All Forum Posts by: Roland Brown

Good morning,DFW area is a great place to be. 

I’m an investor and realtor here in McKinney.  This is s solid place to own a rental, as long as you can buy at the right price.  

I like Melissa for a lot reason.  I’ll shoot you my number on a pm, it would be an easier way to answer your questions.  Too many variables otherwise. 

Welcome to BP. 

I live in McKinney as well.  BP is a great place to learn and grow. 

@Whit Ewen thought I added you already to the post. 

Thanks @Mike Reynolds, 

Within texas I’m looking more towards flipping and Buy and hold.  Out of state I am interested in Turnkey because they at least are a place to start as far as the help needed in buying and renting. Cash flow is my target right now. 

I’ve really struggled with Turnkey because it feels like I’d be starting off behind on the Equity side. 

I’ve been looking at Kansas City area, Memphis, some of the cities around north and east Texas like Tyler and Longview. I think I’ve seen the most Turnkey in cities in Ohio so I’ve done some research in cleaveland, Cincinnati, and Toledo. 

Pretty broad I guess. I’ve mainly been trying to get an idea of what is out there. 

I’m posting a question I asked Whit Ewen, along with his response. I appreciate his feedback and welcome additional thoughts. I have heard about the importance of networking and was planning on building my network along with my study. If there is one thing I’m good at it’s talking to anyone about anything. Your feed back kind of refocused me effort today on just meeting as many folks as possible, phone, in person, email, text and BP messages. I do however want to be purposeful in my efforts. Is there a recommended priority you would give to my pursuits? My plan network work wise: To find rehab property: meet several real estate agents and wholesalers to get a feel for who I like work with, then seek contractor referrals. For but and hold: At the same time meet the turnkey guys and decide who is the best fit. Lenders: I do have some cash, so I’d not planned on meeting lenders yet, is this a mistake? Legal & Tax: ask for referrals Response- Whit Ewen “I'd put the agents/ wholesalers and contractors on a parallel track and put some feelers out for lenders also. I'm not as familiar with the turnkey folks but must admit that sounds a bit risky. I'd also add some property managers to your networking targets, as they will know who wants to sell. Pick ones that you'd like to work with so hopefully you can just keep the property with them when you buy it. “

Originally posted by @Larry Fried:

@Roland Brown I have written a BP article Three Key Routes for Passive Real Estate Investing that you might find interesting.

Thanks Larry good article 

Originally posted by @Ali Boone:

I wrote an article that compares both options-

https://www.biggerpockets.com/renewsblog/buy-rehab...

Hope that helps. It sounds like you are thinking of buying in non-local markets to where you live? Just asking because a lot of Texas people keep with buying local. So if you're talking BRRRR vs turnkeys locally, I'll throw some extra thoughts in there. But if you're thinking of outside your market, then the article applies.

Thanks for your article.  I would like to get the forced equity as you pointed out, but I would also like to develop a long term cash flow that grows over time.

My personal decision is to answer is should I first focus on cash flow through turnkey, then build a team to rehab and get that mighty 'Forced Equity' (trumpets sounding off in the background). Or first grow the funds through flipping and BRRRR.

I like the idea of stable cash flow and building up the business entity on its own.  But the plan seems very slow, hence my question post.

I would not dream of Turnkey locally however I think there are some markets within 2 hours that are not over saturated with inventors that are worth a shot for a newb.

Originally posted by @Arlen Chou:

@Roland Brown there are many strategies to making money in REI, but "sweat equity" has high rewards in an good market. McKinney is in the path of growth along the 75. I have a small factory that has moved from Richardson, to Plano and now in Allen over the past 10 years. Even though I don't invest in Texas, I like the market growth. If you are looking to go "turnkey" out of State, that is one way of doing things. But if you go "turnkey" in your own backyard, you are seriously making a mistake.

Thanks for your comments, I wouldn't dream of turnkey in my backyard, working locally its hard to find good deals that have Cash Flow.  Buying for long term equity I think there is a lot of value here but not Cash Flow. I do like some of the outlying area that are not inside of the DFW  metroplex.  I have even seen some multifamily in Fort Worth that are good potential for Cash Flow.

I know I can find good deals but they are around an hour to 2 hours drive both ways, but I don't feel like that drive to work a few hours is my best use of time.  I have started interviewing contractors and real estate agents to get a  feel for people and how we could work together.  This is the point of asking the question about what other people have done in the same situation.  I applaud your story and honestly appreciate anyone who has worked as hard as you have  to develop business.

 @Whit Ewen:

@Roland Brown, I'm sure we've all heard it, but... 

 Thanks for your comment, building a team is exactly what I am working on now.  The team is extremely important as you pointed out. I took a few days off work so I spent the day meeting people and  a few phone calls to out of state folks.  I've got the same lined up tomorrow and next week.

I am really wanting to make a purchase in the next 3 months and plan on doing my best to network and develop local relationships, and at the same time interviewing as many out of state turnkey providers as possible.  My preference is as I said before to start my rehabbing and build up equity as the funds rotate, but the fall back is to slow my plans and take the hands off route. If I go turnkey I would likely postpone buying and rehabbing for a years or more to get more funds together.  This is ultimately why I asked the question.