All Forum Posts by: Michael Moikeha

Wow. It could always be worse right!?! I mean, it was only batteries, CO detectors and inspections, etc. At least it didn't involve anything large!

Welcome, and good luck on your future goals!

You should check out local REI groups, and do some networking there as well. Between this site, and the face to face interactions there, you will have some great connections.

Quick calculations show an NOI 10,500, and a CAP of 7.8%

Its not a great return, as this is before Debt Services, but if the rent is below market, and you can raise the rent, but maintain the expenses where they are at, or lower them, it could take the property into a decent cash flowing property.

Take a look at rentometer.com, and see what rental rates are for a comparable place in your location.

Best of luck in your studies!

Welcome to BP! Sounds like things are going great for you so far.

I would suggest finding a local REI group to network in, as they will also be great resources when it comes to working in your local market.

Best of luck!

Expenses are easy to hide, and many owners may not claim all expenses to increase the NOI. Triple check the bank statements, the renovations on file, and anything that looks new or looks like it has been worked on. Find paper work on everything.

If you can't, then you know that there are expenses that are not being reported, and you need to take that into consideration during your negotiations, as you may not know the true percentage of OE.

Craigslist has an option for people who are looking to rent rooms or homes. That may be your best option.

The local Credit Unions and Banks are usually the best at working solid deals, especially if you are only looking to hold for 5 years or less, and then leverage it for a larger property, or multiple properties.

I had a CU that was offering 2.99% with 5% down, on a 5/1 arm. I don't plan on holding, I plan on leveraging, so this is a great option for me.

good luck with your REI goals! Make sure you find a solid REI group in your local area where you can network and gain knowledge forms other pro's in the industry.

This post has become amazingly useful! Thanks to everyone who has posted great responses.

I just want to put my plug in for finding yourself a great mentor who has already learned the lessons from the trial and error, because in many cases you won't need to make the same mistakes. Minus well make all new ones.

Nothing beats being able to call up your mentor and ask specific questions.

Welcome to BP, and good luck!

Another great tool to go along with this site would be an REI group. Find a few local REI groups in your area, figure out which ones offer the most value, and are not just trying to get your money for their deals, and start networking there.

Best way possible to get the knowledge specific to your market.