All Forum Posts by: Jake S.

@Adrienne Donner We personally do the business account, due to the analytical features and the contact button feature!

Hey @Daisy Ferreiras! Im not from the area but I can make a good suggestion!

I'd go to at least 5 local community banks and credit unions and sit down with them to discuss your goals and vision and also ask what they can offer you.

Just pick the one that vibes the best with you guys! 

Our investment group has a 54 unit C class apartment in Iowa under contract that we are putting our cash into but will likely need additional investors. 

The property is in a great location, presents opportunities for us to go in and raise rent on average $200/mo per unit and restabilize the property. We provide our investors with a solid above average return with below average risk.

Investors must be accredited and minimum is $100k per investor

Feel free to reach out and I can provide you with more information about our company and the deal at hand.

Thanks!

Hey Robert, since it's a 5 plex, it'll likely be valued as an apartment. 

Request from the seller their Profit & Loss Statement from the last 12 months and the rent roll.

Then, you can see the current income/expenses to know what current profit it makes.

Then, you need to look at what the cap rates are in the area based on comp properties

Once you find that out, Take the profit/net operating income and divide it by the cap rate.

So say it makes $20,000 profit and the cap rates in the area are 6%

$20,000 / 6%  = $333k (value of building and your offer price)

There are a few more factors but that should provide you with enough info on how to find the value of the building

@Bonnie Donahue no problem!!

@John Woodrich might be able to provide further assistance if he has the time

@Johnnie Bembry No problem! Best of luck on everything!

@Johnnie Bembry I'm 100% in favor of that as long as you have a bit more equity built in.

Your return on home equity is always ZERO

Checkout this article: https://www.getricheducation.com/why-home-equity-is-an-awful-investment/

Hey @Bonnie Donahue! I cannot give this sort of advice, as such, I'd defer to another CPA but I personally use an LLC with my wife on most of our properties and businesses currently

@Henry Escobar I would too, better to be certain! Glad to see you are doing your due diligence on this man!

@Johnnie Bembry Okay so youd be able to withdraw about $20k or so if you have to maintain 20% equity.

I'm not sure it's worth it quite yet then