All Forum Posts by: Brian Levredge

We own and manage all over town, including condos. If your price point is about 2k you are probably best served putting it on the MLS as most of the people that can afford that rent are often going to become buyers and will be working with an agent already. Often, you'd be looking at one month's rent as a commission between both agents, assuming you are represented by one.

My cosmetic rehabs generally include the following scope: floors, paint, new fixtures (electric/some plumbing), knobs/hinges, and cabinet refinishing+hardware.  We generally accomplish that for around $15/ft.  Though with inflation I would buffer that some.  

Roofing replacement will run about $300/square though that doesn't include an allowance for decking replacement.

On the electrical you'll probably need to either replace the panel or upgrade the breakers to arc-fault and then ground out the outlets.  That's probably about 2k.  Fyi wiring a house up (assuming studs are exposed) is around $7/ft plus the cost of light fixtures. 

Replacement windows should run you around $400/opening, installed

Vinyl siding for that should run about 3k or so.  Fyi if you have asbestos siding, leave it on and just go over it with the vinyl siding.  

We manage a fair amount of property in NGA in addition to Chattanooga.  Demand has still been really, really strong with multiple apps on properties that are well located and priced.   

@Cody Gagnon I usually go the multi family and more meetup as well as the local BP meetup when my schedule permits. Congrats on the move, and welcome to Chatt!  It's a great market and even a better place to live.  Let me know if there's anything I can assist with. 

We took over a house that a client had purchased that was rented by the room and it was a mess.  We ended up evicting half the people there, which was its own mess because there were no separate addresses for each of the rooms so the sheriff was thinking we needed to set out everyone's belongings, which wasn't the case, but I digress.  

I think unless the "roommates" all know each other you're asking for trouble.  Can it be done?  Yes, but I'm not sure it's worth the trouble of pursuing.  

@Nick Wehrley Banks with low/no fees on checking are Southern Heritage Bank, SmartBank, and SimplyBank.  I bank with a number of other banks in town in addition to these but off the top of my head the others are starting to get a little pricier on things accounts.  As far as functionality with ACH from a PM company you shouldn't have an issue with any bank at all.  I own a PM company, and with the exception of Wells Fargo, we don't have issues direct depositing into client accounts at all and even that issue with Wells is really with one client.  

Expenses on multi-family typically run around 40% including PM down here once stabilized. Your gross is currently $5940/month, so NOI would be $3564 a month on actuals. 20% down at 3.95% for 20 years (it won't qualify for longer-term) is $5551/month so you'd be losing about 2k per month. There is actually a lot of upside on the rents by about $300/unit, but even with that built in (9k gross), you'd still be losing about $150/month so it still doesn't work without a larger down payment. This is the kind of property you usually see someone 1031 into because they are running out of time, and rather than just pay the tax (which they should) they overpay for something that doesn't work well. Plus assume you'll have decent capex to get the units to a place in order to get $900/month per door and it starts to look much worse.

If we're talking local banks, I have yet to have one do a drive-by appraisal for a refi.  

If you want to send me a DM I would be interested in at least a conversation.  I own and manage properties all over town.  

As an aside if you search "Chattanooga Real Estate Investing" through FB's search engine, it'll pull up probably a dozen different pages.  I would look at joining those pages as many of the wholesalers (both local and otherwise) post their deals there.