All Forum Posts by: AJ Singh

@Jay Hinrichs @James Wise

SInce we are talking about rehabs.

i bought a boarded up VA house for $82k in Memphis around sep 2016. our budget was $40k to rehab it and sell it for $155k for a tidy profit.

actually sold for $165k in aug 2017 but rehab and acquisition total cost was $140k .. after closing cost and commssions, barely made $8k profit in one year. lucky not to lose money.

everybody involved ( contractors and agents) made money except for me. No more rehab OOS unless a buy and hold

@Tracey F.

there is plenty of property for sale in turnkey providers. Visit the city, check out neighborhoods and then make your decision. 1% is achievable  even in good neighborhoods at least in Memphis. lots of threads on reputable memphis turnkey providers on BP. Do your due dilligence

@Tim Uy

If you can achieve a value add play, then it makes sense to pay the high values. A quad in ontario, ca for example can be sold from $850k to $925k in todays market barely making $40k in gross rents

as you go past 15 freeway, values are more reasonable in riverside and san bernadino counties

@Tim Uy

In OC, a duplex to a quad can easily run past a million dollars. You will not acheive much returns unless you are house hacking. Multifamily values are on fire ..

i cannot comment on the location of the property but u can check websites like zillow or redfin or other BP posts on neighborhoods around memphis

But i can say that four months is not ok for a property to find tenant in winter months.. around 60 days is fair unless rent is high. a lot of times PM will place tenant with spotty credit history to acheive cash flow targets.

Be careful!!

@Craig Oram

for $550k,, you could buy an portfolio deal from a turnkey provider or roofstock that comes with PM 

a multi family loan will be considered a commercial loan so will not impact your ten loans.

a multi family syndication is also possible with a min $50k participation

so a lot of RE possibiities

@Daniel Mills

at that price point for a SFR, i can guess about six suburbs around Memphis

Collieville, germantown, Cordova, Southaven, Olive Branch or Hernando

U made the right decision to walk away from this deal IMHO