All Forum Posts by: Michael Jones

@Ben D. 

Ben, I only asked because I thought I might be able to give you specifics on the areas but truly I don't invest much on the west side.  I'm much more familiar with Southeast Portland.  Like Michell Prunty noted, the areas you're looking are cheaper and rents cheaper as well.  Not that you can't do well in lower income areas and many people have, you might want to consider the area and the headache factor with lower income neighborhoods. The Portland metro area is quite pocketed.  Might be nice in one block and sketchy the next block over.  This is one reason why you need to know where you are buying and knowing your values.

Ben, 

I'm a big believer that you need to know the area you want to invest in. The only way to really know the area is to drive the neighborhoods, to get out and walk them, and to talk with neighbors.  I market by sending letters to specific areas with specific criteria.  I get lists from title company.  If you can't handle rejection from potential sellers calling and yelling at you for getting their information and prying into their lives and trying to steal their property, then this path of finding properties isn't the way to go.  

In the last 10 years I think I've bought maybe 3 houses on the mls.  All the rest were my marketing, from wholesalers, or from friends of friends. 

Curious: Do you know the area you'd like to buy? 

There's some good advice above.  

My suggestion is to make sure your realtor is investor friendly/knowledgeable.  They don't necessarily need to be investors but it definitely helps.  You want someone who thinks like you do. These are investments and you want to buy something that is on sale, not for sale. Your agent might be a great person and just what you need but just know that many agent's do not understand what we do.  They only know listing and selling houses.  

Yes, the Portland market is one fire and in my opinion cannot keep going at this rate. That's not to say it's going to turn...but what do I know, my crystal ball is in the shop. ;-)   It could just slow down the rate of increase for several years.  

Your current house.  If you've got great credit and plan on keeping the house, you might look at refinancing the loan. Rates should be able to get you in the low 4's.  But not sure your financial situation, maybe you only qualify for a loan at 4.6%   Either way, it cost you nothing to check into it and see.  Definitely look into getting that pmi off. That'll give you extra cash every month.  

In Portland, anything that is investment worthy is going up crazy.   

Welcome to the game. 

Cheers.  

Mike

I'd definitely verify the mortgage position and also, not sure of your state's rules on liens but are there any non mortgage liens on the property that don't go away upon foreclosure?  

Hi Omid 

If you've got wholesale fixers I'm always looking for single family and small plexes. I'm in Portland but will go to Beaverton for a good deal.  

Thanks, 

Mike Jones
503.853.0442