All Forum Posts by: Jake Moran
Jake Moran has started 4 posts and replied 38 times.
Post: TimBRRRR 1.0, a step by step BRRRR

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
@Tim Bradley Yeah, you would still need to seal again after grouting.
Post: TimBRRRR 1.0, a step by step BRRRR

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
Tip that I heard (but haven't tried myself yet) in case you still have more grout to do. Normally you would spray a sealant on the tile after grouting (or maybe that's only if it's marble, not sure) -- but if you spray the sealant BEFORE grouting, then the grout won't stick to the tile as much and is easier to wipe off (downside: your dance party doesn't last as long).
Post: Investment criteria for buying Apartment Buildings

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
Originally posted by @Ben Leybovich:
14% IRR to parters on a 10-year hold
16%-17% IRR to partners on a 5-year hold
8%-9% COC excluding capital events
DSCR is meaningless in value add because it's never high enough. Bridge lenders care about Debt Yield of 1.1
$300 per door value add
But, that's just numbers. Other things are more important:
Nothing until mid-1980'es
Nothing with boiler/chiller
Nothing with a poor unit mix
And a bunch more subjective criteria
Ben, same question -- what do you mean by COC "excluding capital events?"
Additionally, why is Debt Yield more useful than DSCR if they are both based on NOI? Wouldn't debt yield be just as "meaningless" when looking at a value-add? Or is debt yield based on an average estimated NOI over the entire hold period?
Thanks!
Post: Investment criteria for buying Apartment Buildings

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
Originally posted by @Sam Grooms:
14% 10-year IRR. 8% average 10-year COC (excluding capital events).
That's it, really. Obviously you want a 3-4% bump on a 5-year IRR. As for funding, private partners for equity, commercial lenders for debt. We buy C Class value-add properties.
@Sam Grooms -- When you say "excluding capital events," are you saying you exclude capital expenditures from your calculation of CoC? Thanks!
Post: Sub 100k rental areas Richmond, Chesterfield, Petersburg

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
Good to know, thanks.
Post: Sub 100k rental areas Richmond, Chesterfield, Petersburg

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
@Satha Palani Thanks for that advice. I'm curious, in that Battery Park area you referenced, can you hear noise from the raceway at all? If not, do you know how far north you can go before the noise starts to become very noticeable?
Post: Blackstone/ Invitations Homes IPO

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
Invitation Homes doesn't do flips or commercial, they do strictly SFRs. Their S-11 has a lot of good information about how they analyze the SFR market and why they think it's a solid long-term strategy:
https://www.sec.gov/Archives/edgar/data/1687229/00...
My guess is they went public just to get some more capital. I don't think it signals that the long-term outlook is bad, but probably more likely that their net yields have peaked.
I think the biggest danger would be trying to invest in the markets they are in - would be tough to compete against them.
Post: multi family commercial purchase repostitioning potential

- Rental Property Investor
- Tallahassee, FL
- Posts 38
- Votes 15
I'm curious @John Brinkos, did you decide to purchase the property and if so, were you able to get the price down at all?