All Forum Posts by: Daniel Jodrey

@John Leavelle 

This is great, and again thank you for taking the time to walk through this with me. I also noticed that each unit has separate utilities so I believe that is a expense that can be taken out as well. The property was built in 1989 and the inside was recently remodeled. The outside has some minor things that can be improved but i wouldn't expect more then 3k-4k in rehab expenses.  

I have added in the Property Management 10% expense as well as $100 Other Expenses to help with lawn care etc. With those additions and taking out utilities, an offer of 200k would put me around 12.68% COC ROI.

I have another question about refinancing. Say that I have a partner that can fund me the down payment of 45k needed. Is it reasonable to say that within 8-12 months I would be able to refinance the property and have that money paid back to them in that time? I am a bit unclear how refinancing works.   

i am running this analysis to where I would not live in one side and would be putting down the traditional 20% down payment. 

@John Leavelle That does make sense and I appreciate you explaining that.

I have been looking at the below property and trying to analyze it but I feel like I am missing something.

This is a duplex property that's asking price is $234,900. I am trying to run the BP calculators to see the analysis. I ran the analysis with an asking price of $200,000, and putting 20% down.

Annual taxes roughly =$3,000

Monthly income=$2500

Monthly Expenses= $2139.46

Vacany- $125

Water/Sewer-$200

Electricity-$200

Garbage- $50

CapEX- $250

Insurance-$100

Prop Taxes- $250

Repairs- $125

P&I- $839.46

Monthly Cashflow= $360.54

COC ROI- 9.6%

NOI- $14,400

I feel I am running these numbers very conservatively and in reality would most likely be a bit less. I am still very new in analysis and would love any feedback or what you think.

Hello!

I am looking for a Multi Family property, preferably a triplex or fourplex, as a first investment property.

I just moved to the Miami area. My overall plan/goal is to find a fourplex/triplex that needs a little work that I can get a FHA loan with 3.5% down and bundle in a 203k loan for renovations. I would live in one unit and begin the BRRRR strategy. I do not have a specific area in Miami that I am concentrating on now, more focused on trying to find a good deal. I also am interested in HUD homes and I like that many of them have a period of time that only owner occupied can place a bid which i think gives a great start against competition for my first property where i do want to owner occupy.

Can anyone let me know what they think of my plan, is there any holes or areas that wouldn't work. I also am looking for a great real estate agent that focuses on investors. Anyone in the Miami area that is new or been here for some time that has experience/tips/advice or networking possibilites; please reach out to me and let me know!

Looking forward to hearing from you all.

Daniel

Hi Doug, curious to see how you are doing 9 months later and what you have learned. I am currently looking for a Multi Family as a first investment in Miami and would like to use FHA loan with 3.5% down. Any updates and advice on what you have learned would be great!

Best regards,  

Daniel

Hello, I am currently looking for a triplex or four plex in the Miami area as a first investment property. Looking for anyone who may have any insights or opinions on best areas. My overall goal would be to buy with FHA and 203k that I could do some work with and owner occupy. Eventually I would like to BRRR. Anything helps!

hello Richard,

Are you still a broker in the Miami area? Are you sponsoring any people with a license?

I am not set on my plans, I am in the stages of researching and learning-most definitely a newbie. But I want to understand as much as I can and figure out the best way to get started. You spoke abotu how competitive HUD homes are once the OO period ends; I want to live in it so I feel like as a first investment to get started, I could have a leg up on the competition because I want to occupy the home. And then while I am living in it, I can make improvements and watch the market. I would hope that in a year, my property appreciates and I can sell for profit and then take that profit and reinvest. If the market is not in my favor, I can rent it out or refinance-have several exit strategies.

I am not set on New Orleans market either, I will be moving eventually-I just want to understand that HUD homes so if I move to another market I can begin looking at that markets HUD homes.

My "niche" for my REI would preferably be buy and holds with a few flips mixed in to help me build captial and have money to reinvest. Again, this might change however this is what interests me the most and what I have learned would be the best way to have cash flow and be able to do this full time later down the road.

Understood, I have no problem living in this property for a year as this will be my first property and I will need a place to live as well.

I want to understand how to analyze HUDs, is using zillow for overall comp set a good idea, how reliable is the PCR report, etc.

Does anyone know about the New Orleans area and its potential? How do you decipher strong markets?

anyone who uses HUD homes to buy and invest, please share!