All Forum Posts by: Chad Brizendine

nice work James! 

The banks typically ask for 2-3 years tax returns on the property, your personal financial breakdown and possibly your real estate resume. If I were you, I'd ask one of your family members to be a key principal to sign on the refi. Then once you've managed the asset successfully for a year, you're a player and can get a commercial loan much easier. Assuming you manage the asset well, you will simultaneously bolster your financial balance sheet automatically. 

Best of luck follow Michigander!!

Chad

hey Cory!

Well you have certainly made an intelligent choice to begin your real estate team.

I have a handful of SFRs in grand blanc, but in the process of selling to move into multi fam. 

Myself and another investor have decided to team up and have an LOI on a 26 unit.

Perhaps the most important thing about me is that I also live in Fenton. We could grab coffee sometime and chat. 

Take care

Chad

In the end is the idea simply earn a "good" passive return? I hear all of the great ideas on this thread and it makes me think that if all 500 units are SFRs at a 100k, you all could buy something like 1500 units of multi family. At this level you have the best property management outfit that money can buy. Managers / assistant managers, HVAC certified folks, porters and maids, all on staff. Maybe you'd only have three or four properties in the syndication so the operation would be nice, neat and consolidated. I have a hand full of SFRs and am selling to get into muti family here in Fenton Michigan. I have found some of the best mentors in the country as,coming originally from the SFR space, they had suggested the economies of scale make multi family conducive to a truly passive income producing asset. I know most investors are control freaks (like me) so this wouldn't necessarily work like clockwork, but conceptually it may get you closer to the Grail. Best of luck gents!! Chad

Thanks Joel! 

  Since the original posting, I've brought on a consultant to walk me through my first few deals in the multi-family playground. I now feel confident knowing that an all-star RE investor will fly to my town and go with me through due diligence. It has been a great experience and I've met alot of great people. Seems RE investing attract mostly good hearted people. 

I'm currently looking at deals in about a 2hr radius of where I live. I'm looking for a property up to about 150 units. I, of course, will have a few key principals sign on the loan with me, but I will me managing rehab, the manager and establishing the vision for the property. This is the exciting part of the business that I'd prefer to do. 

Would love to hear about your deal and how it turned out, how was financing, due diligence with a multi, all of the juicy details! 

Take care Joel.

Chad 

Hello investing world!

I have had some success in single family and realize what a life changing venture real estate can be. Now that I've built up a nice chunk of equity, I'd like to make the move into multifamily. But just as I've found single family investing needs successful mentorship, the multifamily space does to a much higher level!

 I'd like to connect with an experienced MF guy or gal to learn some of the best practices. If you enjoy sharing knowledge and experiences, please let me know and I'd love to sit down over coffee and get to know you and hear all about your story.

 I'm in Fenton, invest in surrounding areas. 

Thanks in advance!!

Chad  

Go Lions!!! 

I've always used MLS as it gives a very descriptive account of the subject sold properties. A good agent can get you comps in a particular zip code, city or neighborhood with all relevant info you need. If you can get access to the MLS yourself, that's the best deal! There are services I've heard of that can give you MLS data access. Haven't look deep into that, but seem this would be the nirvana of the RE investor!

Good luck!

Chad 

Hey Edward. Maybe State Farm isn't investor friendly... I've met a landlord insurance broker that sets me up with insurance at a "non occupied" rate (about 900 / year). Then after the home is rehabed, rented and occupied, I send the lease doc over and they switch it to the "occupied" rate of about 500/year. I'm only charged the days the home was unoccupied and the higher rate.  The company that is providing the coverage is Great Lakes Mutual. Allstate has a similar policy. 

Maybe ask the insurance agent what their unoccupied rate is?

Best of luck!

Chad  

Hello Trevor,

   I started just like you. Eager to get going, but needing the right map to set the course. I can say after trying multi level marketing, starting an automobile brokerage company, developing and deploying day trade systems, the easiest way to design the ideal life is through real estate. 

  And in my experience, I have had incredible mentoring and training by some of the top investors in the country. I would say that lifestyles unlimited would be the perfect next step for someone like you. For me, it's been less than 2 years and I have four rental homes, with plans to transition to multifamily in the next year or so. Life is too short to accept a life that was designed by anyone but you! Go live it!! 

All be the best!!!

Chad

Hi Adam,

  I can remember my first hearing like it was yesterday... I had a recent appraisal, comps of every house sold in the respective neighborhood in the tax year, inspection report of things that needed work on the house (should lower value) and finally my settlement document of what I paid for the house in the tax year. How could I lose?

  At the hearing I presented my case, confident, prepared with sharp and pointed criticisms for the assessor's case. She simply found the top comps and said, "hey look, you should be happy with your assessment!". 

  Then the time of reckoning... that little piece of mail from the township came, eager to see how much I would save, I couldn't wait to get back from the mailbox to open it! After asking for a 25k reduction in assessed value, they gave me 3k. Woe...

  I fumed for about a week. Then talked to a mentor that owns dozens of homes. He said quite frankly, "Go in with low comps to get the hearing date. Then go to the hearing with these comps and pretend like you're getting ripped off." 

 Bottom line, don't waste a bunch of time like me. Get some low comps, get to the hearing and get what they will give, every year. 

Hope this will save some, time, headache, sense of worth...

Best of luck!!

Chad