All Forum Posts by: Colin Kelly-Rand

Post video thoughts- definitely will be a benefit - how much hard to tell. 

Also found a interest read from Boston herald on commute time and costs.

https://www.heraldnews.com/sto...

I am not south coast person- how many people commute to Boston now from the Coast (or on this route?)

I see a bunch of interesting properties to purchase between Boston and the coast but hard to buy without seeing a path to appreciation. 

What are some some Coast benefits? East Bridgewater benefits? I know affordability is one for now. School systems? Public amenities (parks)? Any big employers coming in? 

Please sell me the Coast ^^ @Molly Armando

Hi Molly!

I'll take a look at your video. I was enamored with the SCRP for a bit, I used to commute to North Billerica from Boston and I thought that was a long haul (21 miles). New Bedford is 50 miles, and like 15+ stops. 2min per stop, that's 30 min, and if it's going 50 miles per hour thats and hour of riding, so 80 minutes min from New Bedford to Boston? So 3 hrs commute per day? Hard to see a huge ridership of daily commutes. We need some faster trains.

Can someone fking put some fees on 93 and 95 s. Traffics getting awful. 

These are my pre-video thoughts! 

@Rodney Julien

Welcome. Happy to connect and learn about what you have done and want to do. I have done both flips and long term holds in the Boston / Newton area. 

Currently trying to digest the new sanitary code - i.e. if there is a fire you must house your resident for extent of the lease if there is a fire etc. Should all leases be MTM? Lots to consider. 

@Inderpreet Singh

Hi Inderpreet, 

I am in the Newton Upper Falls area. Happy to meet for a coffee at Tatte in Newton Centre (or wherever). 

I have been investing in multifamily since 2010, underwrote multifamily lending for Walker & Dunlop, and now focus on helping investors finance their properties.  

Kind regards

Colin

@Mike D'Arrigo

Thank you. 

Any chance you can share some labor costs? 

I'm trying to expand my comfort level beyond boston. 

Any surprise costs in KC vs Boston? Boston surprised might be related to winter such as frozen pipes, snow shoveling, slip and falls and the strong tenant rights (slow eviction process). 

Cheers

Colin

@Sophia K.

And HELOC interest rates are likely 8.5%+.

So $100K at 8.5% interest only = $8500 per year, or $708 a month...which is the entire cash flow of the property - I can't imagine bank would even lend that much. So maybe you can take out $50K? Less costs of the transaction...seems not worth it.

Time to look at doing a 1031x exchange if its an investment property. Put 200k down on a 3 family in Greater Boston (20% down payment on a $1M property). 

One way to look at your current property, is your cash on equity is $8400/$200k = 4.25% 

Your cash on cash return (return on initial investment) is probably great but that does not take into affect appreciation. You probably put $50K down originally (just making it up) and you CoC = 8500 / 50K = 17%. Looks great...except its not the whole picture.

@Mike D'Arrigo

I have a friend down in KC and thought about investing there before. Thanks for mentioning it again. Are you investing on the Kansas or Missouri side? Or are laws similar enough that you invest on both sides? 

What are labor rates down there? 

For example, up in Boston for high quality maintenance personal you pay around $35/hour, electricians are $100/h and plumbers are $175/h. 

Kind regards, 
Colin

@Nicholas D.

Way to put out the batman signal. 

I am happy to meet with you next week. Recently I have been helping clients south of Boston (Providence RI, Central Falls RI, Fall River). I am out of the Boston (Newton) area.

Kind regards,

Colin

@Abhishek Sharma

I second Justin that you should be able to find a multi within 45 minutes of Boston under a million. Making the numbers work might be a chore.

For example 24 Shawmut Terrace, Framingham (redfin link)  (4 family, four 1 beds for $949k). You will need to get for less than list price to get it to work. 

Rent is about $1750-$1800 in the area for a 1 bed. 

Tough with 3% down to wrangle. Regardless, I have seem some recent deals in framingham have numbers that work. 

@Jonathan Orr

Great thread as I have similar questions. I hoped there was some clearer options. 

Where is all the building cost data hiding? I think this should be available somewhere. 

How many developers / gc would supply their budget to an anonymous aggregator?

I see these stick built 6000sf single homes getting built for what I consider cheap around Boston (200 psf), but multifamily developers are cursing costs (50% higher psf). What happened to the benefit of scale.