Good morning BP family, this is my second time running a pulse and actually a long time. However like most of us it’s sometimes scary to get started. I recently came across multi unit property and I don’t know what to do. To say that I’m interested I this property is an understatement. For me it would be a dream to be a part of the deal. I just don’t know how to get it done.
So just a little background, I am 40 years old (young man) and have spent 25 years of my life working within building maintenance and construction industry. I’ve done everything from cleaning toilets to managing and administrating ￼. In 2011 my my wife and I wanted to change our fast paced life in NYC to something a bit slower, so we move to Coral Springs.
I actually know the property very well , because my family and I lived in 1 of the units for two years￼￼. I even worked with the landlord on repairing some.
The property being sold is centrally located in coral springs. It is listed as a multi family, but in fact it is 9 units 2/2 ￼’s with about 800sq ft each. This is not a rental community it is actually a condominium association. ￼ i’m sorry I keep rambling on but the bottom line is the unit is listed on the website for auction starting bid at $400,000. Now given the fact that I still have a relationship with the landlord who is also owner of two out of the nine units I’m sure that I can work out a deal I just don’t know how to get funded for the deal.￼￼￼
If anyone can help or have any suggestions on how to go about this, I’ll greatly appreciate it. Please, ask me any questions you have. I know that this is a value add property, and this is why I’m so interested in it because I know the potential that it has.
Thank you in advance to all the BP family for the support!!! ￼
First, "starting bid of $400k..." sounds like an Xhome auction. If so, the $400k is an irrelevant teaser number just to generate interest....the undisclosed reserved amount is probably double that. Plus, auctions, whether an REO or the actual foreclosure auction here are Very competitive and other investors will bid it up to actual value....probably well over 100 times the monthly gross rent.
Your post is a bit confusing....if the landlord you know owns only 2 of the 9 units then this sounds like maybe a tax deed auction.
This is a little confusing and I would be happy to help wherever I can. Definitely need more info though.
@Wayne Brooks Good Morning, Thank you for the reply. Your right my post is confusing, Not sure how to explain. The landlord owns 2 but manages all of the building. The property has been listed on several occasions, however it never sales. The original list price was of $4M . What see is that it is a value add. The property address is 7503 NW 44th Ct.
@Kevin Kohler Thank you Kevin, my appointment with the confusing post. I guess I’m just not used to blogging for help. I’m not sure what we could do to help me on this journey, like I said I’m in the blind, I don’t know where to start!
@John Soba Who, what lender/government agency is sending to auction?
@Wayne Brooks I found it on TenX, not sure?
Ok - realtor here
Kinda confused about your situation - my .2. cents would be to stay away from condo associations as very rarely do Condos really cash flow well as you have an HOA fee to take into consideration along with a lot of rules etc
auction - if you have the cash you are fine if you have to finance you might be up the creek without a paddle (unless you do a hard money loan)
You cant go the FHA route as its a condo and more than 4 units
my suggestions would be to do the regular FHA multi family home loan on a quad - I believe in browards and dade the limit is around 775-780k on a quad
the market is crazy at the moment in suit florida so you are looking closer to a 5-7% cap rate on most multi families
shoot me a message if you need ore info or want me to run numbers for you im based up in west palm
@John Soba Okay, tenx is just a platform to sell real estate and they do auctions for sellers....no distressed situation here, they’ll be looking for top dollar.
@Dorian Weber thank you for the input, yeah I'm pretty familiar with HOA because I work with and in property management company for 4 yrs (First Service Residential) .. but It's hard to explain the situation, believe me that this building is not your typical HOA,, really the property needs to be converted to a rental community.
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