All Forum Posts by: Chris C.

@Jordan Meyer    You get what you pay for.................I had a brief experience with a 7% PM

They made their extra money on everything else....upcharges for maintenance...grass cutting cost $60.00 a pop.

Driving out to the property because the tenant was locked out in the middle of a Tuesday Afternoon $75.00 to me, PLUS they charged the tenant $75.00.  

etc.etc.

Hello world! 

I am a recent graduate with a full time position as an engineer looking to make my first deal and continue on my family's real estate venture.  My parents started a real-estate business when we moved to the US from S. Africa and have a hand full of rentals so far. I want to start my own venture and am considering buying my first investment property as a live in. I have a mid 650 credit level (as I just recently re-consolidated all my debt and will start paying monthly payments when I receive my approval letter). I have been renting for 5 years and have never missed a payment. 

Is this a good route for kick starting my real-estate investment portfolio?  Are there any recommendations or alternatives to consider? 

Thanks for the insight! 

HJB

Hi Kris,

Family Dollar not as good credit as Dollar Tree and Dollar General. That is why their cap rates are generally HIGHER.

5 years left is usually an ALL CASH deal. STNL lenders want a minimum of 7 years plus on primary lease term remaining for the  best terms and rates. Also if this is a double net with lease coming to and end in 5 years likely tenant will want new roof, parking lot recoat, etc. to extend the option even if it doesn't say so.

Usually I get on a call with clients and go over their goals to find out whether a property might be a fit for them or not. I find buyers often do not understand the lender underwriting mechanisms for NNN STNL properties.

@George W. 100 million seemed like a big enough goal that even if I didn’t achieve it I would still be setting myself up for success. I appreciate your detailed response and take note in the what not to do’s, budgeting, and practical advice for small short term goals that will eventually compound into something else!

No need to collect SSNs @Isaac B. When you use an on-line service, the applicant fills out the personal info and the LL receives the verification reports. I use my home screen dot org. It's free to LL's.