Rental Property Investor · Member since 2018 · 55 posts · 14 votes
So im pressed for time and i only have 30, 35 days to find analyze inspect appraise and close on a Multi family i need a Pro's Advice i also need alot of different perspectives on were to look and how to go about it what strategy and process do you use ?
Investor · Santa Rosa, CA · Member since 2012 · 2k+ posts · 7k+ votes
7y
I can only think of one way to do this:
1. Don't be picky about what property you buy
2. Grossly overpay so that you make sure your offer is accepted
3. Pay cash so you don't have to get lender-required inspections, appraisals and all of those hassles nor have a pesky lender underwriting your deal.
If that sounds like a recipe for disaster or a totally bad investment strategy, that's because it is. Buying property with a gun pointed at your head is truly Russian Roulette.
Rental Property Investor · St. Paul, MN · Member since 2016 · 3k+ posts · 3k+ votes
7y
Why the time crunch? To get a good deal, you will need to cultivate relationships and research markets. Building relationships with RE brokers, property managers, lenders, appraisers, inspectors, etc, is necessary in order to find a solid deal.
Investor · Santa Rosa, CA · Member since 2012 · 2k+ posts · 7k+ votes
7y
I can only think of one way to do this:
1. Don't be picky about what property you buy
2. Grossly overpay so that you make sure your offer is accepted
3. Pay cash so you don't have to get lender-required inspections, appraisals and all of those hassles nor have a pesky lender underwriting your deal.
If that sounds like a recipe for disaster or a totally bad investment strategy, that's because it is. Buying property with a gun pointed at your head is truly Russian Roulette.
Rental Property Investor · Member since 2018 · 55 posts · 14 votes
7y
@Todd Dexheimer i've been looking for a months however i have not narrowed it down to a selection of options because of the variety of states im looking in. I think i ultimately have to decide on one state to invest in and then really decide on what numbers work what quality/class of living im most inclined to deal with. I have lenders i have spoken with and built some connection with however there is other things i have to develop and establish as far as my connections go i do intend on getting more of a resourceful network realtor,wholesaler and property management.
@Brian Burke & @Todd Dexheimer I am having a issue with deciding on a state to invest in i wanna ask you what do you think would be your top 5 places to invest
im currently leveraging 115k down 20% using 500k to invest in multi families (2-4) conventional or(5-14 ) commercial
What advice can you give me in this process and what do you think will be most important?
- I spent 2 months researching specific market (demographics, job and population growth, income, crime, desirability of various neighborhoods, rental rates, vacancy rates, etc...) all while analyzing about 100 properties in that city.
- I narrowed my search to 15 properties that performed well on paper
- I booked 2 days with the real estate agent (who I've been in contact with for the last 2 months) and he arranged viewings for 12 out of 15 of the properties
- I booked a hotel and drove out there and we walked through every unit of every property. I took notes and pictures.
- I re-worked my numbers after having seen the properties in person
- I just finished making offers on 4 of them... and I'll be lucky if any of them are accepted. By the way, only one of the offers is a cash offer with a closing date of Dec 28th.
So, it's technically possible if you start at the last step! But I'm afraid, as Brian said, that without the foundational knowledge to know a good deal when you see it, you're taking a huge risk.
I tell you what, if my cash deal gets accepted, I'll wholesale it to you. You get to keep the Dec 28th closing date! It's a 4-plex, in rough shape, fully rented to potheads. All units are 2 bedroom. It's appraised at $122,300 and listed at 80k. I'll reassign it to you for 55k. The seller is motivated, needs the cash and needs to move out of the country by March. It's been on the market for nearly a year, and he's getting desperate to sell. If you're interested I'll send you the info if/when I get it under contract. I was considering wholesaling this one anyway because I don't want to deal with the potheads and their piles of garbage lol. If it helps you out with whatever time-sensitive situation you've got then it's a win-win for both of us!
Rental Property Investor · Member since 2018 · 55 posts · 14 votes
7y
@Trevor Gaal I analyzed 500 properties this month % of convenience by location and all surroundings all historic progression in rent rates in comparison to the national number Vacancy closing/opening numbers performance volume all the numbers state and county migration/natural reproducing population numbers economic strength/growth down to the gender/race % ratio crimes/corrections & types of crimes, flood and natural disasters occurrences with severity considered and all the property details to make sure the properties it self is up to expectation.
my main issue at the time is state selection im from NJ i been looking in TX,PA,FL,NC,GA,OH,IL and other states in the mid west however i think the network i have isn't cutting it for what im looking for my main aim is a 8-14 unit apartment building i i only went small because of the lack of connections i have at this time so i can see everything that's available.
Rental Property Investor · Halifax, NS · Member since 2018 · 55 posts · 103 votes
7y
Nice, It sounds like you're on it!
I think we're all curious as to why you need to close a deal within the next 30-35 days? Is that a deadline you've set for yourself and you just really want to achieve that goal? It's okay to reset your goals. All of BP is giving you permission to reset your goal and do a good deal rather than rushing into something and getting screwed! We like to see BP members succeed!
Rental Property Investor · Member since 2018 · 55 posts · 14 votes
7y
@Trevor Gaal its not a bad goal i did it last month i know guys that close multiple deals in 30 days however they have a team that's what i don't have yet but i will soon im networking now heavy its im focusing on a new area and a better network im 24/7 gotta make sure i get a lil sleep type grinding.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
7y
It seems the main issue is you’re trying to analyze too many different areas and parameters. It doesn’t sound like you’ve even made an offer? Even with an accepted offer in hand, you won’t be closing in 30 days with financing, particularly since I’m guessing you have no relationship with a lender yet where you’ll be buying.
To be honest, I don't know anyone who can analyze 500 properties a month. I'm sure you have a great system but it does not sound like you are doing any analysis with true depth. Just putting numbers into an online "calculator" or spreadsheet doesn't count as analysis.
Also, you are looking at too many states and too many thing. Narrow your decision-making down to 1-2 markets in 1-2 states MAX. Then take a deep dive into each market and NEVER invest with a gun pointed at your head.
Rental Property Investor · Member since 2018 · 55 posts · 14 votes
7y
@Cody DeLong i'm not avoiding the question im transitioning out of state i closed on two 2 different duplexes in 30 days 3 months ago in Hamilton nj now im about to sale my primary residence for 290k and im moving out of state to house hack a duplex. In the state were i move most likely texas or pa being these are the 2 states i have contracts on properties already i intend on investing in a commercial apartment building.
@Wayne brooks
@Wayne Brooks i've made plenty offers and i work closely with 2 different lenders.
The main purpose of this post was to get different views on states that are potential lanes for investments and or investors that are already invested in some states with insight to share or properties that they would like to make me aware of as a pointer
Rental Property Investor · Dallas, TX · Member since 2017 · 1k+ posts · 1k+ votes
7y
@Darius Anderson Once we pick our preferred markets (based on a combo of simple econometric modeling, economic research and where we already own assets), we just focus on 2-3 sub-markets in 2-3 MSAs at a given moment in time. Honestly, unless you have a sizable team of seasoned pros or run a PE slave-shop where you can grind Ivy-league analysts for 100+ hours, you will be fighting a losing battle.
You've got to reduce the noise. Often times, more data is not better data. It can give you analysis paralysis.
Your right you sound like my one of main Guy's hes been in business 55 years most successful Guy in the city im located in he tells me the same thing you just said not all info is the best info its the stuff you need to know that's vital that you need to focus on. ima read your post.
Specialist · Delran, NJ · Member since 2016 · 2k+ posts · 951 votes
7y
If you want opinions on states to invest in you can just take a look around the forums. At least 3 people ask this question every day and I never understand it (especially if you're choosing a state to live in). Why anyone would take the advice of a stranger online where to move to or buy a property is beyond me. I have a friend who invests in an area of Delaware that is essentially flat in terms of job growth and a number of other factors that most real estate investors wouldn't even bat an eyelash at. But he invests there because he understands it and it works for him. People ask him all the time why he doesn't invest in this market and that market because they're so "hot". He tells them he doesn't understand them so he doesn't invest there. A lot of times if a market is hot or someone says you should invest there, it's because they and several other good investors invest there. Why would you want to invest there and compete with them?
My advice? Don't look for other people to answer the question for you. Do the research, determine what criteria matter the most to you, and make a decision. If you've got a mentor or some other investors you know that you want to bounce your thoughts off of then so be it. But don't look for the golden goose to be handed to you.
Rental Property Investor · Member since 2018 · 55 posts · 14 votes
7y
@Maurice Smith no rushing my G 30,35 days aint bad to peep a property and do your due diligence on everything you need to know and buy it. I set goals different than most i hustled my whole life so my view from were i sit is totally different dig me.
Rental Property Investor · Member since 2018 · 55 posts · 14 votes
7y
@Odie Ayaga ima give it to you like this different people have lived and experienced different cities conditions and environments so if i can get the intel from some 1 pros and cons before i move on something ima take it how i can get it i been to alot of different states that dont mean it aint better places and lanes to venture into so i asked so i could see if the feed back a be some what of a indication of a couple good places i grew up in the hood and not just in one Newark,NY,Philly down south idc were the money is ima go get it period and questions always give you a answer might now be the one you want but atleast you a get something my other post was heavy with different areas specifics data network building bridging gaps and making of connections so i took that and ran with it soak it and use it to my advantage by applying it the best way i know how but i def. Understand were you coming from
@Maurice Smith no rushing my G 30,35 days aint bad to peep a property and do your due diligence on everything you need to know and buy it. I set goals different than most i hustled my whole life so my view from were i sit is totally different dig me.
i can digg it. congrats on your journey, dont let anybody discourage you from accomplishing your dreams / goals
Specialist · Delran, NJ · Member since 2016 · 2k+ posts · 951 votes
7y
You're unlikely to get a lot of responses from all over the country with such a generic post if that's what you are seeking. If that's what you want then I would break down the different things you're looking for (e.g. "what's it like in Austin, TX with regards to X, X,X?") and post in the forums for that area or post elsewhere, but use specific keywords that will trigger for people who have keywords set up for that area. You could also check out meetup.com for groups in the areas you're interested and see if they might have some info online or people you might reach out to. Also, you should set up your own keyword alerts for your areas of interest so you can see what's being said about them and who is saying it and potentially reach out to those people. Best of luck @Darius Anderson! Give us an update in 35 days if not sooner!