All Forum Posts by: Bob Willis

Did you get it rented yet?

In my experience (and there are people on here with a lot more) the two most important things to know when thinking of buying a property are - how good is the roof, AND, how good is the HVAC. Those are two items that can immediately cost you thou$sand$. Always have those two items vetted by someone who knows what they are doing when looking at a purchase. Good luck.

https://www.businessinsider.co...

I thought this was interesting. I wonder what the tipping point is to try and make this change. Any thoughts?

In my experience this is a very common issue with condos. I owned a unit in Scottsdale where I had two separate insurance claims from two different leaks from the unit above in two years. I owned another condo in Scottsdale where it was disclosed during the purchase process that the unit above had previously leaked into the unit I was purchasing. Get insurance involved and property management involved.

@Easton Hill - I see you are from Phoenix. The market here is SATURATED with STR. I cannot overstate that fact. With that said, a STR could still be very successful here if it STANDS OUT! I mean large, luxury location. Not trying to throw cold water on your plans, and if you are looking in other areas ignore my response. Best of luck either way.

@Alexis Colon I would check with local Property Management companies in the areas you are interested in. I found a Prop Mgt company that is more than just property management. The principals at the company work on renovations, consulting etc... I had lunch last week with one of the founders and basically they'll analyze a property, tell you what the ARV value will be, ARV rents (stabilized), and costs to get there... Obviously they do this in the hope that you'll use their rehab team and their prop mgt company... But that sounds like what you are looking for.

 Yes - do you know some people who would be interested in partnering with you? Raise funds that way. You would be the general partner (GP) and they would be limited partners (LP). Their funds would be truly passive, you pay them an ongoing rate, and they would get a portion of the sale when you cash out (whether thru refinance or selling the property). You would get into the deal with less money, but would run things, and get a portion of the proceeds (generally larger than the share you invested at the front end) when you cash out. When you cash out maybe you just refinance and own it outright, or maybe you sell for profit. There are rules to follow in doing all of this, but it is not too high of a hurdle. You have a track record as a multi-family owner which goes a long way. 

Can't you just keep the 16 units and create a syndicate to buy the 43 unit? I would try that.

Good luck

Can you still ask for a credit to get the issues (plug and vents) mitigated? Get a credit from the seller to get this taken care of...