All Forum Posts by: Abad Marroquin

That’s probably the best you can do, but I know I can do better than that because I have done it already. 

It’s good to hear that investors are looking to invest in Chattanoga. I am 30 minutes south of Chattanoga in Dalton Ga where I own both single family and multi family units. Dalton is growing and new jobs are coming to the area after a new inland port was built 15 minutes from Dalton.  I am mostly buying off market deals. Rent is lower, but prices are lower as well.  Feel free to message me if you’d like to connect. 

 A master lease would definitely be a good option, although the seller would like to go ahead and sell it through owner financing and take advantage of the lower tax rate. Thank you for your input. 

Hello BP community. I need a little help structuring a deal with an investor. I found a deal. It's a multifamily property that has potential to increase rent of $150/unit with minimal improvement. 13 Units. I am buying it for $760k, owner financing. Seller wants $250k as a down payment. $510k financed over 20 years at 5% interest rate. The property in 2-3 years should be stabilized and the property should be worth around $980k with 14.5% COC ROR. So, I will increase the value of the property by $220k. Since the down payment is $250k, would it be reasonable to both of us go 50/50 on this deal since my partner who will put the 100% of the down payment will be basically a passive investor. I am going to be overseeing the property. I am hiring a property manager but still I am the one who will be in charge of the project. What are your thoughts on this deal? Would you structure it differently? Thank you!!!

This tenant filed for bankruptcy and applied for CDC and has not paid rent since October. My manager says she can’t do anything. I heard about the government 25 Billion to hep tenants/landlords. This property is in Georgia. Does anyone know where to apply. What else could/should my manager be doing at this point. Thank you in advance!!!

I am planning to refinance my 38 apartments in Rome Georgia. What bank has offered you the best terms and lowest rates for loans over 1Million? 

Than you for your input Alan. I like the 1031 exchange idea, but the time frame to identify and close on the replacement property makes me nervous. On the other hand, I am not sure if pulling out the equity to buy more rentals would offer the same potential to scale as if I did a 1031 exchange. I guess my question is which rout would be better between the two. 

This morning I received a call from my property manager. She said there was a fire in one of my units which is a duplex. The fire started in one of the bedrooms. That bedroom and the bathroom next to it were destroyed. The roof still needs to be assessed. It was a partial destruction on that unit. I have the property on an LLC. I have called my insurance to report the incident. He has been quick to respond. He wants me to send him a quote. He said he will come to assess the situation and then do the adjustment. This is the first time I have this fire incident. What is the best way to handle a claim like this. I don't want to be taken advantage as a new investor, and someone who doesn't have experience dealing with insurance companies. I am considering hiring a public adjuster. Please share with me your any tips, heads up, or experience on how to better proceed on this claim.

Thank you all for your help!!! 

I bought a 28 Unit apartment in 2018. I have updated 90% of the units, increased rents and increased the NOI. Interest rate is 5.5% with a balloon payment of five years. Even though it a D class property, It's cash flowing nicely at this time. Sometimes I think I should refinance to get better terms and pull some money out to continue investing. On the hand, I'm tempted to sell it and then repeat the process again.