All Forum Posts by: Matt McConkey

@Candice Bernard I’ve heard good things about AirDNA to confirm your numbers of what your occupancy and price per night could be.

@Ilhan Hersi You’re not going to get a fully customized website with all that functioning in two weeks. You need to be more realistic with your expectations or prepare to pay through the nose to get it done in time.

Building a website is like construction. It will take twice as long as you expect it to.

You want it fast? Wix or SquareSpace. Get something up as a placeholder (both of these sites allow for decent customization + form collectors, etc) and then pay someone to develop.

I have found better help on Upwork rather than Fiverr.

@David Arsene Less headache and hassle is worth what you paid, especially in a California bureaucracy.

I’ve always been fascinated by ADUs, so thank you for the in-depth post.

@David Arsene Looks like the county/city is certainly getting the lions share of the upfront costs.

@Marcello Oliveri

I did end up buying, rehabbing, selling and wholesaling in the St. Louis market. A little of everything. Yes, there is a population decline, but if you find the right areas, you'll never have an issue finding renters.

Like most cities, it can be street by street. I bought a fourplex on a rough street and two blocks north was night and day difference.

Don't expect appreciation unless you can do it via major rehab. It will happen, just slower. Buy for cash flow in St. Louis.

Some factors when buying:

1. Every property manager (I ever dealt with) will take first month's rent (usually up to $500). This is not the case in other markets I invest in. Usually half.

2. Expect 10% PM fees.

3. Evictions (non-COVID times) will take two months.

4. Water/sewage/garbage cost around $65 per month, per unit and rarely can you bill back to the renter.

More advice? DO NOT BUY ANYTHING UNTIL YOU VISIT THE CITY. I cannot stress this part enough.

You can find rentals in parts of the city where units cost $20k and rent for $550 a month, but they aren't for the faint of heart.

@Jovann Thompson I also live in Arizona and invest OOS and from your post, you'd be best off house hacking.

I invested OOS and got taken for several grand by my PM and that's going to take several years to recoup those losses. I also bought in my hometown, where I lived for 26 years, so I knew the market inside and out.

Buy here via FHA, get as many bedrooms in a house as you can and rent out those rooms.

Start saving every penny and learn a new market.

Travel there (it will be easier when your mortgage is paid by someone else) and learn the areas, build a team and when you've got the 25% down, pull the trigger.

I'm always up for a chat, so DM me if you'd like.

@Kendric Ng My hometown is small (under 125k people) and there is literally ONE wholesaler who is actively doing deals in the area, so my options were limited on what I had available to buy being across the country. 

I believe I was looking at MLS deals for a year, but got really serious over the last 3-6 months. So when this hit the MLS, I put in an offer the day after it was listed.

That being said, my PML was Ok with leaving the money in on the deal. Had it been my money, I would have passed, as I didn't have the capital to leave in the deal. 

My suggestion: Be patient, but have ALL YOUR DUCKS IN A ROW. 

1. Have a Realtor sending you MLS deals
2. Find wholesalers who are actually sending out deals and connect
3. Ensure you have property management interviewed and ready to go
4. Make sure you have the capital liquid
5. Make sure you are pre-approved with your lender (if you're getting a mortgage)
6. Make sure you have a handyman x 2 ready and on the team as well

I cannot stress enough to be patient. Everyone is anxious for their first deal. Don't let analysis paralysis set in, but know your numbers and be ready to pull the trigger when the time comes. 

@Cody Campbell From the backside, it looked like nature was taking over. What a transformation!!!

@Ken N. None, zero, nada.

Glued down waterproof LVP is what I put in my rentals and I've never been happier.

Your comment on 15 years of carpet life for a rental made me laugh.

My first tenant DESTROYED the carpet put in by the previous owner. Stains, spills the whole nine.

Replaced with LVP and never looked back.

@Matt Burgess

This is absolutely achievable if you put the work effort, time and energy into it.

1. Pay off all your debt and SAVE, SAVE, SAVE!

2. Find a 4 family in Carondelet. 4% down FHA loan

3. Live in one unit, rent out the others.

Rents in the area would be $550.

550 x 3 = $1,650

Fixed Expenses

PITI - $977

Water/sewage/garbage - $250

Vacancy, Repairs, Capex - 20% =$330

Total costs - $1,557

After your electric bill, it's essentially a wash, give or take.

That means you are LIVING FOR FREE!!!!!

ASSUMPTION TIME

If you were renting that unit, not owning, assume $550 rent and $100 electric = $650.

At minimum, you could be saving $650 a month.

$650 x 12 = $7,800 a year you could be using that money to buy more property, save, etc.

Find a sales job, become a Realtor, start producing lots of w-2 income and you'll be well on your way to financial freedom in your timeline.