Bicycling in Olathe, Kansas

Ad Astra Realty is going to start growing and sponsoring a bicycling team in Kansas City.  This bicycling “club” will be be evolving.  But the emphasis of this club is going to be fun.

olathe bicycling club

Creative Commons: Ian Sane (follow him on flickr) no changes made

Some initial thoughts.

  • Our office is in Olathe with a large parking lot and Freddy T’s bar just a stone’s throw away.  And The Other Place is just up the trail. Great place to start and finish a ride, wouldn’t you say?
  • The Indian Creek Trail is less than a quarter mile away.
  • We can be on the Mill Creek Streamway in 8-10 minutes and ride up to the Kansas River and back.
  • And the Tomahawk Creek Trailway is only about 8-10 minutes the other way.
  • This isn’t a club for “hammer heads”.  Sure, I like to really go sometimes.  And we may do that.  But that’s not all we’ll do.
  • This is as much a social club as a bicycle riding club.  Come for either or both.  If you just love cycling, c’mon out.

I like to ride the trails and the roads.  Sometimes I’ll throw the nobby tires back on and go ride the single tracks in Lawrence.  I like to BikeMS.  I’m hoping to go on the Bike Across Kansas ride this year.  Biking saved my health.  It helped me drop 38 pounds and get in the best shape I’ve been since I was in my teens.  And, for me, it’s just a lot of fun.

Heck, it allows me to still have beer and bbq without having to count every calorie to stay in good health. So, “I’m in.”

Let me know if you’d like to be updated about the rides.  Just leave me a comment and I’ll start announcing the rides.

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Property Management – A Map of Our Owners

kansas city property management

So sometimes, even I am shocked by what I find when I stare at the realities of what we’ve accomplished these last few years.  What you see above you is a map of where our owners are located in the US and throughout the world.  I honest to God thought more of our owners were located on the west coast.  But as you can see they are literally from everywhere in the US. And one even over in the Middle East.

This map represents the 104 owners that we work for taking care of their 235 (as of 1/10/2015) income properties.  Maybe soon I’ll share a map of where our properties are located in and around the Kansas City area.  That may tell a story, as well.

KC Property Manager
Ad Astra Realty
2011 E Crossroads Ln #305
Olathe, KS  66062
913-839-2953

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Ad Astra Realty Is Now Open!

KC property management

Ad Astra Realty is now open in Kansas.  We were approved for business on December 30, 2014.  Now we have submitted our Missouri license paperwork and are awaiting word on that.  So we’re official in Kansas!

That makes me smile.

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The Right Economy To Buy Rental Houses

I was asked by a fellow REALTOR about the best economy in which to buy a rental house.  I had to stop for a second and realize how silly the question really is. At least in my mind.

Now.  This one.  This is the best economy to buy a rental house.  Or the next economy.  Or the one after that.  Or the one 5 years ago!

Yes, those that bought investment property in 2009-2011 are doing great compared to now.  But, frankly, if you bought your income property correctly, even if you purchased in 2006-2007 when price versus value was sky high, it was a great time to buy a rental house.  (Those people may have bought high, but it’s 7-8 years later and tenants have been paying down their loan balance, etc.)

There is no time like the present to start your retirement savings.

Yes, your returns will fluctuate depending on your interest rates (if financing) or your local city’s vacancy rates.  But people always need to live in houses. People will always prioritize housing.  Heck, I’m so old I remember my parents buying houses with interest rates in the mid teens.  Yes, 14.5% interest.  (I just heard a 30 year old ask “What the F@&%?)

Start your retirement TODAY.  If you have the funds for some real estate in your retirement mix, start today.  I’m just sayin’.

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Real Estate for Retirement

Looking for a way to diversify your income?  Think real estate for retirement.

I am a big believer that everyone should have a little real estate mixed in to their retirement.  For most of my clients that means somewhere between 2-4 rental properties.

MY AVERAGE CLIENT PROFILE
2-4 rental properties
$75,000 – $150,000 per year in income
Early 40’s

A couple things that stand out about the real estate investors that I work with.  Many, many, many of them are from California.  Most don’t start until they are in to their 40s.  Part of that is because many people don’t move in to higher incomes and/or have sufficient savings for real estate investing until that point.  Plus, let’s face it, you don’t (or, at least I didn’t) start thinking about retirement in your twenties and early thirties.

But to you twenty-somethings out there, why not build real estate in to your retirement with your first home?  Buy a duplex, and rent half out.  Or a smaller first home in a good neighborhood for renting?  We can talk strategies for you on the whole thing if you give me a call.

Unless you are willing to own many, many properties and do your own full time property management you probably are not going to retire just by owning rental properties.  But real estate is a very important asset to your retirement.  Let’s meet. I’ll explain why.  913-568-1579.

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Merry Christmas To All

I want to take a moment to wish each and every one of you a Merry Christmas.

To me, Christmas isn’t a time of getting and giving.  It’s not a time of strife and argument.  It’s not a time of drinking and carousing.  It’s a time of renewed hope.  A time when God sent to us a second chance.

It’s saddening to look around at our country right now.  With so much we seem to be doing so little.  I’m 49 years old.  I have vague memories of the late 60’s and early 70’s.  And it feels like we are heading back there.  A country divided.

My Christmas hope is that we can all stop for a moment, catch our breath and think about what could be.  How our lives, and those of the ones we love, can be better.  And don’t forget to make an opportunity to reach out to someone you may not know, or only know superficially.  Offer them hope.  It’s good for them.  And I think you’ll find it’s good for your soul, too.

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More Real Life Numbers For Real Estate Investors

People need to know the truth about real estate investing.  The truth is it takes money to make money.  There is nothing for free.  And that flipping isn’t investing, it’s a job.  I’m not saying you shouldn’t scrap to achieve.  But that is a whole other topic for a whole other time.

Back in September I did a post titled Investment Property Case Study.  So here is the follow up.

That very same portfolio is wrapping up the year.  So I thought I would show you the results of THIS YEAR only.

Gross Operating Income                 $525,869
Operating Expenses                       $182,330
Net Operating Income                     $343,539

That looks pretty good!  But the Operating Expenses are not complete.  This real estate investor group pays their own property taxes so I don’t have the exact number to enter.  But I’m going to guess somewhere around $58,000.  That would leave a real NOI of $285,539.

Based on their “all in” acquisition costs (only, not the “to-date” I used in the other post) that would leave them with an unadjusted Cap Rate of 10.2.  That would also be their Cash on Cash return.

So, not too shabby.  And let’s not forget that there has been a 36.3% increase in value of these properties since their acquisition.

Yes. Real estate investing can make you some serious dough.  Now, you don’t have to be an investment fund to make this happen. If you bought one, and then another and were getting these returns, what would your retirement look like?

A “Retirement worth having” doesn’t happen by accident.  Start today.  Give me a call.  913-568-1579

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