All Forum Posts by: Tyler McDonald

Appreciate the insights.

@John Louis Tomines welcome.  I'm fairly new here too and actively looking for a multifamily deal in my area.  I miss Southern California, such a great area to live!

Several people have advised me to use the "if you wouldn't want to go there at night, don't buy in that area" way of thinking.  I'm still in a learning phase while looking for my second deal but enough people I trust have told me this so I'm following their lead.

Thats an awesome (and creative) solution.  Hope it all works out!

We just built a primary residence last year and all I can say is that it was a learning experience (aka a complete disaster with lots of important lessons learned).  Not sure how well you know your builder but based on my experience with ours this is what I would do differently next time, especially if for investment purposes:

1. See if I could tag along for a couple of days before signing a contract.  How does he/she actually run the business of building?  Ours knows A LOT about building a house and NOTHING about project management or running a business.  Consequently costs spiraled, the schedule got blown out, and tensions ran high.  COVID was not a major issue as all materials were purchased prior to.

2. Add 10-20% to the budget (at least mentally).  Our builder was quite aspirational when it came to price.  He swore $100/sqft was doable for what we wanted, ended up being closer to $115.  And that was without any real constructive changes or upgrades.

3. Ask for referrals.  It is so painfully obvious to me now.  We did ask to walk through a house he had under construction, but we should have asked to talk to recent clients of his.  I'm certain this would have revealed some of the problems we encountered.

4. Ask for their list of subs.  I would think a solid list of a few subs is a good thing.  Ours simply used whoever was cheapest.  The plumber was someone he had no prior experience with and we have spent thousands of dollars of our own money correcting issues that the plumber screwed up. (I know, I know, we shouldn't have to spend our own money!  But when there is no hot water and its 20 degrees outside and everyone says "we'll try to get out next week" and your wife is shivering in the shower every morning...you pay the $1000 and try to recoupe it later).

Hope this helps!

@Colin Williams I actually looked into similar at one point.  Didn't get to far into it but I'd recommend checking out the USDA website which has info on all of their grant programs and also reaching out to your local ag extension office.  In Virginia the extension was able to provide contact info for people who specialize in what you are asking about.

Let me know if you get a farm started!  We have 35 chickens and a couple of goats with dreams of acquiring the adjacent 11 acre field and turning it into a small scale farm and full time ministry to at risk youth aging out of the local foster care system.  Its a big part of my "why" for investing in real estate.

Hey @Phil Cecere, my sister-in-law is a CPA although has shifted to part time CPA from home and full time mom.  She is a bit north of Charlottesville.  I don't know if she focuses on real estate but she and my brother had investment property in Richmond at one point so I imagine she is familiar with it.  If thats anything that interests you let me know and I can reach out to her and see if she is taking on new clients and what her real estate experience level is.

@Steven Westlake sounds like you may be going the bardominium route but w/regard to the event hall idea - our church currently rents a facility somewhat similar.  $500 for 4 hours every Sunday morning (so $2000-2500/month) and its basically on a month to month lease so not much turnover to deal with from the landlord perspective.  I think during the week the facility is rented for things like summer camps and concerts so maybe a bit more work then.  Hope that helps!

@Marquez Robinson I certainly won't tell you what you should or shouldn't do since I don't know you but here is the advice I offered my brother in law when he was in a similar situation getting out of the Navy...

Go to a trade school and learn a trade - plumbing, electrical, HVAC, welding, whatever floats your boat.  Get a part time job to support yourself while in school and live frugally.  After you graduate get a job with a local company and dedicate yourself to extreme excellence over the next 4-5 years.  Always be on time, always do quality work, always be courteous and respectful to customers, peers, and bosses.  Make a name for yourself at that company.  Also during that time, observe and learn about business.  Work to gain the skills necessary to safely and smartly open your own contracting business in that trade.  Then, once ready, open that business and operate it with extreme excellence and quality.  In my local experience, people are desperate for good quality contractors.  And if, along the way, you decide to get into real estate you'll have that option.

Hope this helps provide food for thought.  Good luck!

I don't but I've had vague thoughts on looking into it.  The one at a boat ramp near me when I lived in Hawaii always had a line of fishermen and divers filling up coolers.