All Forum Posts by: Zac Boelkow

@Nathan Olds

Great job man!! What an awesome opportunity to “feel” what it’s like investing, house hacking, managing property, and tenants all at the same time!! Congratulations!!

@John Akhlaghi

I make it mandatory. It’s a pain to make it mandatory. I still make em do it.

@Diamond Bland eh... the markets will always be something or another... do the math on paying off your debt versus going further in debt to obtain an investment property. I’ll bet that the math says you net out better paying off your debt than having an investment property... life is looong my friend. Build a great foundation first that you can always count on throughout your life. Do the math also. Never let your emotions dictate why you are doing/not doing things. Good luck either way

First thing I do is get out of debt. While I am getting out of debt I am reading everything and listening to the podcast. Second thing I do is get on an extremely tight budget.I am assuming while you are living with parents your overhead is low? Save all that money! Possibly put yourself in proximity to real estate or other investors. Definitely build up your cash. Then look into what financing a property looks like to your own unique situation.

I have been here on almost every property I have bought. What I did was evaluate the "quality" of the seller and tenants while going through the purchase process. In every situation I was comfortable leaving things alone. It has worked out without issue thus far.

If I was in your shoes, and while going through the purchase, I was seeing things that were off or giving me cause for concern then I would do it differently. If I had serious concern for a tenant without a deposit that is a "red flag" and I would not want a tenant renting from me that is giving me red flags with or without a security deposit. So the "red flag" tenant(s) would go immediately.

If you have good tenants, and the security deposit still bothers you, an option might be addressing it immediately. I do not do month to month. So it would look like this for me. I would write a welcome letter to all tenants. I would explain that every tenant needs to be on a year lease. I would include that there is a security deposit that is required for my leases. I would give a total of 60 days for them to sort it out. Tenants having (or not having) money for security deposits is not my issue. If it is your rule to collect security deposits then do not let reasons, excuses, or justifications change your policies. Simple as that. 

I would ask them things that pertain to me and renting my property. ie. How many years are you planing on staying. Are you working? How will you be affording this? Do you have a car? Just normal and necessary questions. Are you from this area?  Do you have any family in this area? I would address the no dog policy and also important rules you may have. I use ultimate guide to screening tenants and its pretty good. If the tenant does not have credit to rent then needs a co-signer and they need to be verified and approved and I would explain that to the tenant and get the phone numbers of the co-signer and explain it to them as well. 

Take your time (but do it efficiently lol) be thorough and do not rush in to a bad situation. I explain word for word my lease and start "training" my tenants immediately. By doing that you will eliminate future issues down the road. Your policies are not secrets. Let the tenants know you are serious and that you have their best interest at heart always upfront. 

@Miki Vargas

Chris Voss: “negotiate like your life depended on it”

So my question is this what systems can I use for a "professional look"? How much is too much? Currently I am using excel spreadsheets. Does anyone have a hard copy portfolio they print out and use at banks or to get owner financing that says "I am professional, serious, and your money is safe with me"? Thanks!!

Thanks Mark! I agree that this is my realtors job. That is what the commission is for! Thanks for your help with the questions. I used some of them that I did not think of. Spent 40 minutes on the phone with the sellers realtor. I feel it went great! 

My realtor got back " yes the property is for sale and no my seller does not want to finance it"...

By the end of my phone call with the sellers agent he agreed that the seller may want to finance the property and would call him first thing in the morning and suggest that we meet for coffee. !! bango bango bango!! Nobody works like you do for yourself in real estate. 

Thanks again for your suggestions!

-Zac

I recently found a property on mls. The property is a single family home (3b 1.5b) no garage. In 1998 a duplex was added to the lot (1/2 acre lot). The duplex has two units that are 1000 sqft 2/2's. There is a garage attached to the duplex and fenced off as it appears that the owner is using it to store stuff, possibly a boat, etc. Asking price is 475k. I asked my realtor to contact the listing agent and get information for us. I wanted to find out if they would carry financing, how below market rents are, how willing they are to help me walk through this deal, etc... The listing agent only told my realtor "yes the property is for sale. They do not want to carry financing".  :/ I did look up the owner name and it is held in an "inc" and looks like the only property they own based on researching their name on the property appraiser site. 

My realtor gave me the listing agent name and number. I am calling him this evening. I know the importance of gathering information while in the process of making an offer and buying the property. I would prefer not to just make an offer without more info. What are some ideas to break through with the listing agent? I have a lot of great questions I would ask the owner but idt the agent really cares...

The property is in an extremely sought after area and the property and grounds look pristine. Asking price seems a tad high but not overly high as I see all the time when multifamiles are being listed.

Thanks everyone!!