Posted by james on October 26, 2007 at 11:36:04:
Execellent! Just a little notes, you can also contact fire department for any crime/safety, local property management, local property owner/managers, local RE investors(that what I did)…but of course it is you who would make a decision whether a prop fits your criteria and then fly down there.
Contacting city officials are very valuable tools.
Oklohoma City Apartment Investors outthere? - Posted by james(CA)
Posted by james(CA) on October 22, 2007 at 15:18:28:
I am looking for a possible partner who has extensive experience in OK City near OK City University(private). I am looking at a 30+ complex(older 1970) but since I am CA, I need to partner with someone there to make this happen. I will provide most of the finance or creative finance:). There is always strong demand for rental there.
The complex is currently rented to students including international students - I haven’t seen the place yet. I will love to hear input about how the rental market a few blocks around the university, employment growth, safety, good for future investment, new development etc. in nearby areas. Please email (james_cc@hotmail.com) or call 562-400-6497.
Jumping the Gun - Posted by Jimmy
Posted by Jimmy on October 22, 2007 at 15:21:38:
YOU need to do a LOT more due diligence before you ask for the assistance of a partner.
at this point, you have NO IDEA if the deal is even close to viable.
Re: Jumping the Gun - Posted by james(CA)
Posted by james(CA) on October 22, 2007 at 15:44:01:
Jimmy,
However I am also more interested to hear from someone there can give me some preliminary feedback on markets there. Surely I am doing more research and already obtained some financial info from the agent which need to be verified of course. Cash flow is not quite there unless one can get a good price. I won’t know if it is a deal until I make my offer(low or creative offer). I believe you have to/try to make a good deal from a so-so deal situation buy making an offer. I am not quite there yet until I take a trip down there. Thanks
Re: Jumping the Gun - Posted by Rich-CA
Posted by Rich-CA on October 22, 2007 at 18:03:25:
I did some research on the Oklahoma City area in 2006. This was focused on the Single Family housing rental market. Properties there generally had good prices for the rents they produced and the employment outlook was good.
However, Oklahoma City is a bit of a one industry town. The primary industry is natural gas production, which has been a boom industry for a while.
One thing that put me off was the insurance costs. The Farmers agent I contacted there (I insure solely through Farmers, so that’s why I was talking to him) told me about the softball sized hail that punctures roofs and about the tornadoes. These two cause the insurance to be fairly expensive.
The other problem I had was finding a local property manager who could pass my screening. Now for a 40 unit you’ll have a residential manager, which you can hire yourself or through the management company you hire.
When out of state, make sure you are very thorough in researching the background of the people you deal with since you will be at their mercy. They may mean well but not know what they are doing.
OK City - Posted by james(CA)
Posted by james(CA) on October 22, 2007 at 21:39:22:
It is around 36 units so I guess one on-site mgr is required, don’t know OK law?
"The other problem I had was finding a local property manager who could pass my screening. "
Can you elaborate - did you mean they were not very competent or inexperienced?
Any tips on interviewing PM and on-site mgr there?
For out-of-state investment I am planning to use high tech, internet, webcam, camera etc. as the way to communicate and manage. Yes I will probably have to train them as needed.
As far as checking backgroud for mgr, definitely check their credit and criminal/sex offender etc.
Re: OK City - Posted by Bill H
Posted by Bill H on October 23, 2007 at 11:41:52:
James:
LIke Jimmy and the others I see you as and accident looking for a place to happen.
You need to do a LOT more INVESTIGATING before you invest.
I have a freind who has made his living for years and years by renting to college students. He has property at UCLA, USC, TEMPE, MESA, etc.
He does not and NEVER did do it anything like you are suggesting.
I do not mean to be harsh or detremential to you intentions…and…am only saying like the rest…INVESTIGATE thoroughly BEFORE you invest.
DO NOT rely on the internet for your financial decisions…it will KILL you in a hurry.
Property managers are controlling your assests…do you want a good one on one that is stealing you blind? They can come in both classes.
You are trying to get started but doing it very poorly. However, I guess I should shut up and listen as it is your money!
Good Luck,
Bill H
Re: OK City - Posted by james(CA)
Posted by james(CA) on October 23, 2007 at 12:06:57:
Hi Bill,
I have a freind who has made his living for years and years by renting to college students. He has property at UCLA, USC, TEMPE, MESA, etc.
He does not and NEVER did do it anything like you are suggesting.
>>> I am actually talking to some local there and it is not in a good area. Again this is just researching, I am no way near purchasing as I haven’t gone down there yet. Believe I don’t make quick decision with something like this until I understand the areas, market, crimes, competition, reason for selling.
Can you please elaborate what make your friend so successful, manage them himself etc.?
However imho I believe internet is “ONE” of the best ways to do research before going down to see the property and the areas. Yes more work and learning to be done as always. Thanks for your advise!
Re: OK City - Posted by Penny
Posted by Penny on October 26, 2007 at 07:28:26:
I agree - there is a lot that can be researched from a distance.
I was recently looking at an office building for sale with potential to meet my investment criteria. It was next to a large apartment complex, around 200 units in size in an older part of town. I was concerned whether the apartment complex was a problem area that could affect the desireability of the office building, and hence affect my potential vacancy.
I emailed the city police department and briefly told them I was an investor considering the office building for sale and what info could they provide about police calls in the immediate area. On the same day I had reports for the apartment complex itself plus the past 3 months of calls for the area. Also on the city’s website, I found their latest annual report, which also discussed the city initiatives and progress with apartment complex owners for improved safety and reduced needs for police support (e.g. reducing nuisance calls).
Since I do commercial, I look up city official names a lot from their websites and either email or call to get info about the community development. It’s a much more efficient use of my time.