All Forum Posts by: Bob Collett

Glenn

I am a property manager here in Cleveland area, but do not work that part of Cleveland, except for 44128. I have a friend who might take them on. In any case, if you want to contact me off line, I will try to answer any PM questions. Make sure whomever you hire is licensed. There are a lot of unlicensed property managers running around town. It is illegal in Ohio to do property management without a license.

Good luck.

Bob

I can recommend several. Contact me off line.

Thanks

Bob

Ken... someone is feeding you some bad information.

Lots of good brokers in town. I am with Remax Trinity and agents on my team pay about $100 per month and start with 70% split.  There are some transaction oriented brokers that pay even more. Keep in mind that while we are all in it for the money, the split is only part of the formula. The net is much more important. If a broker "gives" you 10 or 20 good prospects a year, it really doesn't matter so much what your split was, because its money in your pocket. Some brokers are more investor friendly, etc. Feel free to reach out to me off line.

Good luck

Bob

Jessie, my calculations based upon your info put this at about 7.5% ROI. I would want to know what neighborhood, and how you came up with the 36% expense estimate, but to answer your question; no, I would not personally do this deal.

Good luck

Ivan

You don't need to take a real estate class. Call any real estate office and ask to talk to the broker. Tell the broker that you are considering taking real estate classes and that you want to buy a rental home. Ask if there is someone you could meet with that would explain the process and answer questions about what real estate agents do and how they are compensated. Offer to buy lunch or coffee.

Good luck

A few things to consider in addion to COC return.

1. What is the rate of return on the total investment (the prchase price not the cash invested) including the entire amount at risk. 

2. What are the deferred maintenance costs and the annual reserve contribution to cover long term deferred maintenance costs. Example: If a $4900 roof will be needed in 7 years. Are you including a $700 annual contribution to roof reserve on your COC?

3. What is the market value using "sold" MLS comps if you want to sell your COC investment. The COC goes negative if that 18% COC investment that you buy with $5000 Cash on a $50000 investment is only worth $30000 when you want to sell,

Good luck,

Bob

Plenty of opportunity in Cleveland, but Cleveland is not growing. You must have meant something else.

I am looking for a referral to a Cleveland area attorney who can draw up land contract agreement and/or rent to own, and help me decide which approach is better. The tenant who wants to buy the property is already in place.

@Jarett Cory

Fairfax, Hough and the surrounding area are filled with distressed homes... however, they are in close proximity to the Cleveland Clinic area. You may be shocked to learn that qualified buyers in some of these areas can get $10,000 to $40,000 toward the purchase, plus up to $8000 in renovation costs. PM me if you are interested in the details.

It will take some creativity to turn this buyers benefit to your advantage, but I am confident there is a way to make it work in the spirit of the intended goals... probably by getting the qualified buyer first, then following up with the project.

Bob

@Joe Tran

My personal experience finding Singapore investors, was not a whole lot different that how I have found my local investors... by referral. My first Singapore client had a bad experience with two different local property managers managing his 7 Cleveland properties. They asked their Cleveland based accountant to refer an honest realtor to get him out of his properties. I got the call, nurtured my client, and a few months later, three more Singapore clients came my way. I now manage 20 properties for them, and service them like crazy!