All Forum Posts by: Mo Karim

@John Joseph Check out Dr Joe Asamoah's strategy for DC area. He's been very successful with section 8. Not sure if you're willing to get into that but worth checking out. He's been on multiple BP podcasts.

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Quote from @Kenisha B.:

Hi @Mo Karim

You said you wouldn't raise to market? So if the rents are $500 below market... would you do like $250 or $300 and then the next year raise another $250-300? If I don't raise the rents to market.... I'll be helping them to pay mortgage so I guess that means I'd be losing money. Does this, now.... become a bad deal? I'm having such a hard time finding a deal that cash flows... or even breaks even. However, I'm also open to biting the bullet for a year or 2 if I'm able to make cash flow down the line. They say the 1st year or 2 you lose money in business. Not sure if the same applies to real estate investing.

I'm not sure what your exact numbers are when you underwrote this. But I highly recommend you get a great property manager to guide you through this. A good PM has a wealth of knowledge and will be your biggest asset. They'll know exactly which areas to push and where to back off. Also, deal with all tenant issues you don't want to. Best of luck!

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I agree with above. It's best to start early. Trying to find a good CPA will take sometime so I'd dedicate some time to researching a few CPAs. You'd be surprised how many don't know about real estate investing and/or provide horrible customer service.

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Good advice from lots of people here. What I do for M2M tenants after I take over is give them notice to increase rents but not all the way to market. Vacancy costs money in more ways than one. Reno/make ready costs are pretty high still and taking longer so it makes sense to keep tenants around, specially if they’ve been paying on time. Sometimes giving someone an option is the best for everyone.

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Absolutely!

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Sorry, nestegg.rent. Of course do your own research to see if it’s be a good fit for you.

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Quote from @Shay Ghafoor:

@Mo Karim

Thanks for the quick response Mo! Probably the best thing to do! I invested in a couple of large MF properties passively and that’s how they do it as well. They have thousands of units. This house is an oddball so I may use a management company. But on the new MF, student housing, and BTR SFRs I’m kinda doing it all. Have a few partners including the one from above that controls a few thousand units…for now I’m the investor, developer, builder, property manager. Wanted to get beat up from every angle. :)

Are you invested passively or syndicating yourself?

I own it and hire out the management portion so not as passive but I like it. Check out nestegg.com for budget friendly property management. They do single family only.

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Quote from @Shay Ghafoor:

@Mo Karim

Mo,

You are absolutely right about time and that’s reason I’m reluctant. At the same time don’t want to give it away.

Thanks for the Airdna suggestion! Numbers look interesting.

I would like to sell if I can get the right price. Do have it on the market. Let’s see how it goes. It’s an awesome house and location.

Are you managing your own rentals?

Regards

No, I contract that out to third party companies. I invest out of state and this is way easier to scale this way (for me anyway).

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Quote from @Mo Karim:

@Jesse Carmack

JEPQ (stock ticker, JPMorgan Nasdaq Equity Premium Income ETF), currently gives 9.97% dividend if you're looking to diversify away from real estate. Dividends can change at any time of course.

Also, JEPI (JPMorgan Equity Premium Income ETF) has a dividend of 9.56% and it pays monthly. Make sure to do your research before jumping into anything.

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@Jesse Carmack

JEPQ (stock ticker, JPMorgan Nasdaq Equity Premium Income ETF), currently gives 9.97% dividend if you're looking to diversify away from real estate. Dividends can change at any time of course.

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All Forum Posts by: Mo Karim

Mo Karim has started 11 posts and replied 159 times.

Post: In the DC Metro area and nothing on MLS cash flows

Post: Purchase a 4plex evict everyone??

Post: when should i start looking for a CPA ?

Post: Purchase a 4plex evict everyone??

Post: My journey so far…..

Post: My journey so far…..

Post: My journey so far…..

Post: My journey so far…..

Post: Passive income (dividend funds)

Post: Passive income (dividend funds)