All Forum Posts by: Rassan Sampson

I believe it's really market dependent. It's common in much of LA to not provide a fridge but to have a stove and when I rented in San Diego, CA every place came with both. When talking to my property manager in Detroit about what appliances to include, they recommend none and said it would have little impact on our ability to get the house rented. My SFR in Detroit currently has no appliances. I recommend trying to get second opinions from local property managers and other local landlords.

@Drew Sygit I can attest to the risk you're mentioning. I closed on my first property last June and have since had the water heater and furnace stolen, repairs over budget by about $7k to get the CoC, and now have a tenant that occasionally pays rent. Short term results have been bad but I still have high confidence in the property and area.

My only suggestion to anyone looking to get into the market is to do your homework, be completely prepared for some large bumps in the road, and treat everything as a learning experience for your future plans, it's tough to get it all 100% right out the gate.

@justin, have you found a PM in Detroit you're happy with or are you still searching? 

I'm assuming you mean $70k loan and not purchase price.  I worked with a mortgage broker to get a loan for about $68k at Flagstar Bank. You can try to reach out to them directly or I can get you the broker's information if you message me.

I believe it is possible to successfully invest in Detroit from a distance but I'm still working to prove out the concept.  I live in California but I was in Detroit when I closed on my first property in June and my first tenants are due to take the keys in a few days.  The reason I have some confidence in this not being a complete disaster is because I frequently visit for both work and family (actually got married there this year and will visit again soon) and would meet potential teammates every trip and spend hours driving the neighborhoods.  Without that much time driving around and having face to face meetings, I wouldn't attempt investing there, it's unlike any city I've visited before.

@Tom Ivezaj unfortunately I don't have any strong PM recommendations since I recently acquired my first property and finding a tenant is still a work in progress. From the few companies I did talk to before choosing, some charged a 10% management fee on top of the final invoice and were very upfront about that. I'd recommend discussing that fee specifically when talking to PM's and be sure it's in the contract along with requiring invoice copies.

As far as the large management company charging 20% in a shady way, do you mind sharing who that is in a direct message? I may try several PM's in the future and want to know who to keep an eye on.

That's definitely reassuring and a good reminder of what is important in this business, thanks.

Thanks Brian, I think that makes a lot of sense. I'm looking to buy in Detroit so I'll have to swap 3 and 4 but I will be sure to make sure my first purchase has items 1 and 2.

Hello, I recently started searching for my first buy and hold rental and I'm focusing on 3bd+/1.5ba+ SFR's. I've been looking in Rosedale Park/Grandmont #1, Bagley, and East English Village. I made a couple offers but was outbid or too late.

A high priority for me is minimal vacancy/turnover.  Because of this I've passed on several potential properties.  I'm hoping some of you can share some insight on the importance of certain amenities for attracting and keeping tenants such as:

-An enclosed garage

-Air conditioning

-Radiant or central heat

-1 vs 1.5 bathrooms

Which are considered a must-have, nice-to-have, or are irrelevant?  I think I can broaden my search a little if I can figure out which items to focus less on. Thanks in advance for any input you have.

@Aaron B. Lewis I'm also new to investing and to the area. You mentioned letting the strategy and returns determine the area. For my first attempt I'm looking to buy and hold an SFR, maybe something needing a light rehab. Primary goals are cash flow ($300+/mo after all expenses) and %10 CoC ROI, but keeping a strong eye towards market appreciation potential. I've narrowed neighborhoods down to:

-Southwest Detroit: appears a good deal could cash flow and decent appreciation potential due to Ford at Michigan Central and the Strategic Neighborhood Fund

-East English Village: affordable Class A (according to ATTOM Data) is very attractive

-Rosedale Park/Grandmont Rosedale: there seems to be a lot of talk about these areas so it seems foolish to completely ignore them.

Given these goals, do these neighborhoods seem appropriate or do you have other recommendations? Would also really appreciate your input @Jamiel Strickland and @Gary Carver

Thanks!