All Forum Posts by: Mike Wilkinson

@Vania Nettleford Oftentimes renters / roommates in this age range are fairly transient. I have found that offering month-to-month leases, and furnishing the place nicely with nice pictures can make a huge difference. People love the idea that they can cook a meal, sit on the couch, and watch Netflix on the first night that they move in. Furnishing can be cheap and easy on Facebook marketplace. 

Hope this helps!

Hi @Tanner Stenquist, I think it's great that you are beginning with the end in mind. You should think about this with the specifics of the home as well.. When searching for a rental, I am typically only looking at properties with at least 3 bedrooms or enough space for a 3rd bedroom. This is because many families looking to rent have the same criteria, and 3 bedroom places will typically rent for more, even if there is only 1 bath. 

Especially if you and your fiancee are going to be living in it for a couple of years, maybe you could find something that has the potential to add/finish some extra living space in the home. If that is your time period, you may want to think about the live-in flip strategy as well, as you could dodge capital gains taxes after living in it for 2 years.. and if the market didn't go up in that time, you could just go the rental route. Always good to think of multiple exit strategies. 

Also, consider seriously the pros and cons of a townhome / HOA situation vs detached single family. Townhomes can be great for those looking for more of a hands-off approach, but can be frustrating to those who want full control over their property.

Hope this helps, feel free to reach out with specific questions!

@Edgar Hernandez Great specific question! Based on current conditions, I would press the pause button and wait to start seeing this prolific job loss reflect in the real estate market. These numbers are decent for sure, but I would not be taking out a hard money loan right now. Save, save, save, educate yourself on creative financing, seller financing, etc. and save that cash!! You said the key words in your post, motivated seller. There are about to be a lot of them, so get yourself prepared. Best of luck!

Hey Will, great property management is definitely a make or break for out of state investors. I have a couple of properties out of state and I've recently changed my perspective a bit on them as I've felt a lack of control. Yes, the projected or potential numbers can look great out of state, but the potential increase in cashflow can quickly be offset by a less knowledge of neighborhoods and less control from afar. If you're going to take the leap, make sure you have some deep connections there and will enjoy traveling there. Hope this helps, happy to answer questions based on my experience!

No doubt that there are less showings happening right now in Denver, and therefore less buyer competition compared to just a week ago. This past weekend I had almost 30 showings in 2 days time, but I wouldn't expect that this weekend. I don't think that we will see much change in price anytime soon with 6 weeks of inventory, but this surely opens the door for my buyers that were being outbid with offers 40K over asking just a couple weeks ago. 

@David Worker This is a tough time for everyone. Including you. Because you are the one who chooses to take on extra responsibility and own a home instead of rent, does not mean that you should shoulder these problems as well. Show extra care as a landlord in some small and definitive way, set expectations, and collect the rent that they owe you. Best of luck!

@Tristan Toliver  Congratulations! Everything looks great on your list here. It's important to use this time to set expectations, but also gain their trust / respect. I wouldn't be too concerned about hiding the fact that you're the owner, especially if you're living there. Automatic transfers are great for payment, maybe you can give them a couple options within this realm so that you're getting the convenience either way. Best of luck!

@EJ Hulse If the question is will they manage renting by the room, I haven't found many companies that are legit and willing to do this. There are personal dynamics involved in this which goes past their typical duties. If you're staying local, I would say either rent to one tenant / family, self manage, or establish a great relationship with one of the renters that can take over landlord duties and you can cut their rent down $100 / mo or so. 

@Scott Emsley Thanks for the reply, great to hear an honest opinion!

@Jadi T. For knowledge of once you get on the phone, I loved the book Never Split the Difference by Chris Voss. Not only excellent advice, but a fun read as well. One of the best I've read in a while. Hope this helps!