I bought this 8 unit multifamily off market and its amazing

I bought this 8 unit multifamily off market and its amazing

Rental Property Investor · San Diego, CA · Member since 2017 · 57 posts · 62 votes

Hi I am Erin, I fix and flipped over 200 houses bought and sold land, I currently own or have owned duplexes, fourplexes and single family rentals, office buildings and retail units and I can honestly say mult-family is my favorite.

Only over the last few years have I started to get serious about multifamily investing. 

My experience from flipping houses has really translated well into renovating these smaller apartments:

When I transitioned into commercial real estate investing in 2012 from starting with zero nada (infact I dropped out of business school to get into real estate but found myself waiting tables instead) in 2008 it was a whole new world. Getting into commercial real estate felt like I was starting from scratch. 

However, multifamily value add deals were vary familiar or similar to flipping houses - where I can pick something up where the seller is motivated, where the property is off market and doesnt have a ton of sharks circling the deal and most importantly the seller has not increased or not aware of the current market rents has allowed me to make more money in this space/asset class on one multifamily (this 8 unit) property than I would have made on 10 fix and flips. Crazy. 

I feel quite upset with myself for not getting into apartments sooner. Dont get me wrong I am appreciative and its been quite a journey to get here and i'm happy with my diversified portfolio but dam I cant help but think about what things would look like if I got into this in 2008 - hide sight is 2020. (actually next year is 2020) It's motivating. 

#newgoals

So I currently I have 40 multifamily units. I decided I am going to focus on this category and set an aggressive goal of building my multifamily portfolio up to 400 units in the next 2 years. I have been following guys like @Joe Fairless, @Grant Cardone and @James Randal who have really been quite inspirational and I want to thank them for sharing their knowledge. 

So to clarify my goal is to get up to 400 units by the end of 2020 - I hope you guys can keep me accountable 

If you can share when was a time you missed a goal or an opportunity and then worked your butt off to make up for it I'd love to hear about it. 

Below is a drone shot of the 8 plex and a motivating quote that resonated with me. Crush it in 2019

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Pittsburgh, PA · Member since 2012 · 10 posts · 9 votes
7y

@Erin Wicomb any advice or books you would recommend for those that are interested in larger multifamily properties?

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  • Rental Property Investor · Member since 2018 · 483 posts · 956 votes
    7y

    @Erin Wicomb 

    Congratulations! That's a nice looking property. Good luck on reaching your goal. With your experience and motivation you should have no problem getting there.

  • Rental Property Investor · Cumming, GA · Member since 2017 · 66 posts · 15 votes
    7y

    @Monique Rene Coates Hi MRC , I am interested to invest in GA and FL, please PM me.

    Thanks,Trin

  • Rental Property Investor · Los Angeles · Member since 2018 · 32 posts · 17 votes
    7y

    Hi Erin!!

    I'm ready to crush it as well in 2019! I'm a complete newbie to REI and eager to learn from an experienced mentor. I don't come empty handed though and I've been looking for a team to join and build something with. I'm dedicated to making RE work for me as I am convinced that it is a tool that will help reach my goals in life - financial freedom, more time with my family, more flexibility to care for my aging parents and travelling.

    I have and can offer my skills and talents, if interested. Some highlights include:

    • Multiple degrees - I recently completed a dual Masters program focused on Business Leadership and Dispute Resolution 

    •Professional property management experience 

    •Detailed oriented

    •Trained Mediator with experience in Landlord-Tenant, Neighbor-Neighbor, Small Business disputes

    • 5 years of Project Management experience

    Please feel free to connect with me to see if an opportunity exists to work together!

  • Pittsburgh, PA · Member since 2012 · 10 posts · 9 votes
    7y

    @Erin Wicomb any advice or books you would recommend for those that are interested in larger multifamily properties?

  • Member since 2018 · 83 posts · 66 votes
    7y

    Great job on the 8-plex... love the story.  I agree... hindsight will make you want to kick yourself, but we just have to look ahead.  Good luck this year!

  • Investor · Charlotte, NC · Member since 2017 · 791 posts · 479 votes
    7y

    @Erin Wicomb congrats on all of your success. Thanks for sharing your story. What are some actionable steps you've laid out to hit your goal of 400 units? 

  • Specialist · Chicago, IL · Member since 2019 · 4 posts · 4 votes
    7y

    @Erin Wicomb

    Congrats on the recent acquisition! Looks like a great property.

    My passion is in helping investors like yourself reach their goals through providing a powerful cash flow strategy; engineering-based cost segregation.

    Typically for every $1MM in cost basis my firm and I can free up 7-10% in cash flow for you. That’s $70 - $100,000 per $1MM.

    Most of my clients use this new found cash flow to pay down debt, purchase more property, pay towards their principle tax payment, etc.

    Would love to hear more about yourself/your business and see how we may be of benefit to one another through some level of collaboration. -KC

  • Rental Property Investor · San Diego, CA · Member since 2017 · 57 posts · 62 votes
    7y

    @cliffordpaul Thanks bud for positive vibes what are some of your goals?

  • Rental Property Investor · San Diego, CA · Member since 2017 · 57 posts · 62 votes
    7y

    @William Hines definitely check out confessions of real estate entrepreneur ! - One of my favs

  • Pittsburgh, PA · Member since 2012 · 10 posts · 9 votes
    7y

    @Erin Wicomb thanks, I will check it out

  • Atlanta · Member since 2018 · 3 posts · 0 votes
    7y

    Thats AMAZING!! Congrats! I have huge goals for myself:

    Multifamily units, NNN, subdivisions nationwide and more.

    For now, I provide off-market commercial property deals for people like yourself nationwide straight from hedge funds

    What do you suggest would be a good transition for me into owning for myself?

  • Atlanta · Member since 2018 · 3 posts · 0 votes
    7y

    Thats AMAZING!! Congrats! I have huge goals for myself:

    Multifamily units, NNN, subdivisions nationwide and more.

    For now, I provide off-market commercial property deals for people like yourself nationwide straight from hedge funds

    What do you suggest would be a good transition for me into owning for myself?

  • Member since 2019 · 4 posts · 0 votes
    7y

    Erin, hows 2019 been so far? 2020 is right around the corner and wanted to see how your goal is coming along!

  • Rental Property Investor · San Diego, CA · Member since 2017 · 57 posts · 62 votes
    7y

    @Alex Jr 

    Going good just picked up another 8 plex : 

    https://www.sdbj.com/news/2019...

  • Rental Property Investor · San Diego, CA · Member since 2017 · 57 posts · 62 votes
    7y

    @Account Closed Hi bud best advice I can give you is to focus on building relationships closing on small deals and then building your way up. I started buying single families then moved my way up to larger multifamilies and commercial deals. 

    Also focus on identifying motivated sellers there are always people that need to sell for specific reasons I can call it the 5 D's : 

    Death, Disease, Divorce, Disaster and Distance. 

    Get in front of people that need to sell and become known in your market as someone that can close on deals and you will get more deals sent to you. That is what I mean by focusing on relationships. If you can help people solve their problems and make a profit and positive cash flow its a huge win for all parties. 

  • Rental Property Investor · San Diego, CA · Member since 2017 · 57 posts · 62 votes
    7y

    @Jovan Nurse My suggestion is to start brokering deals that you can almost do yourself. Start gathering resources such as contacts, capital partners, lenders, prop managers etc and then add value to other peoples transactions which will allow you to develop your own community and relationships in your market and that should make it easier for you to start to build your portfolio

  • Atlanta · Member since 2018 · 3 posts · 0 votes
    7y

    @Erin Wicomb Thank you! I have already begun that journey. I do have some really great people in my corner: Private lenders, agents, wholesalers, mentors... I'm excited!

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