All Forum Posts by: Nick McKinnis

We would be happy to help. PM and we can talk. 

I am biased towards KC, MO. I would they are comparable. However in MO to run a management company you have to be a licensed broker, so you are a little more likely to have a PM that knows more.

From my experience with properties here in Kansas City these properties have higher expenses in the long run and are a riskier investment. I started off investing and flipping rentals with these number and will no longer touch these types of properties. Here are a few "hidden costs" that I/my clients incurred in the long run.

1. higher vacancy rate

2. Short leases (more tenants leaving within the first year or after the 1 year lease is up)

3. Higher eviction rate

4. Rent ready repairs after tenants move out was higher

5. Once vacant these properties were more likely to get burglarized. (stolen furnace, ac, water heater etc)

6. Harder to liquidate and often sold for much less than they acquired them for.

With all that said, there are investors out there who do make money on these types of properties. However you have to be willing to deal with all these added issues.

Kansas City is a good market for you to do some further research. In my opinion (which is a little biased since I live here) KC should be at the top of your list.  The numbers and economy are what you are looking for Feel free to reach out if you have any questions. 

Congrats! The KC market is the place to be!

There are several and I mean several property management companies here in Kansas City. One item to keep in mind is you are required by the state of Missouri to have your Broker's license which you can only obtain AFTER having your real estate license for 2 years. Here are a few other items I would make sure to ask.

1. All the fees they charge

2. How many doors they manage

3. How many employees are there

4. How do they handle the maintenance calls - do they have maintenance workers on staff? do they use subcontractors? etc. 

I've been investing since 2012 and had been using other companies until Jan 2017 when I decided to get my brokers license and manage myself. I wouldn't have it any other way now. If you have any questions feel free to reach out.

I'm a local investor here in Kansas City and I think what would be interesting to know is are they looking strictly at "Kansas City Proper". There are many suburbs of Kansas City that make up a large portion of where investors actually invest. Cities like Raytown and Independence for example. I think you have to keep in mind that "Kansas City" has a large portion that most investors stay away from because they are considered C class or lower. I could see these numbers being accurate for inner city but not for the suburbs and outlining area of Kansas City.  There is job growth and houses being built all over in the suburbs as well as tear downs closer to the city.   Here is just one example of job growth here in KC.

Cerner Corporation 

Robert,

Where are your properties located? Did you purchase them from a turn-key provider?

McKinnis Real Estate (located in Kansas City, MO) is now offering a turn key light service in addition to our fully turn key properties. With this new option the investor will be using their funds for the initial purchase and rehab while we manage the entire process for you. Once the rehab is finished and the tenant is place you will be able to refinance and pull out some of your capital. This option is still very hands off. By choosing this option instead of the turn -key model you have the opportunity to have less capital tied up in each house. ***Space is limited in this new program***

Welcome to the BP community and welcome to KC! MAREI is local investor group that would be a great resource for getting started. Check out their website MAREI.org