Comments on: How to Buy an Apartment Building http://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/ Learn, Network, Invest Sat, 11 Feb 2012 23:51:37 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: James Grayhttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-81214 James Gray Mon, 19 Apr 2010 20:32:56 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-81214 hey folks my story is i grew up poor my whole life i'm also only 20 years of age i saved up 10 grand to finally move out on my own working at mcdonalds instead of moving out on my own losing money everymonth and living in a aprtment i thought maybe i could buy my own apartment but how ? i dont wanna be poor my whole life and my goal in life is to be rich but how should i approach my next step in life like the author from poor dad rich dad says you need to buy assets for generating income each month how can i get that with only 10 grand saved up ? .-= James Gray ´s last blog ..<a href="http://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/comment-page-1/#comment-76771" rel="nofollow">By: Farok</a> =-. hey folks my story is i grew up poor my whole life i’m also only 20 years of age i saved up 10 grand to finally move out on my own working at mcdonalds instead of moving out on my own losing money everymonth and living in a aprtment i thought maybe i could buy my own apartment but how ? i dont wanna be poor my whole life and my goal in life is to be rich but how should i approach my next step in life like the author from poor dad rich dad says you need to buy assets for generating income each month how can i get that with only 10 grand saved up ?
.-= James Gray ´s last blog ..By: Farok =-.

]]> By: Farokhttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-76771 Farok Thu, 31 Dec 2009 16:54:11 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-76771 You say that you meet sellers quite often who are willing to carry, I am finding out that sellers are reluctant to carry at the properties that I am looking at with a good cash flow. You say that you meet sellers quite often who are willing to carry, I am finding out that sellers are reluctant to carry at the properties that I am looking at with a good cash flow.

]]> By: Natehttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-75101 Nate Mon, 09 Nov 2009 18:11:53 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-75101 Michael - A good website for locating apartment buildings in Orange County (and elsewhere in the US) is loopnet.com. Also, I would highly recommend partnering with a local commercial broker; my recommendation is Pat Swanson w/ Colliers (email: Pat.Swanson@colliers.com). Pat is extremely professional and will work very hard to produce results for you. A lot of the properties he found for me weren't listed on any website. Michael – A good website for locating apartment buildings in Orange County (and elsewhere in the US) is loopnet.com. Also, I would highly recommend partnering with a local commercial broker; my recommendation is Pat Swanson w/ Colliers (email: Pat.Swanson@colliers.com). Pat is extremely professional and will work very hard to produce results for you. A lot of the properties he found for me weren’t listed on any website.

]]> By: Michaelhttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-72412 Michael Fri, 25 Sep 2009 21:58:51 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-72412 I am 26 with perfect credit. I have a grandfather that is willing to loan me 200k to put as a down on an apartment building. I am hoping to buy in orange county and was wondering where do I start looking. Is there a good site with good listings? I am 26 with perfect credit. I have a grandfather that is willing to loan me 200k to put as a down on an apartment building. I am hoping to buy in orange county and was wondering where do I start looking. Is there a good site with good listings?

]]> By: Commercial Mortgage Loans - MasterPlan Capital LLC - Glennhttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-59149 Commercial Mortgage Loans - MasterPlan Capital LLC - Glenn Fri, 08 Aug 2008 04:51:31 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-59149 In this market it is very hard to find a bargain or even a good deal on an apartment building that has positive cash flow. Smart property owner are not selling profit making buildings into a weak market. Why would they?Virtually all my loans in the multi-family space are refinancing today. It’s just very tough to make the numbers work on purchase loans in this environment. In this market it is very hard to find a bargain or even a good deal on an apartment building that has positive cash flow. Smart property owner are not selling profit making buildings into a weak market. Why would they?

Virtually all my loans in the multi-family space are refinancing today. It’s just very tough to make the numbers work on purchase loans in this environment.

]]> By: cedar city real estatehttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-59123 cedar city real estate Thu, 07 Aug 2008 20:18:46 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-59123 I agree with developing your analytical tools. Knowing how to analyze good deals in real estate is essential, especially with commercial real estate. I agree with developing your analytical tools. Knowing how to analyze good deals in real estate is essential, especially with commercial real estate.

]]> By: Trevor Mauchhttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-59080 Trevor Mauch Thu, 07 Aug 2008 00:00:47 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-59080 Hey Ted,Great article. Completely true... I used to work in commercial lending and many buyers come in with grand thoughts on how the financing works. Banks like to see buyers with "skin in the deal" and will require some kind of money down.But...That's when you're buying using regular bank financing... and bank financing is only one way to buy an apartment building.Ryan, I bought my first apartment building when I was 21 (I'm 26 now) with only about $500 bucks out of my own pocket... had the owner carry back almost the entire note (I borrowed another $10k from a private lender).So... yes there are creative ways to buy property... especially when the seller is at or nearing retirement age and doesn't want to manage properties anymore... and wants a tax deferred stream of income.Find sellers who have owned the property for more than 10 years, talk to them, make them feel comfortable that you can and will repay the note, and structure a seller carry that works for both of you.With all of these baby boomers selling nowadays... there are all kinds of deals like this on the market (believe me... I see them weekly).Good luck... and great article Ted!Cheers,Trevor Trevor Mauch Hey Ted,

Great article. Completely true… I used to work in commercial lending and many buyers come in with grand thoughts on how the financing works. Banks like to see buyers with “skin in the deal” and will require some kind of money down.

But…

That’s when you’re buying using regular bank financing… and bank financing is only one way to buy an apartment building.

Ryan, I bought my first apartment building when I was 21 (I’m 26 now) with only about $500 bucks out of my own pocket… had the owner carry back almost the entire note (I borrowed another $10k from a private lender).

So… yes there are creative ways to buy property… especially when the seller is at or nearing retirement age and doesn’t want to manage properties anymore… and wants a tax deferred stream of income.

Find sellers who have owned the property for more than 10 years, talk to them, make them feel comfortable that you can and will repay the note, and structure a seller carry that works for both of you.

With all of these baby boomers selling nowadays… there are all kinds of deals like this on the market (believe me… I see them weekly).

Good luck… and great article Ted!

Cheers,

Trevor
Trevor Mauch

]]> By: Ryan Waggonerhttp://www.biggerpockets.com/renewsblog/2008/08/05/how-to-buy-an-apartment-building/#comment-59069 Ryan Waggoner Wed, 06 Aug 2008 13:24:57 +0000 http://www.biggerpockets.com/renewsblog/?p=1148#comment-59069 I guess the main question that I have regarding this is whether it's feasible to purchase an apartment building with some kind of creative financing. Specifically, something like a 80/15/5 deal or something, where the seller carries back a second.My situation is that I have a small portfolio of residential properties with great performance, but my equity is tied up in those properties and now is a good time to be buying, not selling. I really want to buy something larger, but is the bank going to allow something like the situation above, assuming the numbers are solid?I see a lot of stuff about reading (I have), assembling a great team (I am), but I see less about coming up with $160k to put 20% down on an $800k apartment building. How can you get around that? I guess the main question that I have regarding this is whether it’s feasible to purchase an apartment building with some kind of creative financing. Specifically, something like a 80/15/5 deal or something, where the seller carries back a second.

My situation is that I have a small portfolio of residential properties with great performance, but my equity is tied up in those properties and now is a good time to be buying, not selling. I really want to buy something larger, but is the bank going to allow something like the situation above, assuming the numbers are solid?

I see a lot of stuff about reading (I have), assembling a great team (I am), but I see less about coming up with $160k to put 20% down on an $800k apartment building. How can you get around that?

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