All Forum Posts by: Jackson Sandland

Depends where you look at the business. I've seen the financials of plenty of laundromats that are doing great, i.e. pulling in over 100k / year. One strategy I'm considering is acquiring a laundromat with good cash flow, and then using the capital to invest in rental properties. Every deal is different, so you'll have to look around for the numbers that work for you. 

I've considered some technological improvements for a laundry as well, but I'd need some start up scratch for patents, and development, which could also come from the basic laundromat acquired. 

I am looking into investment properties in the Bay as well to get to know the market better, and develop relationships with lenders, realtors etc. I do like the idea of low maintenance investments. Would be curious to hear others think about these ventures.

Done.

I'm looking to purchase an income producing asset, and laundromats made their way onto my radar. I've visited 5, or 6, and I'm working with brokers in the San Francisco, and Los Angeles area to find, and vet opportunities. I've found some promising businesses that are for sale, and I'm doing my due diligence, and working with lenders to evaluate financing options. One very reputable financial institution that has expressed interest has provided me with documents, which detail all the paperwork we need to evaluate one of these opportunities. 

The purpose of this post is to ask the community here about their experience with laundromat investing, and also to find potential investment partners. It would be great if you live in the Bay Area, but if not, that's not a deal breaker. All we have to do is get the conversation started, figure out if we are a good fit, and take action from there. 

The one I'm looking at does very well, and is considered absentee - meaning part-time workers handle day to day. Great opportunity to generate some 'passive' income with a business that is on the lower side of time investment.

Thanks in advance!

I've been researching FHA loans because they are an attractive way to get into a property with less money down, but watch out for the higher cost of utilizing an FHA. If you compare the actual cost of an FHA with a traditional mortgage with a bigger down payment - the FHA can actually be more expensive because of PMI. Also, it's difficult to get rid of PMI even after you reach the loan to value ratio that satisfies not having the PMI. Refinancing an appreciated property - to get your down payment back - can also be difficult with an FHA. There is an instrument called a piggyback mortgage that can cover your lower down payment - this can also be less expensive than an FHA, but avoid a balloon payment at the end of the piggyback term. Everything is negotiable - just read the fine print. Ask lots of questions. Don't get stuck with a headache.