All Forum Posts by: Mike Nuss

@tyler Haskell, you already identified what you have to offer. No active investor is going to pass up a bird dog looking for deals. Painting in exchange for knowledge, that's a serious value proposition. @David Huston laid it out very well. Come prepared, know what you want, listen to what he needs and find away to bring value. Active investors, especially those involved with the REIA get many people such as yourself asking for their time. I find that they're willing to provide that time as long as it doesn't become a "time suck". No one wants their brain just to be picked. The best relationships I have with newer investors are the ones that understand it's a give give relationship. I have knowledge, a network to share and willingness to share it. But that giving will be short if there is no reciprocity. I can tell by your post that you already understand all this. Good luck in your ventures.

@Jacob Asher, I think you'll find that the general REIA meeting is more about the national gurus and systems being sold. They haven't advertised who's coming in September, but the general membership meeting is where the Gurus come to sell. The break out meetings are where the best discussions take place. Go to the Roundtable meeting in Salem, it will be worth your time.

if you're willing to make the drive to Portland I highly recommend checking out the RareBird Investor Network. No Guru's allowed. Only local, relevant speakers, sharing their knowledge without selling a system. You'll meet investors and industry participants for all fields in RE. I strongly believe it will be worth your time. 

Toija Beutler (RE Attorney, 22 years, over 17,000 tax exchanges) of Beutler exchange will speaking next Monday the 11th. Deal analysis on the 18th. We had an awesome infill and zoning discussion last night. Come check it out. Lucky Lab Pub in Multnomah Village. 6:30-9:30pm.

You'll find Salem is a good buy and hold market. Strong tenant base, much better rent to price ratio than the Portland markets and enough population to keep vacancy rates low. I highly recommend doing direct marketing for your deals. You'll find better success meeting face to face with sellers than you will looking at the WVMLS listed properties. 

Jeff, that is a problem with the current migration to Portland. Most of my inquiries have had jobs already, some haven't, but more than half had. 80ish% of the tenant inquiries I receive are out of state. I would hate to be a tenant looking in Portland right now.

Check their account, sign a limited lease term (3-6 mos) and make them pay it upfront. Extra motivation never hurts anyone. I didn't have to go that route on the units I recently rented, but would have for the right tenant (assets, good credit, home sale history, etc..). 

Hi Todd

Welcome to the investment Arena!! Come check out the RareBird Investor Network tonight at Lucky Lab Pub in Multnomah Village. You'll meet investors of various stages and can start your networking there. Come chat with me or Tyler, we're working on a custom CRM for our marketing model right now. Tyler would be the best to discuss that with. 

Happy Investing,

Mike

There isn't much equity so probably not much of a wholesale fee. Bring it up to your local buy and hold investors. You may be able to assign it with some sort of option to buy back in the future. 

There are obviously a lot of unknowns here, but If that 4.5% is a fixed rate you may have a good lease with trailing option on your hands. Make the lease payment equal to the mortgage and the strike price = to the principal balance at time of executing the option. Assuming the financing allows for cash flow you could be looking at a zero down rental providing CF and growing equity as the principal is paid down. That rate suggests this is a newer loan. If it is not a newer loan it could have been modified. If that's the case look very closely at the modification and terms thereto.

Hi Robert You'll meet lots of like minds at the RareBird Investor Network. We meet 1st, 2nd and 3rd Mondays of the month. Lucky Lab pub in Multnomah Village. 6:30-9:30 PM. Good beer, pizza and discussions. Hope to see you there. Be sure to introduce yourself. Happy Investing!! Mike

Besides considering whether or not you want that type of business..... Understand the valuation of partial interest properties. I see these a lot. The 50% ownership of a 250k property isn't necessarily worth 125k. Be sure to negotiate the value before buying them out. Remember that a fractional interest lacks control. This results in a smaller buying pool. Restricted buying pools = less demand. Less demand = less value. In regard to financing, yes there is probably a good chance you can buy them out and then refi the cash back out. That all comes down to your business model decisions and other property owners. All owners would need to sign on the lien to encumber the prop. One of the reasons partial interest properties have less demand/value. Check with some attorneys and appraisers about "discount rate" being used in your area. My 2 cents Good luck Mike

This is such a deep topic. Lance, great job getting it going with some other thought processes. I like the "boots on the streets" approach to knowing your market. Take your smart phone, know your local online data source (portlandmaps.com for Portland) and go watch the activity. Go in side as many open houses as possible, look for dumpsters, research sales history, check out permit history for the renovations you find prior to them hitting the market, watch DOM, pay attention to the "players" in your market place, keep a very close eye on rents and retail prices, call all the FSBO signs you can, create your "drive for $" list, talk to locals, knock on some doors, drop off some door hangers.

When it comes to knowing your market you can get a lot online. All the stats and such, but when it comes to working the streets you can become intimate with your market and take those stats to a whole nother level. Of course this doesn't work well if you're investing out of area. The biggest reason I invest in my "back yard"

I also take "know your market" further to "know your buying pool". When you're looking at a specific opportunity...identify that retail "buying pool" and work backwards from there on your number crunching. 

Matthew and Corey. There is a new REI Club in Portland. Here's a link to their free meetings in August. This is a local club, no "national gurus" invited; thus no sales pitch. The local forum experts will be just that. Local experts sharing their expertise without a sales pitch.

http://myrarebird.com/events/