All Forum Posts by: Sachin Amin

@Sachin Amin

How many properties do you have there?

@Sachin Amin

It might be worth doing a 1031 exchange in reinvesting into a more favorable market, like @Arman Ahmed had mentioned.

If you do go that route, you could also do what we call a consolidation exchange, where you combine multiple smaller investment properties in your sale and purchase a larger investment property in a 1031 exchange. This would allow you to defer all of the tax and depreciation and reinvest it into a larger investment property with better appreciation and cash flow potential. 

@Sachin Amin

How many properties do you have there?

If you are going to buy $75,000 houses in Memphis, you need to go visit them in person.

I don't know anything about these companies, but when it sounds way too good to be true, it normally is.   

While it sounds really good they don't charge a monthly PM fee, they're making money somewhere.  Nobody works for FREE.  Nobody.  Probably they make it up in upcharges on maintenance repairs, or they will keep all your application fees, processing fees, tenant charges,pet fees and charges or make ready or something somewhere.  Maybe there is a breakup fee as well.  Read that PM contract very carefully.

When you go to Memphis, walk not only the property you're interested in, but several of the vacant rentals you choose.  Don't let them choose for you.

Just inspect what you expect....Also I would talk to housing office in Memphis to get a feel of how many people are on the Section 8 waitlist, what kind of rents they pay, what zip codes are they targeting, see if they have any stats about how long tenants stay and average rent.

While a lot of people try to look at google street view to get an idea of the neighborhood, there is no substitute for visiting in person.

@Sachin Amin

I work with a number of builders who have no issues selling to investors. We actually set up incentives to make their products more attractive to investors. These include right by down and free property management.

Most of the builders that I find that are willing to do this are doing infill development. They are more production base builders that her interested in just building the next project. With this type of development, there's no worry of ruining their community with a renter.

The investor that I work with find the strategy of investing very easy, profitable, repeatable, and not very time-consuming.

If you look for a smaller builder that is doing infield development. He may be able to find a good situation to invest..

Best of luck.