How to Wholesale

Question

I am basically new to the real estate investment world and an 8 unit commercial property just kind of landed in my lap.

What would you do? and how?

Sandra Ruiz · Answer

Hi Anson Young-- Yes! Networking is key, I'm going to the local REIA mtg on Tuesday. Thanks for the tax records info -- that's a great idea. About valuating the property, what's the best way to get that done without killing my finances (which are virtually nil right now)?

Hi Karen Margrave-- Thanks for the welcome! I've already learned so much from BP.  About the property, it's a home that has been converted to 8 units in a desirable area of Miami Beach, FL -- it neighbors a few other multi-family buildings as well as million dollar homes -- golf course and private island nearby -- when I say it landed in my lap I mean it belongs to a close friend of my family who does not want to list it and needs cash -- yes, there is still a small amount on the loan and the property has about 40% equity (I need to verify that number though) -- properties in the area range in value from $850K to $2.5M, although there are outliers -- from what I've been learning, my next step is to get it under contract -- what information should I ask for in order to do this intelligently?

Thanks for your replies and feel free to add me as a colleague!

Anson Young · Answer

Network, network, network.  Valuate the property to determine market value, and where you would need to sell it at to make a profit.  Search tax records of nearby building owners and start reaching out to them to see if they are interested in another building in the area.  Investor meetups, or here on BP to see if there is interest.

Karen Margrave · Answer

Sandra Ruiz First off, Welcome to BP! As for your post, we need a little more information. You say it's an 8 unit commercial property, do you mean an apartment building or ?  What do you mean it landed in your lap? Did someone give it to you? Is there money owed on it? Do you know values of similar properties?