All Forum Posts by: Account Closed

Hello BP fam.  I hope everyone is doing his or her best at staying safe during this pandemic.  I have a question.  I believe that I will be able to acquire a 4plex next week.  Each unit is 2 bed 1 bath and 850 sq ft.  Currently, 3/4 units are leased out to long term tenants.  The rents are $550 per but the market calls for at least $800 after renovations. How much would a cosmetic upgrade cost per unit.  I want to slightly upgrade all flooring for each unit, kitchen (fridge, laminate countertop, cabinets, oven), and bathroom (tub, vanity, toilet). All units are separately metered and have baseboard heating and window a/c units.  The roof is in great shape, but the interior needs a facelift in order to maximize rents.  Please help or offer expertise.  I appreciate any realistic suggestions.

@Nicholas Aiola hello and thank you for your time and service on this two year thread. I created a two member llc with my wife for rental property acquisitions, but we have not opened a “business” bank account. We have a joint account that we want to use for rent collection. Would we have any issues not opening a business account? We have an operating agreement and EIN number. Also, we file taxes separately. Do we essentially split loses reported on the schedule E? Lastly, do you see large tax refunds on customers with multiple rental properties? Largest?

@Dennis Cosgrave I’m in the process of acquiring a 6 unit and want to do the same. All units are currently leased. Would you refinance with a commercial lender ASAP or wait 6 months and renovate a few in the process? I used hml

Great job! I hope you continue to have success. Also, @Caleb Heimsoth no one knows if a tenant is going to leave or stay. She made a choice and took a chance. It’s real estate investing and she’s connected with what looks to be a decent property manager. Relax brother and encourage her without being judgmental 

@Michael Leeson Thank you for initiating the conversation.  I fully agree with @Evan Robertson.  I did not grow up in a privileged environment.  My mother had 5 children by the age of 21 and I was the third at 17. I thank God for protecting my family through the ups and downs.  My mother is currently a real estate agent in Virginia and I am extremely proud of her.  Prior to Covid, she was in the process of holding classes for first time homebuyers and people who are not educated in this subject.  I believe that people who truly want to help with the racial disparity will put forth a valid effort.  It will be challenging because there can be some levels of ignorance that may be too much to bear.  On the other hand, there will be diamonds in the rough looking for that extra push and knowledge to breakthrough to the next level.  I would ask that anyone who is interested to sow a seed into a few people and see if it grows. I think that approach seems minimal, but someone was able to sow into me in that manner.  I Love Biggerpockets and how it makes us all brothers and sisters in real estate.  

@David Chappell yes I believe this can be considered cash @Andrew Postell has a great article regarding this subject

@Jonathan New hello. If I use a hard money lender on a multi unit property, will those commercial lenders or any Cash out refinance ASAP or after 3-6 months.

@Chris Levarek thank you. I wanted the seller to provide at least 2-3 years of rent roll and expense reports. I have spoken to a lender I was connected with, but I will provide further details into my goals.

Hello BP.  I have a question. I am working on a deal. If I purchase a six unit property using a hard money lender. How soon would a commercial lender allow me to refinance the hard money. It’s a great deal with a 12% cap rate. Please educate and/or help if possible 

@Lazaro Paredez yes I have a connection with a commercial lender. I think I would need to purchase the property as an llc though.  If I used the commercial lender for the refinance, would it be easy to refinance into a Fannie Mae loan in a year or two in my personal name?