All Forum Posts by: Adam Gerig

Thanks for the advice @Karen F. and @Chris Martin I like both ideas although I don't think I really want to sell anything I've acquired.  I think that's my long-term goal WAY down the road, but for now I'd like to just keep acquiring and leveraging as needed to continue to acquire.  I like the idea of swapping out properties if it makes sense in the case of selling one to acquire two. 

Want to get some insight from some people who have done it before.  I currently own an estimated worth of about $710k worth of homes and duplexes(according to me) and owe around $188k between mortgages and land contract balances.  The bank I am dealing with will want 25% down and my plan is to take the equity from properties I own free and clear.  I'm thinking I'll get around $330k loan with 25% coming from equity in my properties meaning I'll clear around $250k.  

Am I asking for too much or not enough?  I'd like to leverage myself so I can continue to buy properties at a discount and then let them season 6 months and take a package to the bank and do the same thing over and over.  

Anyone who has done this previously I'd love to get their insight of what they did.  Or how you would structure it to maximize the return.  My plus to doing this is I lock in a lower rate than I can borrow money from private lenders and a longer time frame as well.  

I can see things in my market not lasting long and stuff going quicker and quicker here and would like to strike while the iron is hot so to speak. Also, my initial thoughts are that in the next 5 years mortgages are going to be at a higher rate and I'd rather lock in my 5% rate now even though it will adjust in 5 years according to the market. It's essentially a 15 year loan with an arm option at year 5 and year 10. That being said I still think I can outpace private lending by borrowing from bank and then if things do get to high ARM wise I can have an investor buy-out the loan I owe bank and pay them a lower rate.

Sorry for rambling I've been working on getting this in place for 2 years now and finally think I am to the point where I'm seriously thinking about pulling the trigger.  Thanks for any insights guys!

I'd have to agree with @Shawn Holsapple Midwest has been good for myself and some other BP members as well (NE Indiana specifically).  

I've got financials from 2013!!  If you want them PM me with your email I'll send you over pdf!!  Progress!!  :)

If you have any interest in this deal please PM me as I got new updated information from the owner tonight.  

@John Mathewson  we have a few that flip here in Fort Wayne.  Mostly rentals or lease options for the investors here.  I know of a couple people doing flips, but they aren't doing them on the level you are.  There is opportunity as there is still a lot of deals to be had if you are interested in our market let me know as I'm a broker as well and have done quite a few deals this year for myself and for my investors.  Our company currently manages over 1100 rentals in NE Indiana.

@Joe Mueller  yes it is!  I've had a couple people ask about it, but no one put pen to paper.  If you're interested PM me may be able to provide more quantity as well if interested.  

If you leveraged through local bank and bought maybe a package of 3-4 you're cash on cash return would be over 25% in this scenario.  We've got the ability to put together packages and leverage through IAB Financial in which they'll loan at 75% ltv for 15 years at 5 year arm.  

On a $60k loan you're looking at around $350/month in payment to bank.  A 3 property package should bring in at least $1200/month. After bank payment, property management, taxes, and insurance you should still clear around $4k/year which with a 15k investment leveraged would put you over a 25% return. 

If anyone has interest in learning more feel free to contact me to see what we can put together!

Welcome!  I've got a listing in South Bend that's a rental property that I've been trying to sell here for about a month or two.  Has a sec 8 renter in there for like over 5 years at $500/month.  We are looking to sell right around $20k.  If you know of anyone let me know!  Address is 1210 O'Brien!

Wanted to give everyone here the first crack at things before I put this on the MLS. I've got a 2bd/1.5ba home here in Fort Wayne, Indiana that we will be taking SEC 8 renter on. This property should rent conservatively at around $475-525/month. If interested please PM me. We will have a 2-year lease with tenants.  This is pre-market deal and you'll need to do all due diligence and I highly suggest having an inspection done.  My guess would be that you'll need a roof within the next 5 years(not leaking currently).

That being said if you do the 50% rule and this rents at $500/month you're looking at a $3k/year return which would be over a 15% return.  *Individual results may vary*

Also, our company would be willing to manage this property for you to make it truly turn-key.  We have relationships with bankers here locally as well if you would like to get financing on this property or others at some point.  Please PM me for more details I can get you pictures and more details on this off-market deal.