My first commercial apartment building!

My first commercial apartment building!

Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes

The ink has dried! (long post alert lol)


Dec 23rd, my partner and I closed on a 6 unit building in Allentown, PA!

RE Investing is a marathon, not a sprint, but it's been a muuuuch longer marathon than I initially imagined when I first started studying RE, and I'm still just scratching the surface! 

A little background:

  • Studying real estate for the past 10 yrs-Jacked up credit in college and no $-Tried wholesaling and out of state rehab-rentals, nothing "worked"
  • Sacrificed, slowly built up credit & savings 
  • Bought 3 unit building & house-hacked

FINALLY I started getting somewhere! 

  • Lived for free for a few years and appreciation allowed me to cash-out refi

The FIRST investment I made with my newfound equity? Into my EDUCATION and NETWORK! Multifamily had proven itself, but if I wanted to go BIGGER I needed coach and community

💪🏾

What I've learned: 

  1. There's no such thing as failures, only lessons. You only lose if you quit. 
  2. You MUST take massive ACTION... I was 7 months pregnant w/2nd child when I joined investment community. I had the "perfect" excuse to NOT get started.


The SECOND investment? This apartment building!

Some Property highlights:

  • Property was listed and had a few offers but ours was accepted (have to act fast).
  • Avg rents ~$200 p/month lower than market in as-is condition
  • Once rehabbed, rents will be ~$100 higher
  • One unit is vacant, so we can rehab and re-rent at market right away
  • After inspection, only wanted the seller to clear out the “hoarder” filled basement & garage. Seller apparently didn't like that and tried to cancel contract, so we agreed to take care of the clean out as well (not all negotiations go your way but didn't want to lose deal over a few $).

Plan is to add value, cash-out refi in about a year or so, keep it for generational cashflow, and roll the proceeds from the refi into the next deal.

🏢

I'm excited about this deal, but even more excited about the open doors this is opening and the momentum I can fee building... opportunities are coming and prepping for a great 2021! .

A huge shoutout to Marco Barbaro and Hadar Orkibi for creating the MIH Mastermind group and for being there for support and guidance when I called in a panick! The group is fantastic and I love the daily interaction we have - the encouragement and support is unparalleled, to steal Anna Latysheva's phrase... it's a big group of "Yaysayers" LOL

Also I have to thank Gino Barbaro and Jake Stenziano for creating the Wheelbarrow Profits platform, putting "people first" and creating an entire community of go-givers. There's really sooo many other people to thank for their support along the way I can't possibly name everyone, but I have to at least mention my mom and my husband for both playing their part in getting me started on my education journey all those years ago...

Ok ok ok, I'm done, my oscar speech is over!

Oh y'all see my "closer socks" right?!? Popped the tag that morning

I posted about my first house-hack and all the initial issues here.  Def need to do an update on how that 1st building changed the course of my investing - all it takes is one! Don't give up! 

https://www.biggerpockets.com/...

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Investor · Glen Burnie, MD · Member since 2020 · 2 posts · 6 votes
5y

Congratulations!!!

Your story is very motivational.

I'm now more determined

 Cheers to many more!!

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179 Replies

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  • Investor · San Diego, CA · Member since 2019 · 326 posts · 266 votes
    5y

    Awesome, love to see it!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Erickson Sainval thanks so much!

  • Member since 2020 · 671 posts · 937 votes
    5y

    @Nicole (Dunlap) Pendergrass

    Congrats!  So exciting.  By the way, I loved the "Oscar speech"!  It's so refreshing to see people that appreciate the efforts of those around them that help "put them over".

    Good luck on an awesome 2021!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Chris John LOL! Thanks glad at least someone didn't think it was too much/sappy 🤣

  • Investor · Glen Burnie, MD · Member since 2020 · 2 posts · 6 votes
    5y

    Congratulations!!!

    Your story is very motivational.

    I'm now more determined

     Cheers to many more!!

  • Rental Property Investor · RVA · Member since 2016 · 5k+ posts · 4k+ votes
    5y

    That's awesome, congratulations! I just met Hadar Orkibi a few weeks ago when he came on my show, he is a cool dude. It doesn't get much more long distance investing than buying in the US from New Zealand!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Taylor L. He def puts anybody nervous about "out of state investing" to shame 🤣... But he is def a great guy, very knowledgeable and helpful 🙏🏾

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Lanre Olaleye thanks so much, I def appreciate that. Sometimes you just work so long and keep going, it's not until you look up and actually recount and see how much you've accomplished and how far you've come... It's the small, consistent needle point movements and make the quilt 💪🏾

  • Rental Property Investor · Murrieta, CA · Member since 2020 · 338 posts · 343 votes
    5y

    @Nicole (Dunlap) Pendergrass
    Congrats!! It is a great feeling when you finally close on that first commercial property.  Look forward to hearing about your second commercial property.

  • Hadar OrkibiPro Member
    Rental Property Investor · USA / NZ · Member since 2016 · 1k+ posts · 812 votes
    5y

    Great work @Nicole (Dunlap) Pendergrass! you worked hard on this deal and it's well deserved!

    First of many to come. Bring on 2021!! 

  • Investor · Akron, OH · Member since 2016 · 2k+ posts · 4k+ votes
    5y

    @Nicole (Dunlap) Pendergrass Congratulations! That is a cool looking property.

    In the end having to find a hauler right away in order to do the basement clean up may be a blessing. I met a very reasonable hauler guy our second year in business and I call him at least once every couple of months (for our rehabs or sh** heads dumping). He makes life easier for me.

    PS. the closer socks are awesome.

  • Real Estate Agent · Fort Myers, FL · Member since 2020 · 32 posts · 9 votes
    5y

    @Nicole (Dunlap) Pendergrass AWESOME work! Love your attitude and so appreciate you saying there are no failures just lessons. You only lose if you quit. AMEN!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Nick Robinson thanks, the momentum is definitely building and I've aligned myself with a great group with deal flow in the pipeline. Can't wait for the next one!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Hadar Orkibi YESSSS can't wait... I'm ready!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Jill F. Oh nice, yeah you never know how dealing with issues will psotion you, sometimes things are a blessing in disguise! Good thing we actually have a great property Management company and they're already looking at quotes from their guys internally versus external vendors, so she's on it!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Matt Oberski Thanks Matt! Don't even remember where I originally heard that quote from but it definitely stuck with me

  • Real Estate Agent · Allentown, PA · Member since 2016 · 70 posts · 86 votes
    5y

    Thanks for sharing and congratulations!  Thats a neat property, my investor group actually analyzed this deal when it first came on the market. I own a duplex about a block away from it.  I'll send you a DM, lets connect.

  • Flipper/Rehabber · Atlanta, GA · Member since 2014 · 166 posts · 88 votes
    5y

    @Nicole (Dunlap) Pendergrass

    Congrats!

  • Rental Property Investor · Long Island and CT · Member since 2019 · 10 posts · 3 votes
    5y

    Excellent congratulations

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Shelby Ek yeah connecting would be great!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Ricardo S. Thanks!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Allison Bridges thanks so much!

  • Investor · Miami, FL · Member since 2020 · 26 posts · 8 votes
    5y

    @Nicole (Dunlap) Pendergrass wow this is beautiful, I would love some tips on outlets I should take. My credit is low and I really want to house hack then eventually get into multi family homes ! This is gold

  • Lucius ScottPro Member
    Member since 2020 · 3 posts · 3 votes
    5y

    @Nicole (Dunlap) Pendergrass ✊🏼, stay steady and stay the course!

  • Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
    5y

    @Scot Valladares message me! I have a good grasp on how credit works and how to build it, also may have some other suggestions for getting started while you're building it back up (instead of waiting to start until after)

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