Full Time Employee/ multiple BRRRR side hustle 28.75% to goal

Full Time Employee/ multiple BRRRR side hustle 28.75% to goal

William CollinsPro Member
Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes

Here is my accountability update for my goals:  achieving $20,000 cash flow per month (10,000 for me, 10,000 for my cousin).  All of these are in Connecticut using @Michael Noto to help on acquisition.   We do use PM so we can focus on the projects. 

So far:

1) Triplex in New Britain- BRRRR complete and fully operational acquired spring 2015

                 2625 Rent Roll 100,000 acquisition 50,000 renovation, 140,000 refinance out 190,000 valuation

                 Cash flow total for this above everything else $600 or 3% of the goal.

2) Duplex in Manchester- BRRRR complete acquired fall 2015

                 2500 Rent Roll 60,000 acquisition 60,000 renovation, 140,000 refinanced out 190,000 valuation.

                 Cash flow above expenses $600 or 3% of the goal.

3) Duplex in New Britain- Auction.com buy at the refinance stage. Acquired Spring of 2016

                 2475 rent roll 75,000 acquisition 20,000 renovation, looking to refinanced out  120,000 for a 160,000 valuation

                 Cash flow above expenses of $500 or 2.75% of the goal.

4) Duplex in New Britain- bad foundation, MLS deal acquired summer of 2016

                2600 rent roll 85,000 acquisition 35,000 renovation, refinanced out 115,000 for a 220,000 valuation ( high)

                Cash flow above expenses of $600 or 3% of the goal.

5). Duplex in Manchester- acquired from wholesaler @Jerryll Noorden for $77000 summer of 2016

               2250 rent roll 77,000 acquisition 40,000 renovation, refinance out 126,000 for a 168,000 valuation

              Cash flow above expenses of $400 to 2% of the goal.

Mid rennovation:

6) Duplex in Manchester- acquired from MLS fall of 2016 estimated July completion

              2800 rent roll estimated 75,000 acquisition. 70,000 renovation valuation estimate $210,000 looking for 75% refi

              Cash flow above expenses of $800 or 4% of the goal

7) Duplex in Manchester- acquired from online auction in Winter of 2016 estimated July completion

              2800 rent roll estimated 83,000 acquisition.  70,000 renovation valuation estimate of $210,000 looking for 75% refi

              Cash flow above expenses of $800 or 4% of the goal

8) Triplex in Berlin- acquired from auction winter of 2016

             4200 rent roll estimated 125,000 acquisition. 85,000 renovation,  valuation estimate of $300,000 looking for 75% refi

             Cash Flow above expense of $1000 or 5% of goal

In acquisition:

9) Duplex in Bristol- acquiring from MLS end of May 2017

             2200 rent roll estimated 90,000 acquisition, 25,000 renovation, valuation estimate of $160,000 looking for 75% refit

             Cash flow above expense of $400 or 2% of the goal

We also have 1flip about to sell in June, and 1 flip buy to close in June.

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Investor · Cleveland, OH · Member since 2015 · 6k+ posts · 2k+ votes
9y

@William Collins, I notice that sometimes you get to refi out MORE than your outlay. Kudos!

Given that you could've, you didn't for number 4 ie. (Only) $115k out on a $220k valuation?

But certainly, you're on the right track. Don't forget, every month that goes by will (slowly) increase the percentage of your goal achieved any way, purely because of the loan pay down effect! Cheers!

See this reply in the discussion

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  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @Joe J.  

    1) I do not, I don't have the time for pursuing a license.  I work with an investor/realtor @Michael Noto  to be my broker.

    2) Oh yes I have improved.  I now assume everything is bad until proven otherwise.  If there could be knob and tube in the house- there is.  If the pipes could be bad they are.  So my default offer assumes border line gut job.   So scope is bigger by default, and therefore my surprises are only pleasant ones.

  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @Terry Lao I am primarily working in C to B towns and finding full copper rip outs at that price is easily doable. In my original post I said what each was (MLS, Wholesales, or online auction). I have not done a direct buy from a seller yet or private listings. My average purchase price is about 70,000 (I just had an offer accepted on a quad for that yesterday).

  • Investor · Fountain Valley, CA · Member since 2017 · 34 posts · 7 votes
    9y
    Originally posted by @Terry Lao:

    @William Collins

    your previous posts said " look for properties that have been on market for extended periods of time" Are these on MLS, wholesalers, FSBO, or private listings? How do you find these 70% ARV?

    $200k for ARV, gives only $140k for purchase and repairs. Are these hard to find?

    I'm looking at Las Vegas, and hard to find duplux, triplex, or quad that fits your business model.

    Terry Lao

     You're not going to find deals like these in "hot" cities, especially in the west coast.  Better luck in the midwest.  

  • Investor · New Hartford, CT · Member since 2016 · 282 posts · 104 votes
    9y

    Good to hear others in CT are doing well - I am just getting started on my real estate investing journey but I hope at some point to be out there killing it like you!

  • Lebanon County, PA · Member since 2015 · 49 posts · 6 votes
    9y

    Awesome job and so inspiring! Are you using HML to fund the rehab costs?

  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @Vu T. That is correct, I am lucky in that the unwind of multiple REO's in the area have left some older stock.

    @James McCard  It takes hustle to do it.   Remember even in the New Hartford area they are bargains to be had.

    @Kyle 

    @Kyle Wenger HML is being used on bargains which we can't cover by the HELOC.

  • James MasottiPro Member
    Rental Property Investor · Washington Township, NJ · Member since 2015 · 1k+ posts · 976 votes
    9y

    @William Collins - Awesome work man! My partner and I also work full-time jobs and Over the next year we'll also be doing 2-3 active projects at a time and as our systems improve hope to increase that even further next year
     

    Curious what systems do you currently use to track all of your different properties in different stages (rented, under renovation, under contract, etc.)?

  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @James Masotti  Thank you.  I use a couple different systems- but primarily Trello which is a project management software. 

  • James MasottiPro Member
    Rental Property Investor · Washington Township, NJ · Member since 2015 · 1k+ posts · 976 votes
    9y

    @William Collins - What made you decide on using Trello instead of another system from your PM?

  • Rick SantasierePro Member
    Real Estate Broker · Granby, CT · Member since 2015 · 695 posts · 317 votes
    9y
    Thanks for the share Bill! You've surely been busy. Hopefully we can hook up one of these days. Nice work on your scale my friend.
  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @James Masotti  With Trello I can use it to track multiple different projects on one board.  I have been able to set up a master "gut the pig and rebuild it" board which I can reutilize time and time again.  It is also great for tracking status on maintenance items.

    @Rick Santasiere  Definitely running a bit on the busy side, but my day gig is up Windsor way, so let me know if you want to catch lunch one day.

  • Kalispell, MT · Member since 2016 · 22 posts · 14 votes
    9y

    Really inspiring! What's your day gig? It's impressive that you're managing all of these rehabs and working a full time job. Not to mention making time to brew. Keep up the hustle. 

  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @Kyle Miller  My day gig is computer project management.  So I work on the shoulders for my projects.  So 6:30-8:30 AM site visits/ property walk throughs, noon calls, end of day site wrap ups.  

    Cheers!

  • New to Real Estate · Union City, CA · Member since 2017 · 59 posts · 13 votes
    9y

    @William Collins - do you buy these properties (@ loans) under your personal name or under the name of a corporation/LLC for protection ? care to enlighten us with your thoughts ?

    Thanks !!

  • Austin, TX · Member since 2017 · 5 posts · 3 votes
    9y
    A previous question was about LLCs or purchasing under one or both names. My question expands on that. Are you and your cousin 50/50 partners? What arrangement did you two make to define your roles?
  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    @Nathan Ku All properties are held in an LLC name. Due to the fact we will almost hit 2,000,000 in assets in that LLC, we might need to split to 2 LLC's to separate risk. I strongly believe 2 things. 1) if this is your first property- personal name is OK, but if this is a business- make it a business. 2) Risk is something to be planned for before it happens to you.

    @Lynne Stiller My cousin and I are 50/50 partners.  Initially I brought the plan and the management, he brought the cash to start.  Now we are adapting to what our forte's are. 

  • Austin, TX · Member since 2017 · 5 posts · 3 votes
    9y

    So you have a partnership with the LLC? Did you get a lawyer to help out with the filing of the LLC or did you self-file?

  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    Self filed, but lawyer reviewed after.

  • New to Real Estate · Union City, CA · Member since 2017 · 59 posts · 13 votes
    9y

    @William Collins - thanks for the inputs. Appreciate it. Pardon my ignorance but how do you manage to get the loans from a big bank for property under a business entities. 

  • Lakeland, FL · Member since 2017 · 44 posts · 25 votes
    9y

    Lots of info and great investment strategy...Love it!

  • Investor · MD · Member since 2017 · 15 posts · 4 votes
    9y

    @William Collins thank you for sharing your knowledge with the rest of us.

  • Rental Property Investor · SF Bay Area · Member since 2016 · 234 posts · 103 votes
    9y
    William Collins you're doing fantastic man, amazing job!!!' Any advice for a newbie who holds a full time gig and wanted to replicate this amazing work of yours? I live in the Bay Area California and this market is quite expensive, do you recommend another state? My goal is to buy multiple homes with positive cash flow with the goal of replacing my income, it's a dream but I'm willing to put all the work and save $, just need some Guidance. Thanks in advance!
  • William CollinsPro Member
    OP
    Investor · Rocky Hill, CT · Member since 2013 · 373 posts · 299 votes
    9y

    Refinanced:

    6) Duplex in Manchester- acquired from MLS fall of 2016 estimated July completion

    2800 rent roll estimated 75,000 acquisition. 70,000 renovation valuation estimate $210,000 looking for 75% refi

    Cash flow above expenses of $800 or 4% of the goalTrue up rent roll was 2650, and the value was $240,000, refinanced out $152,000

    In progress:

    7) Duplex in Bristol- acquiring from MLS end of May 2017

    2200 rent roll estimated 90,000 acquisition, 25,000 renovation, valuation estimate of $160,000 looking for 75% refi

    This will be online by 11/1, and will be valued at 180,00 due to recent comps

    Cash flow above expense of $400 or 2% of the goal

    8) Duplex in Manchester- acquired from online auction in Winter of 2016 new completion date 11/30. The auction had a tax lien outstanding preventing us from pulling permits for several months while clearing it.

    2800 rent roll estimated 83,000 acquisition. 70,000 renovation valuation estimate of $210,000 looking for 75% refi

    Cash flow above expenses of $800 or 4% of the goal

    9) Triplex in Berlin- acquired from auction winter of 2016 Moved to on hold until November for Roofing crews.

    4200 rent roll estimated 125,000 acquisition. 85,000 renovation, valuation estimate of $300,000 looking for 75% refi

    Cash Flow above expense of $1000 or 5% of goal

    10) Quadraplex bought in Bristol CT for 70,000 without entering the house.

    3000 estimated rent roll- 70,000 acquisition, 80,000 renovations valuation estimate of 300,000 with an estimated refi of 75%

    Cash flow will be $800 above expenses or 4% of goal.

    So if we complete these all by 12/31 we will be at 32.75%, close to ⅓ of the way to the goal. 

  • Rental Property Investor · SF Bay Area · Member since 2016 · 234 posts · 103 votes
    9y
    William Collins great job man! How did you find your deals?
  • Property Manager · Windsor Locks, CT · Member since 2016 · 1k+ posts · 1k+ votes
    9y
    Originally posted by @William Collins:

    Refinanced:

    6) Duplex in Manchester- acquired from MLS fall of 2016 estimated July completion

    2800 rent roll estimated 75,000 acquisition. 70,000 renovation valuation estimate $210,000 looking for 75% refi

    Cash flow above expenses of $800 or 4% of the goalTrue up rent roll was 2650, and the value was $240,000, refinanced out $152,000

    In progress:

    7) Duplex in Bristol- acquiring from MLS end of May 2017

    2200 rent roll estimated 90,000 acquisition, 25,000 renovation, valuation estimate of $160,000 looking for 75% refi

    This will be online by 11/1, and will be valued at 180,00 due to recent comps

    Cash flow above expense of $400 or 2% of the goal

    8) Duplex in Manchester- acquired from online auction in Winter of 2016 new completion date 11/30. The auction had a tax lien outstanding preventing us from pulling permits for several months while clearing it.

    2800 rent roll estimated 83,000 acquisition. 70,000 renovation valuation estimate of $210,000 looking for 75% refi

    Cash flow above expenses of $800 or 4% of the goal

    9) Triplex in Berlin- acquired from auction winter of 2016 Moved to on hold until November for Roofing crews.

    4200 rent roll estimated 125,000 acquisition. 85,000 renovation, valuation estimate of $300,000 looking for 75% refi

    Cash Flow above expense of $1000 or 5% of goal

    10) Quadraplex bought in Bristol CT for 70,000 without entering the house.

    3000 estimated rent roll- 70,000 acquisition, 80,000 renovations valuation estimate of 300,000 with an estimated refi of 75%

    Cash flow will be $800 above expenses or 4% of goal.

    So if we complete these all by 12/31 we will be at 32.75%, close to ⅓ of the way to the goal. 

    This is very impressive. What kind of financing are you working with? Still using the HELOC?

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