All Forum Posts by: Young Park

Hello, @Kyle Weinapple!

What I have been doing thus far (3 BRRRRs from out of state), is to negotiate upfront before getting under contract with the best information that I have (pictures, videos, etc). Once under contract, then I would have a couple of contractors to get the bids. I think it makes more sense to send in a GC vs inspector for properties that you know will need work. Once you get the estimated rehabs and if the numbers make sense, then pursue. If not, then negotiate with the seller with the justification and quotes. 

Hope this helps!

@Dennis Cobos Glad you're getting back in the game! BRRRR is a great strategy that I'm using as well. I currently live in Hawaii and invest in the Kansas City market. And you mentioned a HUGE point - "it's much easier said than done." I've read the books from BP such as How to invest in real estate, BRRRR, and Long distance real estate investing. These are great starting points but still just "knowledge." The application of the whole process, however, isn't so simple.

My real education started when I followed a mentor who guided me and I was able to leverage his relationship in the KC market to build my own team (realtor, broker, prop mgmt, contractor, etc). Now, I'm able to do this on my own (although I still ask him questions whenever I need haha). 

It sounds like you're pretty well-aware of the concepts of the BRRRR, but if you aren't already, I would suggest you reading those 2 books: BRRRR and Long distance real estate investing by David Greene. After that, find someone who is actively investing in the market you're interested in (for me, it was more important to have someone in A market, rather than THE one you are interested), then follow what they're doing. No need to re-invent the wheel :) Hope this helps! If you have questions, please feel to message me.

Congratulations on the BRRRR property, Zander! Where is the property located?

Hi Ray!

I'm assuming you're referring to the BRRRR calculator since you're a pro member? Regardless, it depends on your strategy. Are you going to keep the current tenant then rehab when they move out? or will it be vacant to start your rehab right away?

If you're going to rehab (vacant), then should use the projected rents. 
If keeping the current tenant (no rehab), then use the current rent. 

@Allen Wu I'm looking in N of the river, raytown, independence, Grandview, and a pocket in the Kansas side. I'm not sure about the 'A' areas as they seem to have appreciated to the point where it might not cashflow as well (but that's subjective and how you calculate cashflow). 

Hi @Trix Contreras! 
I also have federal student loans on forbearance right now until 9/2021. It sounds like you're set on paying off your student loans vs investing. Obviously, this is based on your own financial situation and your preference (debt-free, peace of mind, etc). I'm sure you've discussed with several people, but think about who you discussed with - did they go through similar situations? are they successful? I've heard from several coworkers who told me to pay off my student debt first, but they've also been working in the same job for 10-20+ years and will likely work until they can retire. Their best intentions may not be in your best interest. So think about. 

But enough about that lol.

I decided to carry on my student debt and utilize capital to build cash-flowing assets (REI!). Paying off my debt first would put me several years away from even start investing. I'm glad I jumped in even though it's only been a few years, but they have been appreciating in value and give me monthly cash flow (which can be used towards your student loans). I'm using the BRRRR strategy from out-of-state in the Kansas City market because the numbers make much more sense than where I'm at (Hawaii).

I'm not a financial advisor or anything, but if you want to bounce off ideas, feel free to send me a DM! 

Hi Carlos! Welcome to BP and starting your REI journey.

Although I'm not in that market (I invest in Kansas City), this would probably apply in almost any market. I'd suggest you searching for keywords on facebook "St. Petersburg real estate/real estate investing/off-maret, etc". Also literally google "st Petersburg off market/off market deals/wholesaler, etc" and get on as many as you can. This would probably be a good start.

What kind of coaching program are you looking for? More of a 1-on-1 or are you ok with being on bigger groups that provides education?

I've gone through a 1-on-1 coaching program that helped me to BRRRR in Kansas City from out of state (living in Hawaii). To me, it was helpful not only because of the education, but from the weekly accountability and being able to leverage their relationship to build a team. Let me know if yo have questions!

@Gervon Thompson, since everyone is giving their own advice (with best intentions, I'm sure) I came in to chime in as well :) Your situation is different from everyone else's so need to consider what's best for you and your family. 

I'm a somewhat recent graduate with a lot of student debt to my name. Are you on private loans or federal? What's your risk tolerance? Will you sleep well at night if you go with adding on more "debt" (mortgage)?

I chose to go with REI because I wanted to plant the seeds (properties) and let them grow (appreciation) so I can reap the benefits sooner rather than waiting to pay off my student debt. Cashflowing properties are good debt and you can use that extra income towards your next property or student debt if you wanted to. With assumptions that inflation will continue to happen, your "borrowed" money (both student and mortgage) will be cheaper as the years go on. I'm biased because I obviously chose REI over aggressively paying down debt.

Again, consider what's best for your and your family! Best of luck, Gervon.

@Justin C. I didn't know a single person from KC prior to getting started. I joined a mentorship (gasp!) to get started. I've read the books, listened to podcasts, watched youtube videos, but what I initially wanted/needed was someone to guide me step by step. I leveraged my mentor's relationship with the team in that market then slowly built my own team.