All Forum Posts by: Greg Snyder

Alexandra: Regarding crowd funding, the feds are expected to soon issue regulations that will open crowd funding up to people who are not accredited investors. After investing in multiple crowd funding deals, I've moved on to doing my own HM lending. Whenever I have asked, I have received the underwriting/DD documents from the crowd funding firm. I've found that info to be a great tool to learn to analyze deals. Crowd funding is also a way to find out what the crowd funding firms are getting from developers. 

@Tamara Verrett: You may find it easier to get a HML after you have title to the property (assuming you pay cash for it). As a lender, I like to see borrowers who've "put their money where their mouth is" and have some of their own $$ in any project. I also want to see that their plans for rehab or construction seem reasonable, so having some contractors and their bids in place also gives me more comfort in making the HM loan.

I'm an investor living and working in DC. I have an LLC formed in DC through which I do my hard money lending. Contrary to what I thought would be the case, I formed my LLC completely online. I only had to answer about 7-8 questions and pay the fee. It was incredibly easy to do.

I am own and self-manage several residential properties. Like Russell Brazil, I also have a $2M commercial comprehensive liability insurance policy which covers those properties. The premium is quite cheap and it gives me plenty of piece of mind. 

Hi Nasar: I cannot attend your Jan 9 meetup, but I was in Charlotte last week looking at potential deals. I saw a good deal of rehabs and construction which got me interested in Charlotte. Good luck to you!

one other idea:  are you open to living in one unit?  If so, lenders may treat this as an owner-occupied property and you may get better terms in the loan including a lower % down payment. 

Chad: I don't own any 1BD duplexes but I do own 1BD, 1BA condos in the DC area. I find them very easy to rent--I usually get multiple applications whenever I have a vacancy. With a 1BR unit, you only have to find 1 person who wants it (vs a 2 or 3BR unit where you often need to find couple or roommates who want to rent it). Finding 1 good tenant is a lot easier than finding 2 or more good tenants. DC has a strong economy which helps too.

With a duplex, as with any free-standing building, you'll be responsible for all the systems (HVAC, roof, plumbing) so be sure to get a good inspection before settlement. If the numbers work for you, go forward.

Hi Joseph: I graduated from UNO many years ago (I was born & raised in Omaha). Got a good education at a great price--I graduated with no student loan debt. I remember UNO fondly--hope you enjoy it too.

Hey Louis Radosevich--the Cap rates for 2 buildings I'm looking at are 7.8 and 11.5. But... these figures are based on the income & expenses I got from the seller. I still need to confirm how accurate they are. These rates are much higher than I can find in the Wash DC area.

There's a short thread discussing these buildings at:

http://www.biggerpockets.com/forums/88/topics/121516-help-with-analysis-of-2-investment-properties

I'm going to be Omaha on Apr. 4, 2014 to walk thru the buildings.

Hi Justin: I don't live in the Nebr area now but was born and raised in Omaha. I'm currently looking at buying an apt building in Omaha.

Thanks Sterling--appreciate your thoughts. I had not considered a "value play" scenario. However, I've noticed that multifamily properties stay on the market a long time (6 months minimum) in my target city--a mid-sized midwestern city--so not sure how easy it would be to sell, even with a much improved cap rate. But.... it is something to consider.

I had a friend drive by #2, and it needs some work on the exterior, mostly cosmetic as best she could tell.