All Forum Posts by: Brad Mast

hello Sam
I have a few questions around tenant leases.
Recently rents have been increasing at a tremendously fast rate.   Much faster than tenants on fixed income can keep up with.

Q1: When you have tenants that are due for lease renewal what would be the ceiling from a % standpoint  that you would raise the rents?  Something to keep them near the fast increasing market rent.

Q2:  When a tenant refuses to sign an annual lease and instead opts for month to month, what do you like to do in this situation?  They need some financial pain to "incentivize" them to sign the lease, but curious to hear your approach.

Someone has shared these equity % in partnership based on what they are bringing to the partnership.

Again just guidelines.   Everything should be negotiated and agreed upon.

I am curious if anyone have experience that aligns with these numbers:

15% - deal finders fee

30% - signing the debt

30% - for equity (down payment money)

5% - tenant and property management oversight

5% - getting financing for processing paperwork and managing lender

5% - managing accountant

5% - construction/repair management

5% - design

Thanks...

@Christal Warren,
We did the property walk through yesterday and were indeed able to talk with many of the tenants and learned a tremendous amount.

This is clearly going to be a reposition play.

@Gino Barbaro

Gino - thanks for the advice.  We are already under contract and unfortunately didn't really get a straight answer before hand.  But its not a retirement or 1031 as those two I specifically asked.  My guess is he is just doing a quick cash out as he only has had this property 3 years and appreciated $33%.  good Lesson learned for next time.    

Now Moving swiftly through due diligence.

BTW - I heard you and Jake speak on older GRE podcast.  It was great and helped my mindset as I am starting to work in a partnership on multi's.  I am finding that my partner and I are both bringing so much to the table.   

I have wheelbarrow profits on my reading list.  

My partner and I are in due diligence period for a 44 unit multifamily.

We have asked a few times why the seller is selling but wont get any real answer from the broker.   We have not made direct contact with the seller.

Would this be a red flag for anyone?   Or does it not matter as long as everything else on our due diligence checklist checks out ok?

Thanks....

I am looking for a great Android App that I can use to take a quick picture of a business receipt and then can throw it away.

I have too many family photos and such to just use my phone camera.   I want it organized into an app.

Export to quickbooks would also be a +.

I have tried a few but cant really find any good ones.

Recommendations of past success would be helpful. 

Thanks.....