Did you ever hear of this turn key group?

41 Replies

This sounds like a great opportunity for a new investor to jump in to the 4 plex market like myself. How are any of you finding financing?

 I keep finding 30% needs to be put down in order to get a favorable rate and conditions. Does anyone know of a finance firm that specializes in duplexes or 4plexes?

James, most of our clients are currently getting 75% financing (25% down) on 2-4 unit properties and 80% financing (20% down) on single family rental properties if they are qualified borrowers.  My company is not a lender or a mortgage broker, and I have no idea about your personal qualifications, but I would be happy to introduce you to a lender that specializes in working with investors, so you can see what you qualify for.  Just email me at [email protected]  

@Shannon Bae I haven't closed just yet, but I'll be closing in one week and so far everything is still going smoothly.  Everyone from the turnkey provider to the Maverick folks and their lender were all very helpful and accommodating when I made a couple of newbie mistakes and was in full panic mode.  They pushed the closing date back for me with no hassle, just a phone call and an email.  I still have no experience yet with their property management team, but I'm hopeful that their professionalism will continue.

@Shannon Bae - I spoke with Maverick and Philly a lot. Got preapproved and even reserved a duplex but ended up canceling the reservation.  I could not get my husband on board with the Philly area.  He didnt like the row homes or the crime rate and didnt feel like it was worth it compared to where we have been investing.  

However, I was very pleased with my interaction with Maverick, their lenders and their partners.

Thanks for the update! @Alex SImon hope everything works out great! Still on the fence and have to do some more due diligence on Philly in general but good to hear Maverick has been working out for you…

@Allison Karrels that's funny, I'm having the same issue with my husband not feeling too comfortable about Philly…

Do you guys or anyone else know if the properties Maverick is offering have much appreciation value? I understand that a lot of turnkeys, especially in the midwest, don't appreciate at all, their value being cash flow, but I wonder in a place like Philly with all those colleges there and pop growth increasing if those properties might appreciate?

Would love any thoughts...

@Shannon Bae I've got a pair of boots on the ground in Philly, a buddy of mine who's a native (score one for a random Facebook add based on his love of Deadpool).  I ask him to go take a peek at each address before I reserve it and I give him a little cash for his trouble and gas.  From what I've seen, and from his descriptions of the properties, it would appear that the Philly company, ABC Capital Investments, buys in neighborhoods that are C or C+, but where there is some gentrification slowly taking root.  Philly is a really complex city, you go from middle class to ghetto in the span of one block and it's pretty sharp, so there's not a good safe "district" you can buy in there, you have to go property by property.  So far as I've seen Jay at ABC makes pretty good decisions as far as picking the properties.  There's a lot that are "meh" right now, but which will have some appreciation potential as gentrification spreads.  

Of course, it's all hypothetical until I have a couple of years' experience working with the company and their management team.

Having seen these properties first hand, I would not say that the areas are gentrified at all.  I think Jay's properties are probably quite good as far as cash flow goes, but I would not expect them to appreciate a great deal.  They are not in neighborhoods where students or professors of the in-town universities would be living.  A 3 bedroom row-house for $800 would not a Penn parent rent.  Just my two cents.  

@Amy Wunderlich -

I spoke with Maverick and Philly a lot. Got preapproved and even reserved a duplex but ended up canceling the reservation. I could not get my husband on board with the Philly area. He didnt like the row homes or the crime rate and didnt feel like it was worth it compared to where we have been investing.

However, I was very pleased with my interaction with Maverick, their lenders and their partners.

@Amy Wunderlich

I just closed two days ago on my first duplex through Maverick's partner in Philadelphia.  I would say that what you need to be looking at more than Maverick itself is their individual partner companies.  Once you get past the initial getting to know everyone phase, Maverick for the most part hands you off to the partner companies for that deal.  Your point of contact for Maverick will still be there throughout the deal, though, which affords you an experienced person to fall back to if you get lost or if mistakes get made.  Everyone so far has been very accommodating of my newness and inexperience, and although I'm sure I've caused a few headaches and muttered curses, they've worked with me without much friction.

The big thing:  Check out the partner companies and evaluate them thoroughly to make sure they're exactly the guys you want to work with.

For example, Maverick's preferred lender is Bighaus-Chapman, which in turn passes off your loan to SNMC.  This is not the cheapest lender by far, I will say that.  But on the flip side, they are very willing to work with you on everything *except* the fees (i.e., out of country assets, which saved my butt because I'm forced to deposit my W2 wages into a Saudi account).  At the very last minute, some seemingly insurmountable paperwork nonsense came up (some post-9/11 homeland security crap because I work in an Arab country) and Krista with SNMC managed to find us a workaround.  And again, a problem came up with my power of attorney, and a workaround was found.  So, expensive but they get the job done for people in complicated situations, like me.  If you're in a more normal life, I might suggest finding your own preferred lender.

Second example, ABC Capital Investments, Maverick's partners in Philly.  There have been some ball-drops in the communications department, but it's been a solid working relationship so far, and up to this point I have been working solely with the owner and his assistant.  Upon closing, I was introduced to their management side, and I'm still getting to know those folks (great so far).  Everything I've read about the company and all the people I've talked to who have had any experience with them seems to indicate that this is a team that really knows Philly.  @Allison Karrels I can wholeheartedly understand if your husband wasn't sold on Philadelphia.  As a city, it's a mess.  There's gentrification going on in a patchwork fashion, and there's no good, safe district to buy in because one or two streets in any direction will take you from affluent to ghetto.  ABC's people seem quite skilled at picking the better areas for investment.  You might call the areas C neighborhoods, but from what I can tell from my friend who lives there, these are the B neighborhoods of Philly (either now or in a couple of years as the gentrification catches up).  

I could ramble for days, honestly.  This was my first deal, and I learned so much.  No agent, very little interaction with my mentor, and I kinda learned a lot the hard way but it's still an ongoing process.  I should be cashing my first rent check in September, and that's what counts.

Speaking of rent checks.  As we calculate investments for cash flow, it behooves us to take into account vacancy, maintenance, and property management to get a sense of the monthly cash flow.  ABC in particular, through Maverick at least, offers a lot of promotions on these factors, so you're getting a lot of extra cash flow that first year that you can set aside and use as a cushion later.

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@Alex SImon

Alex, I know this is an old thread, but its been a couple of years now. How is the property you bought via Maverick working out? Considering a purchase through them and wondering how your experience ended up working out long term.

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