All Forum Posts by: Greg Kasmer

@Corey Mika - Sounds like you may have a big project on your hands! Not sure of your exact answer, but what I would do is run a few scenarios and conduct some heavy due diligence on rental comps in the area. For example, what rents are 1 bedrooms in the areas getting in rent compared to 2 bedrooms? If you keep as all 1 bedrooms will they be similar size as other 1 bedrooms? How about the size of your 2 bedrooms compared to others? 200k seems a bit light to conduct full renovations on 20 units, but MAYBE closer to a full renovation with 10 units. Honestly, I would probably anticipate/budget $25k reno on each unit plus any infrastructure costs (moving/tearing down walls, etc..) that might be needed to combine units. I would also run a scenario on the assisted living/rehab idea that Bill mentioned. The other person that might be able to help make a decision is a architect - maybe they could help provide an order of magnitude estimate for each of your options. Good Luck!

@Justin Brown - Thanks for spreading the word! Will this meeting focus on residential real estate, mutltifamily, or commercial? (or maybe all three?)

@Dylan Mortman - Makes sense to me that you wouldn't be able to see the full lease until contract, but I highly advise to read the entire lease. Also, be sure to confirm the status of the security deposits with the owner and tenants (via estoppel letter). I bought a quad where two of the tenants used their security deposit for rent at some point (which you shouldn't do), so I made sure to have in writing that the previous owner and tenant were in agreement so when they left we didn't have to pay out any security deposit. Good Luck!

@Alecia Loveless - If you don't want to buy Propsteam there are also folks in FIVERR willing to pull data for you for a cost. And, as for mailers, I've also hired my kids to help batch mailers, especially in smaller quantities. Not sure if you have access to some "low labor" options, but just wanted to put that out there! Good Luck!

@Alex Ontiveros - I agree with others... Talk to a lender about how you could quality for a 2-4 unit in a house hack scenario. I would also read "Set For Life" by Scott Trench on house hacking. It's an easy, but very important read for someone looking to do what you're doing. 

Set for Life, Revised Edition | Best-Selling Personal Finance Book – BiggerPockets Bookstore

Good Luck!

@Jeremy Dugan - Congratulations! Big first step to take down a quad with your first purchase! What are your plans with the property? Any ways you're going to renovate/add value? Also, curious to see how your agent had the inside edge on a good off-market deal? Sounds like a great agent! Good Luck!

@Robert Smith - Robert, I'm targeting multifamily outside of Philadelphia in the suburbs. Still new to the multifamily space so learning as well. Happy to talk with you and collaborate. Let me know if you'd like to chat!

Dexter - Complicated topic, but the best way to manage delays is to have a clear plan and payment schedule up front with contractors. Try your best to only pay for completed work, therefore they have incentive to continue to work on the project. How has your project gone since posting this?

@Jesse Hubble - I would say that if either pull all your money out of a deal (during refinance) or leave 10% or less of your money in the deal that is a "successful BRRRR" - assuming the deal hits your other criteria for cash flow, long term appreciation, etc... It's hard to pull all of your money out of a deal these days and still cash flow, so leaving some money in shouldn't be consider a "bad deal" in my book. Good Luck!

Aleks - I invest outside Philadelphia in the suburbs, typically Delaware and Chester Counties... It would be good to connect!