All Forum Posts by: Michael G.

Welcome to BP Robert!  

I used to have 3 buy and holds in Rochester, NY. I sold those a few years back. I now have 2 SFR rentals in Allentown, PA.

Hi Shanel - Welcome to BP.

Money Earnin Mount Vernon in the house! RIP to Heavy D. 

I know you are looking at NYC real estate but ...

There are plenty of other places in NY to invest in buy and holds as @Shawn Ackerman alluded to.

NYC is not such a landlord friendly town.

Hi Shawna - When you say the property has been foreclosed you really mean she has received a notice of default correct? She's probably in pre-foreclosure. If the property was foreclosed onit would have been sold and she would have received a Notice to Leave.

Typically there is an opportunity to reduce the amount owed on the existing and outstanding mortgage debt by doing a short sale. The short sale price that the lender(s)agree to is one that allows an investor to come in and buy it at an attractive price and leaves enough room for your wholesaling fee. Did you say the house is in good condition? That typically doesn't bode well for short sale scenarios but doesn't mean it can’t happen.

How much would it take to get the mortgage re-instated? How far is she into the foreclosure period? These are all questions presumably you have answers to so you can determine what strategy to use to get yourself a wholesaling fee.

You are in MD. You have cash buyers in NY you can wholesale this deal to? Lender is going to want to see a buyer for this property so unless your plan on buying it yourself you should have one lined up.

Are you 100% sure the seller isn't working with someone else already? (That's happened to me before).

PM or call me if you want me to walk you through how a foreclosure deal like this works.

Welcome!

@ Bob Roach

Apoplogies. I meant to say you could buy a 4-5 unit multi unit property in certain parts of NY.

Rochester NY comes to mind and they cash flow plenty. Mark Updegraff on BP can point you in the right direction for Rochester turn key properties. For instance I just saw a $64k two unit in a place called the 19th ward. $15,600 gross for the year.

Try Fredrik Eklund's Book

@Bob Roach

Whats the end-game? Is it an appreciation play? Is it a long term buy and hold? It sounds like you want to purchase a turn key investment at market rate and hope that it would be a good investment. Is that an accurate assumption? At $200 K it doesn't seem like it would cash flow after principal, interest, taxes,insurance,maintenance, utilities, ,management and vacancy. Do you know what the market rents are for a studio in West NY, NJ? Without knowing the numbers for those expenses its hard to tell if its a good investment. Are you paying cash? 

You could buy a 4-5 unit multi unit property in certian parts of NJ that would cash flow significantly better than a $200k studio IMHO. 

@Darren Sager makes some points about the transportation. West NY NJ has some good entry points between NY and NJ but they are not necessarily fast. When I travel occasionally on business to the Newport station from 33rd st in Manhattan its all local stops but that's where my commute ends. That's a 40 minute ordeal from my office at 39th street. Someone who lives in West NY NJ probably has to add another 15-20 minutes to that commute. PIA if you ask me but the commuting commentary is probably best left to someone who has actually traveled the to and from commute from West NY NJ to NY.

I've seen some nice 1bd/1ba with Hudson River views on Boulevard East that are being offered in the 165K-199K range that look like they would be nice rentals.  I just don't see where the value gets created in the purchase if your buying for market rate unless you are paying all cash.

Hello Mike Sims,

You can wholesale anywhere there is real estate. You have to have an abundant and aggressive marketing strategy. Bandit Signs. Direct Mail.  Not sure what borough you are in but I will assume Manhattan. When you are driving the main streets or along the FDR drive take a look at some of the "We Buy Houses Cash" signs up on the light poles of the main streets. You wont see these signs in midtown manhattan but you will see them in Harlem, Upper Manhattan(Dyker Heights) and the Bronx at main street intersections or near the exit ramps of the FDR, Cross Bronx Expressway, etc.  In Brooklyn up and down Atlantic Avenue you see them. All the way from downtown to damm near the Queens border.  Those are wholesalers looking for deals.

I've never met wholesaler who did a deal in NYC but I find it hard to believe that in a city with boroughs that have 100 houses on a block that you cant wholesale.

Separate electric and gas meters means the tenant is responsible for paying for their own utilities. If they dont pay. the utility disconnects the service at the meter for that user only.

As a landlord you are responsible of the HVAC and electrical infrastructure. If the furnace breaks or their is some electrical sytem malfunction...thats your responsibility.