All Forum Posts by: Patrick Britton

@Christopher Davis  Having an amazing property manager is key with tenants with less disposable income.  If the PM has vetted the tenant correctly, they shouldnt have payment issues, especially if a portion is from housing subsidies.  I've had issues with 2 tenants (i own 10 units in C- to C+ areas), both of whom were placed by a property manager OTHER than my primary/preferred property manager.  Said another way, 100% of my tenant issues were from poor PM placement.  

There are good and bad tenants no matter the neighborhood but I suppose (overall across the country on average) missed payments would be expected from those with less means.  But it shouldn't dissuade someone from investing in those C neighborhoods IMHO.

@Kelly McLaughlin  WOW!!!  you are getting a lot of bad advice!  Make calls?  HAHAHA!!  To whom?  Is this 1998?  And someone said competence helps with investors.  While sort-of true it is NOT a requirement.  I know agents who couldn't empty their boot of sand if the instructions were written on the heel.  And these barely literate bozos do TONS of business and get TONS of referrals from that business.  Competence is overrated but admittedly, if you want to stick around for a few years it's best to be a little above "average" in that respect, but nothing more.  There's no value becoming the local area expert if you don't know anybody or come across as a jerk.  

Here's the answer to your question: do whatever marketing you can do consistently, frequently and with some degree of passion. If that means cold calling, great! If that's door knocking, fine! Attend REI meetings, go for it! Do whatever you're going to do for the next few years and stick with it, no matter the cost and no matter the short-term results. All forms of marketing work if you do them consistently. One is NOT better than the other.

Find a form of marketing that you enjoy, can do regularly and doesn't take up a huge amount of time.  That will ensure the highest probability of continuation, which will lead to success.  Of course, certain forms of marketing are more expensive than others.  As a rookie realtor can you afford $3,000 a month on Zillow?  Maybe, I don't know your particular situation, and no one else does either.  But since most people can't do that, are Zillow ads "the best, for everyone?"  nope...

One last thing, working with first-time investors is an exercise in futility.  I no longer work with first time investors because they are the most difficult, pickiest, neediest people who also scare the easiest and 90% of the time they end up doing nothing.  It's rather depressing but it's the truth.  

Time and time again I see beautifully rehabbed properties in my areas of interest (southside Chicago).  I can see they were purchased 3 - 4 months ago for $50,000 and are now asking $175,000.  Who are these contractors who can do so much in so little time?  How can I get their contact info?  

@Jimmy M.  for hard money, I don't think you'll find anyone better than Renovo Capital, specifically Eric Workman.  

interested too!  anywhere's good enough for me

@Mark Duhamel after all fixed expenses including financing there's about $500 left. 

The trouble is that no one has ever done a study that proves (with statistics) that staging is "worth it."  Sure some people might "feel" it's worthwhile but what exactly are the numbers?  If you cannot provide numbers, your opinion on the matter is worthless.

I have done both and quite frankly, if the market is very much in favor of the seller, I don't think it's worth it.  If it's a crazy strong buyer's market AND the cost of staging is reasonable, then maybe...maybe.

CHANGE OF ADDRESS:

4164 Meridian St Bellingham, WA

@Theresa Harris "if they thought it was worth more, then why didn't they list higher?"  And "most houses sell for less than asking?"  

HAHA