Comments on I Made Six Figures Off of Boring Interest Rates

By: Sophia

2023-11-07T16:52:19Z

Wow crazy!

By: Life Outside The Maze

2023-11-07T16:48:12Z

In reply to Sophia.

Wow Sophia that’s wild and thanks for sharing. Well done and best of luck. Denver actually lost population during the pandemic (probably to Miami haha) and Minnesota just punished landlords through the pandemic with an eviction moratorium that lasted 27 months as long a a renter applied for assistance from the state and then was waiting on a response. It was crazy that businesses were getting assistance payouts to stay solvent while landlords were getting squeezed. Not a fun time for me. I had tenants that told me they could pay but if they did they wouldn’t get state assistance. Meanwhile unemployment was at an all time low 🙁

By: Sophia

2023-11-07T15:26:23Z

Average tenant turnover is 3-5 years. Only basic maintenance. After covid the rental market soared by 30% in increase in rent. So originally I was only increasing the rent by market value of $100-200 per year. After covid, we changed tenants in all of the properties and there were people out bidding each other which drove the rental prices even higher than what we listed it for. I guess Miami/Florida may be an anomaly since many people and companies moved here during covid. It used to be pretty affordable – single family homes were $300-$400k before covid. Now they are $600k+ so everything has doubled incluing rent. Real estate sells are still high locally in comparison so the rest of the country.

By: Life Outside The Maze

2023-11-07T05:33:29Z

In reply to Sophia.

Wow doubled rent in 6 years?! I have so many questions. Do you raise rent the same amount every year? Average tenant turnover is how often? Any improvements each year or just maintenance? Is that common for the Miami area? That is mind blowing rent increase rate to me who is used to Colorado and the midwest for my rentals.

By: Sophia

2023-11-06T12:54:24Z

My rental property rental rates have doubled over the last 6 years. I am in the Miami market.

By: Life Outside The Maze

2023-11-01T19:27:35Z

In reply to freddy smidlap.

Thanks Freddy. It does feel good to lock in some solid gains and not have to deal with the craziness of the rental market for a change. Thanks for the heads up on taking a look at preferred shares and I hope this fall finds you well 🙂

By: freddy smidlap

2023-10-30T19:49:10Z

excellent series of moves! especially offloading the rental properties, in my opinion. i’ve seen so many only be able to accumulate for not wanting to ever pay any capital gains taxes. i’ll assume you made pretty good returns on those properties and realized the gains. capital gains taxes are part of the deal but now you have this heap of liquid money to re-deploy at your leisure.

regarding interest rates i feel like there will be an opportunity in preferred stock funds over the next few years. as you probably know lots of these funds are made up of preferred stocks from banks and insurance companies. with the small and medium banking crises and rising rates these preferred funds were absolutely hammered the past year and a half. so, companies issuing preferred shares today are putting higher coupon rate shares into the pipeline as we speak. if interest rates level off or return lower these kinds of funds will probably seem like a bargain in the future. i’m keeping an eye out at the very least. cheers!