All Forum Posts by: Michael K Gallagher

@Ryan Thomas agree! I mean they were ok books but “Sold” was far superior in my opinion.

@Grady Benton one of my favorite businesses authors is mike michalowicz. His book “Fix this next” was amazing and so was “pumpkin plan”. Very enjoyable reads. For sure in my top 5 from last year.

Hey @Anthony Buccanero congrats to you both on jumping in!  My wife and I are also an investing team...still in the beginning stages.  We started with a house hack, and now have moved onto another single family but still have that duplex.  I also self manage it so I would be more than happy to connect and learn more about your goals and help in anyway I can. I worked previously as a manufacturing engineer so I live and breath processes and documentation so I've got lots to say on those topics if interested!  Feel free to reach out here, via DM or my cell is also in my signature.

Cheers,   

I have to agree with all the sentiments about Columbus. Being a small investor/self manager the tenant pool is great, their is so much diversity of neighborhoods, so you can really get into just about any "class" area or building if you want. There is still ample small multi family that need forced appreciation, and the rents actually support them. For example I have a Duplex I bought almost 3 years ago for $318K, it appraised at the end of 2019 for $340K, have not gotten another one since...but I get $1350 per side, and I purchased it completely gutted and flipped. So although its not a 1% rule, I'm willing to give up the cashflow for the lack of Capex and Maint needs.

As many others have mentioned the ability to live "in the country" but still be within a 30 min drive of downtown really allows for a wide variety of properties to fit a wide variety of investment needs. 

@Michael Stobo What a fascinating and creative idea!  I have not ever done this but I think the niche I'd carve out would be like a "college moving and storage" type situation. I'd Have shelves, thinking warehouse style, and several standardized sizes of boxes.  Then I don't think I'd allow customers in to be able to look through the items, I think they would have you pick them up, or drop it off, and have them sign that it was dropped off, taking lots of pictures of the items for records, and then simply returning the items to the person when they need them again...perhaps the next semester.  I think it would be much too large of an investment to have lockers/separation enough to allow people to be coming and going from your basement at all hours.  Then you need a security system/fob system for the access to your personal house...would just be too much headache for me.  I'd want to control the flow of the customer and the access.  

I'd for sure call your insurance company, if you are starting an LLC I'm sure you could get business insurance to cover this kind of thing, and I'd for sure talk to a lawyer about any liability paperwork you'd want to have signed.

@Peter Butcher congrats on jumping in!  What a way to get creative and make win win for both parties!

The most famous guy who pushed this whole thing was and is Clayton Morris, the guy who fled to Portugal after getting caught in a huge RE scam in Indy. I'd tread carefully with anyone pushing this method. I can see where it might be worth while when interest rates are 6-7% and the HELOC is substantially lower....but at the rates they are now I personally don't see much of a point...the benefit of the leveraged debt being so cheap now is to be able to earn more on your money elsewhere.

@Jennifer T. interesting idea....I wouldn't say no but I'd for sure run some super conservative numbers.  If you made a worst case scenario...being that you don't get paid and can't start rehab until the leases are up...what does that look like?  Is it still worth it?  I'm not sure the 10% discount would be enough for me...but I also don't have all the data.  I'd find out what price actually makes sense to have to hold it for that long before you get anything out of it.  In parallel obviously going after eviction as well.  So get a price from a great RE Lawyer in your area and work that price into your numbers....and if there is a price that makes the up side worth the head ache...pull that trigger...I doubt anyone else will.  but yeah 10% would not be enough for me.  If the wholsaler has to take a hit thats their issue not yours.  

@Marqus Freeman I use Zillow for all my PM stuff.  I use their application, and run my own Due diligence follow up on all the information provided by the tenant.  I know its a novel concept but I actually call their place of work and references. But then Zillow allows you to do all the documents electronically, and to collect rent electronically so I've had nothing but good experiences with it. Granted I only have 2 doors, so not sure how it scales, but it seems like it would do fine.   

@Robin Hines Thank you for posting and I'm so sorry for all the distress he has caused.  Man I was thinking "well this guy did eff up but hes owning up to it so maybe he gets it on track?" then read your portion about your lawyers response and my god!  how can someone write those emails knowing they are just a complete fraud...anyone checked flight records from Clevland yet?  might be headed to Tulum or something...reminds me of the shiz Clayton Morris pulled a couple years back in Indy.