Hi everyone! I am new to BiggerPockets and wanted to introduce myself. I'm excited to get the ball rolling on more properties. I am still very new to this and soaking in all the information I can. I would like to stick to the Colorado market as I live here and am more comfortable with it. However, as I'm sure most of you know, the market has been crazy here! Hard to find a good deal, or maybe I haven't been looking in the right place? I am working on my Real Estate license to have access to MLS listings. Would love to hear any other advise or what you know about Colorado. Thanks guys!
@Amanda O'Mara Welcome to BP. Access to the MLS can be helpful but not necessary, taking the course for your RE license will certainly give a much better understanding to the ins and outs of how real estate transactions transpire. The best deals are happening off market right now.
Good Luck and let me know how I can be a resource as you continue your journey.
@Travis Sperr Thanks for the reply! If the best deals are happening off market right now...where do I find these deals?? I've heard there are more people moving here than we have homes available. The solution... new developments, and boy is that a whole new ballgame! But where there is a will, there is a way! Curious, what kind of loan process would you recommend? And what kind of down payment is required nowadays for something like that?
Mostly from wholesalers -there are a lot of them in the area, some are much better than others. I am not sure what you are asking in regards to the loan and down payment - for new construction projects?
I have had bad experience with wholesalers in the past. I have yet to find a good one. I am exploring the idea of building a multi-family to use as a buy and hold. Sorry my question was so vague...I was wondering about construction loans and how those work here in Colorado?
@Amanda O'Mara I think you will have more success finding a deal from a wholesaler than building a profitable small multifamily building. People doing building are telling me that it is costing somewhere in the $300 per square foot (all in) to build those types of buildings (small apartment style). The economics of that mean that it's hard to find tenants that can pay what you need to get a return on your investment. Keep in mind, you will also be competing with about 10,000 other units currently under construction. Do your numbers forward and backward before jumping into those waters.
With wholesalers, keep in mind they have mouths to feed as well. I know there are a lot of bad deals being offered and some are getting bought as well. You will find better wholesalers if you have cash in your pocket and know what you are doing. Demand is so high right now that if a wholesaler offers a good deal, it's going to be with someone they know can close. In your case, you need to figure a way to convince them that you are that person. Cash speaks with a megaphone in this case.
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