All Forum Posts by: Jamiel Strickland

@Zachary Metler

Hey, thanks for asking! The duplex is vacant so I and one of my partners are helping the investor find tenants. We expect he rents the bottom for $550 and top for $650. We are helping him do the paperwork, scheduling Detroit inspectors to come, clean out crews, bringing handymen to do small work, we want to be a service that helps before and after.

Yes, so that is true and false lol. Price points have been going up that's because realtors and owners are riding the hot wave Detroit has been experiencing. Out of state investors have been overpaying for homes and word makes it to people now everyone wants to sell their home. But yes, some areas have had price increases because some people are doing nice flips, small businesses popping up, and willingness for people to consider moving to Detroit. I find deals that are off market and under those prices of 60k-70k (more than half those prices) it is a lot of sellers who are fine with selling for the convenience of speed which helps investors buy for a low price under 30k. 

Hey BP family!

I helped a Buyer(investor) buy a Duplex in Detroit for $20k. Needs no work done. The investor is the happiest guy in California right now, he wants to me to find him more properties in Detroit lol.

I helped the seller make money that is helping them complete their move to another city. They are happy it was under 30 days and fast!

What makes this such a good story is the fact all this came from 3 things.

1. Networking

2. Honesty

3. Going above and beyond for both parties

I never met buyer(investor) in person! Crazy! I met his son at an REI meetup and we developed a good relationship. He is from California and moved down to Ann Arbor to start a new job. He would tell me about how California is a market where the worst homes can sell for close to a half a million dollars, and was just so blown away how you can buy a home in Detroit for under 30k (if you have a good wholesaler like me lol) on a nice street in good condition. The son showed his dad and that is how I found the buyer(investor).

The seller called my Bandit sign (It is legal in Detroit I checked). I answered and scheduled a day to meet with the seller at the home. She said the only reason she invited me over to see the property is that "She felt the honesty and professionalism in our conversation when we spoke on the phone for the first time." She said she called other bandit signs but they were so unprofessional she would hang up. I met at their house and just talked to the married couple as people. I did not hard sell them, I asked how I can help them. I actually told them, to use a realtor because I did not think I could help them for the price was a little high. She called back a week later and rather do business with me for a lower price.

I do not let my investor just buy a home in Detroit! I help them before and after. I teach them how the market here in Detroit works, I set them up with a team of people they can call, and many things that most real estate agents or wholesalers would never do because it takes up a lot of time.

Announcing myself as a Wholesaler in Detroit, I get a lot of eyebrows raised, which I should! Detroit is a hard market and many bad stories of agents and wholesalers leaving them dry or scamming them.  

BUT!!!!!!! 

Because of this, when I do go over and beyond and work with high integrity, people see that and want to work with me. I can help more investors make high returns and solve sellers problems. Nothing is more important than your name. 

( I do no boasting of my own, I give all glory to God and through him, I can be good)

House hack!!!! I am doing it now!!! 

I personally wouldn't put down 25% I would go with the lowest down payment possible. I am riskier than the average person and I am only 25 years old so I know I can be aggressive. If you are you, this may not be the "safe" advice but I would. 

1. Pay off the car and the small loan. this frees up 400+ of your 800 payment spend, without sacrificing much of the 100K ( Like @Maurice D. said)

2. House hack! - 1-4 units lowest down payment you probably FHA 3.5% can get so you can keep as much cash as possible.

3. Start branding and making yourself known in real estate (free)

4. Use the day job to pay off debt and keep as much of the 100k you have which should be around like I think $70k after you pay off those and house hacked. Then just be patient and ready to pull the trigger on a homerun small unit apartment or flip. But I would keep money sitting so when that homerun comes you can swing.  

@Nathan Nelsen

Hey, so before I rant know that this will be very biased...okay...

House hacking forces you to be a landlord and investor which puts you in a mindset of one. Can you rent out rooms in a single family home? Yea, but it has no privacy. If you are thinking of buying a starter home just for you and your dog or something mines well go bigger and get more units. House hacking has helped me live like one of those frugal bloggers, save money, and experience what it means first hand to have renters. You probably do not plan to stay forever in the starter home so why not collect 2-4 rents when you move out compared to 1 rent from a single family home? If you hate the house hacking after a year and hate real estate sell the home to one of the BP people someone will buy it lol

https://www.biggerpockets.com/blogs/11212/77307-house-hack-birthday

@Tim White

Hey, I have family in Birmingham, Alabama we go out there every few years for a family reunion. I wholesale and buy and hold properties. I can recommend some property managers and others for you. 

@Roy Gutierrez

The worst part of all is that I hear these stories a lot from investors regarding contractors in Detroit. You are doing the right thing of keeping a very close eye on them.

@Joe Hammel Nice!!! 

@Fern Goldhar@Roy Gutierrez

@Roy Gutierrez

@Leo Furest is giving you some good advice to start. Numbers 1, 5, 6, 7, are very good information. The whole list is solid but really those numbers. I see most mistakes from out of state investors who do not follow those numbers. 

@Rick Michaels

Hey, thanks! I bought a Duplex using an FHA loan. I live in the upper unit and rent out the bottom unit to student-athletes who go to the nearby college. Not cash flowing until I move out but cheap monthly payments.

@Hakeem Valles,

Wish you could have stayed with the Lions, let's just say TE is not our strong suit right now, but cool you already invested in Detroit. If you looking to invest again in Detroit or Metro Detroit, I know some good people who do Multi Family Syndication.