All Forum Posts by: Ayne C.

@Geo Johnson. Personally I'm looking to grow and have an ok local team. I would go for the rehab but if I'm a newbie I would want :

---a light cosmetic rehab as my first deal

---greatly discounted purchase price by negotiating, or marketing

----underwrite conservatively

---don't be afraid to walk away

Oh wait, no, for a newbie I would start with a more general one.

My favorites:

Paul Thompson (#283) for automating deal flow

Alexander Felice (#301) for the accelerated BRRRR strategy

And Andresa Guidelli (#314) for managing rehabs

How does a 5-12 unit multifamily BRRRR differ from doing it on a SFH? My partner is concerned if we go into a 5-12 unit, we will be leaving more money in the deal and that it will be a lot longer of a project. How are they usually done? Pay the downpayment with short term money, get a commercial mortgage right away, and then refinance after the units are turned over and stabilized, say 2 years?

Any experiences you want to share?

By the way I'm reading Lindahls book Multifamily millions, so possibly the answer is there somewhere.

I use QuickBooks to categorize expenses. Each property has a subaccount under a main account such as rent, utilities, repairs, etc.

Rent property A

Rent property B

Utilities property A

Utilities property B

And so on....

One bank (checking) account I like to keep 3 months rent across the board in a reserve account (savings)

I'd give it a fresh look with a light grey or beige color.

@Nicholas Munford

I'm doing mine with cash. I believe it makes you go slower than you could've if you'd just bought a few leveraged units at the same time. But that's a good thing because you need time to learn all the lessons that present themselves.

It's a good area. My plan is to fix and flip or BRRRR.

I have a motivated seller, ARV is 130k, repairs unsure (sounds like cosmetic and a bit of electrical work) but she has 2 mortgages on it.

Mortgage 1- 79k, payment 940

Mortgage 2 -18k, payment 226

Market rents are about 1,000.

I'm not looking to assign the contract, I'll do the work myself, I'm expecting about 10-12k in repairs but I'll confirm when I go on site with my contractor.

I have set the expectation that my offer won't be high enough to cover both debts and she wasn't surprised. Said she might want to liquidate her 401(k) to get rid of the second lien.

She isn't looking to make anything, but can I help her at all?

And here is the video

https://youtu.be/YRmPF2R08pg