All Forum Posts by: Bjorik Mutize

@Kenny Kamdoum to be completely honest is rare for brokers to just consistently send you deals unless there is a concrete relationship built.

This is different from the small residential realtor just setting you up with mls listings without question. These brokers you want to spend time, first contact and beyond, building that relationship, letting them learn of your criteria, then showing them actionable steps YOU are taking to get yourself ready to buy and what you are doing to build your team. Or else a lot of them won’t waste their time.

Even right now i'd start building a list of comps in your criteria, analyzing them, then putting them on a spreadsheet or some kind of organized analysis so you can quickly reference.

The more you look at and underwrite properties in your criteria, the quickly you will be able to analyze and come up with profits and ARV. Also make sure your criteria is very specific.

Agents will give you supplemental information sometimes with the MLS listings however i would just do your research on your own. It will serve you better not only for this search but your searches down the line.

@Faraz Hemani

As much as it kills like above, I would just wait the under 2 months and not renew the lease.

Hopefully not too much damage in the property from the chickens.

@William J Stratton Jr. 12% is a good cash on cash and a targeted rate for most investors. Pro-forma would be the assumed financial statement either the broker or seller would give you, the BP calculator would be what you would use to project your own financials based on the numbers given to you.

But yea, base the purchase price on if it hits your return goals, condition of the property, competition against other recent solds, upside potential, etc. 

I've found the contrary to be more popular. Lol. As in if you can start in multi-family apartments by all means continue to do it.

I wish i did it!

Typically 1-4 units is common house hack play. Single family house hack may include renting by the room. Get a property with a good, desired floor plan so you can market it and rent it out quickly such as good square footage per room, good bed/bath ratio, living space, perhaps amenities.

Numbers wise, ensure the rents you get can give you some sort of yield and hopefully cash flow after your debt service.

@Daniel Dawson yes you guys would speak about what title company both you guys prefer.

You could definitely find some forms from here or other resources online for a cheap price. Perhaps partner with an Attorney just to tie the knots as well?

@Nicholas Knaebel

Congrats! Hope you have your criteria ready for your search!

Remember now to protect your finances until the close.

Between now and close is a great time to raise some extra capital as a just in case.

As a duplex, don't worry about the cap rate. Cap rate doesn't matter in 1-4's. Figure out the income and cash flow you want and how the property stacks up to the comps like you did initially. It will be assessed based on comps, but you should always ensure a property meets your cash flow and cost per unit benchmarks. Is there any opportunities to add-value?

Anything else that justifies your 60k discount? How competitive is your market? If you can argue your bid and it makes sense to your business plan i'd say go for it. Just make sure you can argue it!

A lot of money to raise without a capital raise! 

Using a HELOC is a great strategy as well, do you currently have other properties?