All Forum Posts by: Charles Seaman

@David Smith How are you calculating it that you're finding 9% easily?  I've looked at hundreds of deals in the last three years and have only seen cap rates that high a handful of times.

@Ayat Suleiman It's very high in any decent market.  Typically, such high cap rates have only been found in either very rough areas (ghettos) or areas where there's nothing going on economically in recent years.  If property values wind up dropping significantly in the coming months because of COVID-19, then it's possible that you'll find be able to find such high cap rates in more markets.  So my recommendation is to either wait it out and see what happens or have your investor adjust their criteria if they want something sooner than that.

@Nathaniel Marcellous Jr. Check out Michael Blank's Syndicated Deal Analyzer at the link below.

https://themichaelblank.com/syndicated-deal-analyzer/

@Markus Jackson I do.  Reach out to me and we can discuss it further.

@Steve S. I agree with you that there's a lot of uncertainty in the market at this point.  I had this deal under contract prior to COVID-19 and got a price reduction thereafter, so I'm still on the fence about it.  The deal and the market both have solid fundamentals, but gaining more information on what state and local governments will do is crucial.  I'm going to continue keeping an eye on this as my due diligence period comes closer to expiring.

Hey folks. I have a 48-unit deal under contract and I'm looking for a money partner or two to fund it. The idea would be to have a JV partnership. It's a solid cash flow deal that's located in a tertiary market in SC.

I found the deal and am glad to be the asset manager for it to make sure that it performs.  I'm in need of money partner(s) to get it closed.  Please reach out if this piques your interest and you want to discuss it further.

@Terry Hale I'm going to answer your question with a question.  Is any investment truly safe right now?  Given the uncertainty in the market and with the economy as a whole, it's tough to say that anything is truly safe right now.

However, well located multifamily real estate that's purchased at the right price is probably about as safe as it gets.  People still need places to live and that's not going to change.  In the short-term, their ability to pay rent might change.  My best recommendation to you is to make sure that you're very familiar with any areas that you're looking to invest in and that you're informed about the local and state regulations pertaining to your rights as a landlord in the event that your tenants don't pay rent.

@Duke Giordano I think that it's good and I'd be in favor of using the Bank on Yourself policy as a funding method for real estate deals.

@Duke Giordano I can't say with certainty. I recently opened my Bank on Yourself policy, so I haven't actually used it to invest in real estate yet, but my thinking would be that the policy would be in your personal name, you would then take the policy loan from the policy, and you as an individual would then give the funds to the LLC that will own the property, either as debt or equity depending upon how you want to structure it.

@Duke Giordano I too have a Bank on Yourself policy and would recommend using that over a brokerage or savings account to fund your deals.  My primary reason for doing so is that once you withdraw the funds from your brokerage or savings account, they'll only work for you in your real estate investment.  If you take a policy loan from your Bank on Yourself policy, your money will then work for you in both your real estate investment and your Bank on Yourself policy.