All Forum Posts by: Chase Gochnauer

His dad could just refinance it, cash out, and sell it to his son on contract. It doesn't sound like his son will qualify for a large enough loan to allow his dad to cash out some equity.

And it is .co not .com

www.cozy.co . I use a PM now but I used this when doing it on my own. it's free and works slick.

I'd tell them, they'll probably treat it better knowing that the owner lives there.

As others have said, delegation is crucial to growth. It also depends on what else you have going on in your life. If you work 20 hours a week and have 3 units, then absolutely, give it a shot yourself. If you're working 50 hours a week at a full-time job and you're trying to make it in RE as a side business, hire a PM so you can use your limited hours focusing on finding additional deals and not dealing with tenants. 

I hired a PM at about 6 units. My reason for doing so, was that I spent most of my free time on my main business that I didn't have time to show rentals, vet tenants, etc. What ended up happening is that I would wait until Tenant 1 moved out, spend a week cleaning up the unit, put it up for lease, show it when I had time, and if I was lucky I'd only have a month of vacancy. With a PM, nearly every property is re-leased before the 1st tenant is out. This alone has paid for the cost of the PM. I have 40 units now and it was the best choice I ever made. 

Hey all,

I'm looking to get some customized solid marketing pieces made for soliciting larger multi-family people. Will need to be a range of pieces for some consistent bi-weekly/monthly pieces. Does anyone have any recommendations on whom to use?

I just put a solar array at my house and office. It's being finalized over the next couple of weeks. For me, it's a 4 year payback after tax credits. You can sell your tenant the electric just as if you were the utility company. So essentially, after 5 years(giving tenant a small discount on electric), the tenants electric bill would become additional income at the property. I plan on giving my own property 6-12 months and if it works out as penciled, try it out on some rentals.

Why an HML for the construction loan? Bank will give reasonable interest rate 70-80% LTV construction loans.

Flooring and lot not included in original pro forma, but he's adding it and cost will stay the same? That would be a red flag to me. 

His profit and overhead are included in the $120k? That would be another red flag, he is paying himself before you get anything.

I would run a scenario in which the property ends up costing $140k, or costs $120k and sells for $130k. Who loses?

Individual or portfolio? Any in Iowa?