All Forum Posts by: Michael Ablan

@David C. - For me, it comes down to the collective cashflow of the entire unit when at 95% capacity (aka, 5+ units)

I will look at smaller deals, but with the intention to flip them.

I wasn't always like this though.  Everyone comes into the game with a different need, want, goal.   

@Izaiah Barba -  I think every state is different and I think there's a difference in things sent manually (an individual click), vs a bulk e-mail blast.

I've heard of people getting into some nasty lawsuits over this kind of stuff.  You're probably better off speaking with an attorney in your state 

@Josh Sellers -  Our local options all provide machine and tech maintenance as part of their "fee".   It wipes out the income on smaller buildings, but it also removes the headache from us.   

 That has NOT been signed into law and banks are filing lawsuits to prevent it.

That's very good to hear!

@Spencer Dixon - Partner w/ people who have money or do something owner financing 

@Marcus Brown - That depends on how your tenant base is affected. If your tenant base doesn't lose their jobs then they can continue to pay their rent. So nothing should change since your value is based on your buildings ability to produce NOI

@D Mack -  I think banks are required to report anything over $600 now

@LaMiracle Schaefer - Is it a safety hazard or a danger to your property?  If no, then it can "go on the schedule".  If yes, then it must be fixed

Does it affect the quality of your tenants experience in your unit?   If yes, then I'd personally fix it (but charge them for it if they caused it).   If no, then "put it on the schedule" or deny.

It's tough to give advice because everything is so situational.  At the end of the day, you want to avoid turnover at all costs.  

Will a $600 repair prevent a good tenant from leaving after their lease is up?  Then yes, you absolutely fix it.   I'm looking to keep people in my units forever because it drastically reduces cost and puts less stress on the entire system (unit turnover, leasing, educating new tenants, ect)

This is a great time to come!  The leaves are changing and the weather is perfect! 

Enjoy!

@Michael Plante -  In market, I'd do the following

I'd source the deals through DM, 1099's driving for dollars and AI scripted text bots that hammer specific lists with scripts focused on solving the problem faced by that list. I'd have a call capture secretary who goes through a general questionnaire and schedules an appointment with our closer. 

I'd use one general contractor (whose also in charge of quality control & permits) who has 1 crew of three workers (with a reliable foreman) + a takeoff estimator, runner and secretary.   The GC would also be in charge of a few specialty subs, who'd roll from job to job to pound out their specific talent (roof, hvac, electrical, plumbing).  

Everyone would be cut in on a % of the profits.  It doesn't have to be much.  $100-$2k.   Interests must be aligned with the success of the venture

My goal would be to source deals with at least $50k net on them (running super conservative numbers). These can NOT be full gut rehabs. I'd use hard money w/ 100% rehab financing and close on them as fast as humanely possible.

This would mean 20 flips, (but maybe 18 if we're able to run ultra-efficient).  

Difficult? Absolutely

Impossible?  No

This plan would require a couple years of trial and error to pull off.  You need to find and surround yourself with a few extraordinary leaders.   Those types of people don't partner with people who aren't on their level.