All Forum Posts by: William Collins

@Allan Smith  Thank you for the offer. The big thing is I am looking at the sweet spot of 5-12 units.  Things that require commercial loans. I am looking primarily for residential, but am open to mixed use.  

@Anthony Hawkins  I will definitely let folks know when they hit the market.

I have dealt with many knob and tube buildings.  My advice is to plan on riping it all out and upgrading the service.  If you don't think you can do this as part of your renovation- I would consider passing.  Not dealing with it will cause insurance and resale issues.

As I invest in Central CT,  I am going to go out a little bit on a limb- but I know people cashflowing in any of the towns on the Metro line.  Bridgeport, New Haven, Derby Shelton, Ansonia

@Arthur Sorochkin  I invest in Connecticut, and there are viable markets.  My question is that with you both being teachers in New York- are there any programs that would help you become first-time home buyers in house hackable locations near you.   I was just listening to the Rookie podcast and thought that it would be great for your situation if you could find that duplex, triplex, quad near to your work which would net you the return of defraying your house expense.  Also I would highly recommend investing along the metro lines. They are commerce life lines and people always will be looking for housing near the stations. 

Duplexes are great 1031 stepping stones to growing your portfolio.  My partner and I are looking at making big moves this year to change our portfolio mix.  We currently own:

1. 10 Duplexes
2. 2 Triplex buildings
3. 1 Quad
4. 1 Six Plex.

Looking at the price per unit most of our duplexes are currently valued as 200-260, and we have about 100k equity in each building.  Our goal is to now sell the bulk of these units to consolidate and expand our concentration in 3-20 unit buildings here in Connecticut. Sometimes referred to as the stack by @Brandon Turner this process will take advantage of the 1031 exchange to grow our tax advantages, minimize expenses,while increasing our profits.  

For anyone who has a triplex to twenty plex here in Connecticut- towns of Bristol, Berlin, Rocky Hill, Cromwell, Middletown, Manchester, Vernon, Tolland, East Hartford, Windsor, Granby, Wethersfield, Southington, Newington, or Plainville- let me know.  We are in the market. 

What's measured is achieved. To that end I wanted to start a weekly post of the tops things which are KPI's for your success in real estate and how you did in them:

Week Ending 4/18/2021:

Deals: Offers Made:  2   Goal: 1  Achieved: Yes

Were the offers creative: Yes- subject to and seller carried second note.

Offers Accepted (4/year): No

Analyzed Portfolio (Quarterly): Yes

Identified harvesting opportunities:  2 duplexes in New Britain and a triplex which I will be using to 1031 in the next 4 months.

Identify 1031 target investments: Yes 

Advance current project in work: Yes (duplex in Manchester CT),  Lake house in Lyme Connecticut.

Networked with new investors: Yes (2 cold calls)

Create visual management of these and critical KPI's: No

What are your goals and did you measure if you made them or not?

@Connor Parker  Waterbury is a special town.  It has potential, but it is not where I invest at all. Or am I looking to. Take that as you will.

@Hamlet J.  Easy first step: call the town.  They would have all the permits and plans on record.  No permit= shady work= run away. 

Second step: Call the person who did the work on the permit to understand what they did, how long it would last, and what maintenance it would require. 

I would agree with @Taylor Shapiro that this is a seller's market.  It really depends on what you are trying to do @Connor Parker. I would suggest a house hack if you could for your first BRRRR. The rates you could get on an owner-occupied would totally pencil out. For example I have a triplex I am about to move. It is in New Britain.

Zestimate®: $256,684 

Somewhere between $250k to $275k realistically.  

Rents are low right now $950, $900, $675 on three two bed rooms.  There is room to move those up to 1,110, 1,000 and 800- but lets go with the originals I have. 1st floor tenant is moving out in June- perfect time to sell to an owner occupied.  Even at the under tent $900 and $675 a qualified buyer is still in the money for owner occupied rates:

Mortgage amount$250000 Interest rate (%)3.92 Mortgage period (years)30 Monthly payments$1,182

@Kellie Matt Can you be more specific as to what you are looking for?