All Forum Posts by: Ryan Evans

@Account Closed It's definitely not for the faint of heart to invest in that area. And tenant screening is absolutely a top priority. I'd personally rather give up an extra month or two in vacancy to find a good tenant. The ones I've found so far are great. One tenant works for a Boeing vendor and the other in some form of healthcare, so both relatively stable and no issues so far. But only time will tell.

I've met a lot of people just by hanging out at the coffee shop, restaurants, and bars in the arts district and heard lots of rumors of more galleries, restaurants, and maybe a brewpub going in over the coming years. Who knows what it will look like, but parts of town like Tremont turned around extremely quickly and Waterloo has plenty of upside potential. 

I've also been seeing some potential plans for the Euclid mall to get turned into some sort of warehousing facility which would bring some jobs out that way. Amazon has their eye on North Randall for a fulfillment center that would bring an estimated 1,200 jobs and already leased 80,000 square feet in Euclid. 

Growth may be slow, but I'm at least confident it will happen.

I've taken some pretty big risks and spread myself pretty thin at times. Without the  cash reserves to get through a major disaster, I could face some issues which sometimes will keep me up at night. But when I remind myself that no matter what happens I'll always "figure it out," then it's all okay. It doesn't hurt to remind myself that the worst thing that could happen to me is I lose everything and start from scratch after learning a ton in the process. Sure, it's a setback, but I'd still rather do that than work a crappy job for 40 years and live a life a mediocrity. 

If you're not using traditional financing it seems the main perk of an LLC is the LL part. If you've got other assets to protect, then sure. But if you're bank financing the property it might not be an option. Not that I know much about bank financing, though. I don't qualify for the whole stable employment thing.

@Steve Vaughan that's the dream ey? FU money should really be everyone's goal! haha. Not to hijack the thread, but I see you're in Eastern WA so I'd love to hear your thoughts on an idea I've got for a place in Leavenworth... https://www.biggerpockets.com/forums/530/topics/472419-should-i-build-a-tiny-cabin-as-a-str

@Timothy Murphy III I can only assume you mean Six Shooter Coffee, AKA my second office when I'm in Cleveland! I've gotten to know the baristas there far too well haha. My first property is actually close enough to the arts district to be a strong selling point. And it's where I met my 2nd, but current real estate agent!

@Billie Miller that's $600 a month worth of avocado on toast that our millennial friends can only dream of! haha. I get the same glassy eyed stare when talking about investing. And unsurprisingly, I get a lot of real estate investing advice from people twice my age who haven't even paid off their one and only house yet. 

Fortunately, I never get a hard time from sitting in the coffee shop in the middle of the day because I blend in with all the students. But, one of my current first world problems is that I don't have much to talk about with all the other people my age in the coffee shop. The other 26-year-olds around me are studying for their upcoming art history exam and I'm on the phone getting landlord insurance policy quotes or something! haha. 

I work with a lot of students/graduate to help them find work in their fields after high school/college. I can dumb down a 2-hour conversation into one simple idea that has helped a lot of people get the elusive experience and inroads they seek:

1. Find the people you want to be/learn from/work for, etc. 

2. Ask them how you can add value to whatever it is they are doing. Do not ask for a job.

In your case, find some local investors and ask them how you, as an 18-year-old, can make them more money. Investors like money, but don't always have time. They will likely give you a few options. You won't like them because they are a lot of work and won't give you a stable paycheck (probably some form of sales). Most people would quit there. BUT, if do that thing you will likely make money, have a mentor, future investor, business partner, network, etc....

And build credit.

Geeze, I always sort of had the same question about owner occupancy since I'd love to get an FHA. I travel constantly, often out of the country, so I don't really need a home base in the US. But the FHA isn't messing around with their penalties! Oh well, not like I can get an FHA mortgage anyway because I travel constantly! hah

It's really tough to talk about east side Cleveland since the east side doesn't just have a huge variance in suburbs, but literally, the block by block variance is huge! I mean, you've got 2m mansions in Bratenahl and 5k SFR's with the roof caving in just 300 meters down the road. It's great you're on the ground so you can see it all for yourself.

I really like the waterloo arts district in 44110 since it's starting to gentrify. The area is still pretty rough in my opinion, but I don't think it quite deserves its reputation. Lived there for a couple months this year and everyone I met is extremely optimistic for the neighborhood. 

Your goal is doable, but you're going to have to find some seriously good deals. You can cash flow 800 per duplex (I know from experience), but let me know where you're finding those deals because I want more of the action! 

I think cash flow of 400-500 per duplex in the area is somewhat reasonable. But screen the **** out of your tenants! 

Cheers @Andrew Johnson ! I figured I'd get some mixed opinions and plenty of other good considerations from the community here. But it is a pretty unique situation at the end of the day so I think it really does come down to my expectations. If I can't book the place for a weekend so I go and use it myself for a getaway, it doesn't correspond to a vacancy expense like a typical rental would. We're all here to have more time and money, so that's gotta be worth something! 

@Michael Greenberg I might be down in Denver visiting a friend of mine sometime in September so if you're going after that project I'd love to take a look and toss a few ideas around!

I'm 26 as well and have pretty similar goals of hitting my freedom number by 30. But I'm currently in the process of getting licensed for a couple of reasons. Largely, because the more I focus in on real estate, the more people I'll inevitably run into that are buying/selling. If as an investor I can do a few deals a year through the networking I'm already doing, I see it as icing on the cake since I still work in a different field. 

And as you said, there are plenty of other perks. The brokerage will give you a network of people, you can view properties on your own, and you can save a few bucks in commission when you do go to sell, etc. Just by telling a small handful of people I'm getting my license I've already been connected with a couple people selling their houses in the next year who have verbally said they would list with me. It's not a done deal, but that could already be worth 15k+ since I'm out in WA. I think getting licensed is a great tool to have WHILE you're doing your investing.  

@Konrad Utterback that's great you've been on top of your credit. I know people my age (26) that don't even have credit! 

Not that I've done many deals, but my general impression of the investment community is that they are more concerned with the working numbers of the deal, not the total dollar investment number. Unless the investor is hands off and solely trusting you and not the deal, they should serve as somewhat of a vetting standard. Much like how most hard money lenders won't lend if the deal is no good, but if it is a good deal than they might not even look at your income, credit, background, etc. 

If you're talking to California investors about properties in Cleveland, then asking for $80k is a drop in the bucket!