Should I Treat My Indianapolis Rental Property Like an Annuity?

By Jeremy Tallman on Aug 25, 2019 10:00:00 AM

I remember the conversation vividly.

We were on a conference call with a Real Estate consultant company a few years ago. 

This company’s main business was/is to attract investors to their platform and then help them buy property in Central Indiana, along with a few other markets around the Country.

Many of those Clients then used us to manage the homes. 

The President of the company was part of the call, along with all of his lead people.

Who the Company is isn’t important, because you likely haven’t heard of them.

At any rate, we were discussing various topics when he went into full sales mode…

“We preach to our Clients that real estate is the best investment of all.”

OK, I thought, I can get behind that statement. 

“Our Clients love cash flow.”

Who doesn’t, I thought. 

“And so, we tell our Clients that owning rental real estate is like owning an annuity: you get a set amount of money each month and then you also get the long-term appreciation. It’s the best of both worlds.”

Whoa, whoa, whoa.

Real Estate is like an annuity?

In what world?

Continue Reading

What Do A,B,C,and D Class Properties Look Like in Indianapolis?

By Devon L. Hicks on May 26, 2019 10:00:00 AM

If you’ve been investing in real estate for any period of time, or even if you’re just in the research phase, you likely know about property classes.

Just in case you’re brand new to REI and have no clue what I’m talking about, there’s an informal grading system that investors use to classify properties.

Yes, I mean literal grades such as an “A” property or “C” property.

I say it’s informal because everyone has their own variation and subjective opinions about what each grade constitutes.

One investor may think a property is a “B” class while another considers it a “C”.

Some grade on an A-B-C scale while others go all the way down to an “F”.

Some go even more in depth by adding pluses and minuses into the mix.

But with all that aside, at its core, the grading system is universally known and is an important factor to consider because each class represents a different level of risk and return.

As a company who manages mostly A/B properties, we are often asked what those types of properties look like.

So, we thought we would take some time to break down each class, provide some real life examples from right here in Indianapolis, and hopefully be able to help you determine which class of property best fits your investment goals.

For the purposes of this blog, we’re going to use an “A” through “D” scale.

Continue Reading

3 Reasons to Choose a Local vs. National Property Management Company

By Jeremy Tallman on May 19, 2019 10:00:00 AM

In previous blogs, we’ve discussed how residential Property Management is consolidating and is, generally, getting more professional.

While there remain lots and lots of the classic Ma and Pops out there managing homes, Corporate America has taken a definite interest in our industry.

And, more importantly, Corporate America has entered markets offering a national presence.

It’s hard to tell, exactly, how things will progress from here, but the corporate trend has started.

And if you are an investor who uses a 3rd party property management company, you need to understand what this means to you and your investment.

Because, clearly, you now have a lot of choices when it comes to Property Management in Indianapolis.

Continue Reading

3 Reasons to Use Your Property Management Company to Buy Rental Properties

By Devon L. Hicks on May 12, 2019 10:00:00 AM

When it comes to finding and purchasing rental properties, you want to ensure you have a knowledgeable, experienced partner to help you in your search.

Buying investment properties is a whole other ball game compared to simply purchasing a personal residence.

You have to think about the make-ready work, rent rates, cash flow, appreciation, crime rates, school districts, property taxes, etc, and how it will all fit in with your goals and strategy.

You also have to think about management. Are you going to self-manage or have a third-party handle that for you?

If you’re going to hire a Property Manager anyway, why wouldn’t you take advantage of using their brokerage services as well?

It makes sense on so many levels, and we’re going to discuss a few reasons why:

Continue Reading

18 of the Most Actionable  Podcasts for Real Estate Investors

By Devon L. Hicks on Apr 28, 2019 10:00:00 AM

We're all about educating and advising here at T&H Realty Services. 

That's why we like to provide resources from every possible channel to help you in your real estate investing ventures. 

Continue Reading