All Forum Posts by: Mike Watts

Freeeeeeedom!!!! Save wisely and work hard then reap the rewards. Congratulations on a great financial life achievement!

I own 20 SFR in the suburban Houston SFR market. Most purchased in 2010-2013. Tax and insurance are definitely on the rise but due to strong demand I've had good success raising rents to keep ahead of the rising costs. Often increasing monthly rents by $50-100 each year. Deciding to keep your rent rates stagnant during lease renewals because you have a "good tenant" is a mistake in my opinion. If you have a good property in a desirable area, you are doing yourself a dis-service if you don't keep up with surrounding market prices. These tenants have to move somewhere so you must consider their options when establishing new market rents. I continue to be optimistic about appreciation in sale and rental prices in Texas for many reasons, but jobs is #1. We are experiencing a historic migration because of our strong economy and lack of a sales tax. Property taxes are high, but since they are based on values, you are seeing the gain in appreciation at the same or similar rates. If they get high enough you can cash-out refi to fix your cap rate. Only problem is finding new properties to invest in. The deals of 2-4 years ago are mostly gone so maximizing returns in my existing portfolio has been a key strategy of late. Good luck out there!

Looking for some good GC's in the South Houston suburban area for some remodel work on several properties. Anyone have recommendations? My regular guys all seem too busy to bid any work. Thanks!

@Carolyn Hopkins welcome to the best place I know of to learn about the endless possibilities of real estate. I recommend the podcasts and the ultimate beginners guide to start. Biggerpockets.com/ubg

I think your idea of buying a multi and living in one while renting the other(s) is an excellent starting point. Offers many benefits including traditional financing and potential buyer incentives. I would suggest you carefully screen your tenants as they you will be your neighbors and rent collection/eviction can get awkward. Try to find an area with good schools and shopping nearby.

Good luck and welcome to the exciting world of REI!

Gooday John Carney and welcome to BP! I have a good friend who developed some town homes in Melbourne and is now traveling around the states on an extended (1 year) holiday. He says that's not uncommon in AU but in America people seem to think you can't do the because you need to have a "regular" job! Haha Anyway, welcome to BP. I think you'll find it a great place to meet people, gain REI wisdom and share your own experiences. You are absolutely right about investing as a team sport. No reason to fight over a little pie when you can get a piece of the really big ones!

Hi Cameron W. and welcome to BP! Try listening to some podcasts and posting questions here in the forums. The BP ultimate beginners guide is great too for starting out biggerpockets.com/ubg Congratulations on an important step in the right direction joining the BP community!

Hi there John Steele and welcome to BP! I think you will find an amazing amount of REI wisdom here. I recommend listening to all 67 podcasts, networking with some locals via meet ups, and browsing the forums for the more specific advice available from seasoned investors. Your goal for passive income is attainable and may even happen sooner than you think. Good luck and happy investing!

Howdy guys - I was so excited to jump in on the next BP Houston meet-up but you had to go and schedule it on my wife's birthday! Lol. She's not very forgiving on that front so I'll have to make the next one. Keep 'em coming and have a great meet-up!

I am working to put together a proposal for a blanket loan to my primary lender with three (2 SFR & 1 Duplex) properties I have purchased recently with cash. I have done several blanket loans with the bank that included 2-4 properties SFR per loan by just emailing them the address and basing the loan off of tax value, but they are asking for a more detailed proposal to present to their loan review committee this time around.

Does anyone have a sample package, template, software, or just a list of standard and/or creative details that should be included in the package. Certainly I will have property photos and rehab details but this seems like a good opportunity for some graphs, demographics, and analysis to show them I am running this as a business. I know I've seen some various ways to present property details and market data but thought I would ask if some of my BP colleagues have experience or ideas that could make the presentation professional and compelling but still concise.

Thanks for any feedback!

@Kellen Bennett You have found the right place for sure! There is more knowledge and real world experience on this site than an entire B&N bookstore business section. I would start by reading the Ultimate Beginners Guide biggerpockets.com/ubg and listening to all the podcasts. As a fellow entrepreneur I congratulate you on your startup success as well! Welcome to BP!