I'm trying to get my feet wet in commerical real estate-specifically multifamily properties. Need someone that is reliable, knows areas to avoid, and can provide great and timely feedback. I'm new to this so will likely ask a lot of questions and am not currently located in Illinois.
It's good that you were specific and mentioned multifamily.
You need to take it a step further and talk about deal size.
For example there might be many brokers for multifamily but some deal in quad's for 500k and others deal in 100 unit apartment buildings for 6 million etc.
So there is a wide range there you need to narrow down further. Also mentioning if you want a vacant building, 50% occupied value add, or fully stabilized with a great cash flow stream should help.
Tony Hardy from Marcus & Millichap has a great knowledge of deals to be found or Ted Stratman from Interra Realty. We have bought buildings with both guys.
Great! Thanks for the feedback. I know what to clarify in the future.
In the grand scheme of things I'm new and rather small time! No specific set of units but my limiting factor is captial I'd like to put up for this right now. The ultimate goal right now is cash flow but I'd buy a vacant building if minimal work is needed. Will save value add for when I get experience and have more captial to allocate to this type of investment. I've budgeted 100k. Would like to get into 1 or two lower cost buildings (preferably the ladder) that have a CAP rate of at least 12.50%.
Have excellent credit, make 130k a year and have only one property right now so I can get loans. Buildings with little to no vacany would be better because I can obtain a asset based loans and not have it count against me. Opportunities where sellers are willing to carry a second note for a portion or all of the downpayment would be good too as it would extend the captial I'm working with.
What size deals?
A couple of 150k-200k deals or a 325k-375k deal. If some seller financing is involved at some point all numbers can increase.
@Kevinn Harris call Brad Feldman at Interra Realty.
Great, thank you.
Thanks Mark for mentioning me. Seems like a great site. I found it because of your post. We have a ton of inventory, let's talk soon.
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