All Forum Posts by: Brian Keeler

When doing your underwriting on a multifamily deal, let's say you are projecting to do a refi in year 5. What do the terms look like? (Leverage, interest, amortization) 

I am curious if anyone on here has bought any 10+ unit multifamily property in Connecticut within the last few years. I am interested to know how it is progressing- good or bad. I’m in the NYC area and I’m relatively close to the market. Thanks!!

I live in NYC. 

I need to buy my first multifamily property.

I have sponsors and investors for deals up to $7M

What should I focus on and why?

I expect to be investing out of state due to compressed local cap rates.

Anyone's input is appreciated!

Hi Alex,

Thanks for responding. I will find out if this is indeed an agency loan or not. The assumption fees are stated at 1%. I will also attempt to find out who the loan servicer is. The loan balance is not too far from the initial balance of $2,185,000 as it is only 6 months old. When you ask about the entity structure assuming the loan, do you mean my LLC that would be assuming it? Talking about SPE is beyond my scope of knowledge. I own an LLC and I was thinking IF this actually went ahead, I would assume into the LLC. Perhaps that is incorrect? That what real estate attorneys are for!

Thanks for the response, Blair. 

This is in fact an assumable commercial loan on a 52 unit multifamily building that started only 6 months ago. I'm still in a preliminary stage, but of course I am wondering why the seller needs to sell after 6 months. 10 year call on a 30 year amortization at 4.845%.

What fees are associated with assuming a commercial mortgage and how long does the process typically take?

This is a prospective property in Georgia I'm looking at. 

Hi BP community! Where would one go to get the latest vacancy rates for a particular area?

Thanks!

I am looking for a local real estate attorney (NYC area) that has investment properties as well as expertise in wholesaling/assignment of contract and buy & hold of multifamily properties. Kind regards, Brian Keeler

Undoubtedly you are correct about the NYC area, of course. The areas with 8+ cap rates are in the Connecticut area and yes, I do not see much in the way of economic development indicating risk, not to mention the tenant base. What are your thoughts on long distance investing for people new to the game?

I live in the New York metro area and I was looking to start investing relatively close to home (400 mile radius.)  Generally speaking I am looking to start out with around a 20 unit property at an 8-10 cap. While I am seeing these cap rates, I'm not convinced the areas I'm finding them in are economically strong enough to achieve positive cashflow and decent appreciation for a hold of around 3-7 years.  Through my preliminary research, it looks like there is somewhat of an exodus from the cold northeast to the south and midwest. I wouldn't mind joining them after this recent subzero climate we've been enduring.

I'm just curious if anyone else had any thoughts on the topic.