Real estate investing is not a solo act, especially if you're doing it remotely. Building a solid team is crucial for success. But building good relationships with solid agents, property managers, CPAs, contractors and those who you can outsource the endless things that come up is tough. In this episode, we share why having a team of real people you can count on is so important and how you can go about building yours.    

 

Episode Links:

https://www.roofstockacademy.com

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Before we jump into the episode, here's a quick disclaimer about our content. The Remote Real Estate Investor podcast is for informational purposes only, and is not intended as investment advice. The views, opinions and strategies of both the hosts and the guests are their own and should not be considered as guidance from Roofstock. Make sure to always run your own numbers, make your own independent decisions and seek investment advice from licensed professionals.

 

Michael:

What's going on everyone? Welcome to another episode of the Real Estate Investor. I'm Michael Albaum and today I'm joined by my co-host Emil Shour. And today Emil and I are going to be chatting about why is it so important to build a local network? And then actually how do you go about doing that if you're not local to that market? So let's get into it.

 

Alright, Emil, it's been a while man, how are things in your world? What's going on?

 

Emil:

Things are good. I have very good news report so the triplex is fully leased.

 

Michael:

Yes, yes!

 

Emil:

Finally, we're good. We got the townhouse portion leased at the rent we wanted. And that pesky one bed, one bath, finally rent it out as well to two solid tenants. So that's making money.

 

Michael:

Congratulations. So how long was it making four in total?

 

Emil:

The one bed one bath was vacant for about six, seven months.

 

Michael:

Okay.

 

Emil:

Including, including like the three months it took us to, like get everything fixed. You know, it was like, major contractor crunch and all that stuff. So that took us like probably three, three and a half months. And then like three or four months vacancy, which sucked but we are through it now. The townhouse took like two months to rehab, and then it was probably vacant for a month. You know, we like went into December getting ready to lease it up. And that's like the worst time to try to rent something because it's holidays and people are checked out. But New Year and new tenant so certainly right.

 

Michael:

Sweet, man.

 

Emil:

Yeah.

 

Michael:

Very exciting. And you had some reserves built into your pro forma, right?

 

Emil:

Yeah. So we've, I think we've talked about on another episode, I actually just keep my real estate checking account separate from everything else. And I don't touch any of that money only, it's only to reinvest, right, so the rehab budget came out of this bank account, I didn't have to like go and grab it from somewhere else. Everything kind of just goes into its own real estate account. And just, it's just used for subsequent properties or yeah, like the reserve.

 

Michael:

Okay, cool. I guess the point that I was getting at is that you had money set aside for a rainy day. And the fact that your property is vacant for six months means you didn't have to go sell it because you couldn't afford to pay the mortgage on it.

 

Emil:

No, man we talked about on the show like don't… don't liquidate, don't use every penny. I mean, a bank won't even let you do that. You know, they require some reserves, but you always have to have some money on the side. And the worst thing you can be as a force seller, right? That's what we've talked about here. And that's not when you want to sell you want to sell because you have a good opportunity now because you have to.

 

Michael:

Totally.

Alright, well, let's shift gears here and talk about why it's so important to build a team, a local team, or maybe is it even important to build a team so curious to get your thoughts your rem