Mike Sullivan

Hi Mike!

My name is Magnus and i am a Swedish investor.

I have 10 houses in Detroit. Been investing since 2017 and have get some experience of it.

I would go for the outer areas like Ferndale, Redford, Southfield, Warren, Eastpoint. But check the taxes first. Taxes is cheeper in Detroit area.

Not as much risk for sqautters and vandalism in the outer cities.

But some parts of Detroit is really good to.

Some of my houses raised pretty good in value.

But i would not buy cheeper then 80k, i had 1 house ended up with sqautters and 1 house was recently vandalised which costed at least 15k to get ready for rent again. both in C minus areas.

The most risk in Detroit what i think is when a house is vacant. Otherwise they cashflow well.

You should get in touch with a Real Estate agent that knows the areas.

Good Luck!

Take action with passion and good things should/will happen.                                                                                                           Take action with fear and you going to have problems.   

Everytime i get fear in this business bad things will happened as well.

The same with my tyreshop, every time a client get a flat tyre. He will come back the next week with another flat tyre.

 Very smart things Jay Heindrich wrote here. It is very easy to get overexcited when you visit a city to by in. Its good to calm down for a few weeks. Like Jay said, all PM and agents are very busy. It doesnt always mean they are bad. 

I have exactly the same experience  as Willie Brown.

Al is great and my PM Autumn is very good to response and make good solutions of any issues coming up. 

They really want to do the best for their clients. They are very positive. 

If you buy, send in the PTA Propert transfer Afvadavit in time. City of Detroit will fine you at least 200 dollar if you are late with that.

Even if i sended it in, they said they didnt receive it and i was fined by 200 dollar on at least 3 of my propertys. 

@Jay Hinrichs I Agree with that, they had a really ruff time 2017. I was in the middle of it. But now they been really good. But i think i rather be in company that had ruff times and worked it out. And hopefully learned something. Then a company that has not.

But i always try to have a plan B. If the PM suddenly run in to some problems, then your in real trouble to.

@Jay Hinrichs Haha yes the future will let us know.