All Forum Posts by: Jason Coleman

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $195,000
Cash invested: $28,000

Seller financed deal at 10% down 5% interest. Older lady wanted the cashflow instead of a lump sum at closing. We are tearing down this house eventually and building a multifamily complex on the land. This is currently operating as a rooming house. 12 bedrooms, 3 bathrooms. Bathrooms are cleaned weekly by professionals and the house is treated for pests monthly. This helps with complaints from tenants.

What made you interested in investing in this type of deal?

The development potential.

How did you find this deal and how did you negotiate it?

On the MLS then communicated with the seller the benefits of seller financing.

How did you finance this deal?

Seller Financing

How did you add value to the deal?

Paint, roof patches, not much rehab on this one. Painted 6 rooms.

What was the outcome?

Buy, Teardown, Build. #thatstheplan

Lessons learned? Challenges?

YES. Rooming houses are a whole different ballgame when it comes to management. It's very difficult to find a PM that will manage these properties for us. The are a nightmare to manage but it's decent cashflow AND a temporary rental play.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am an agent as well as an investor

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $175,000
Cash invested: $25,000

Duplex purchased via seller financing @ 10% down 5% interest. Development play. We will tear down this property in 3-4 years once city approves project.

What made you interested in investing in this type of deal?

We plan to build on the entire block in 3-4 years.

How did you find this deal and how did you negotiate it?

Asked the seller if she was interested in selling anything else.

How did you finance this deal?

Seller financing

How did you add value to the deal?

Paint, HVAC repair, new LVP flooring in one bedroom and bathroom

What was the outcome?

BAH

Lessons learned? Challenges?

We need to purchase one more property on this block in order for the city to let us develop on the land.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am in investor agent. Best job in the world haha. A roller coaster tester would be cooler but that ship has sailed.

Investment Info:

Other buy & hold investment.

Purchase price: $105,000
Cash invested: $110,000

Purchased as part of a 6 unit package deal. Bought this one in cash to make the whole portfolio "refi-able" once we renovate the other units. Basically I am hedging my bets on interest rates and decided to buy this last one in cash in order to increase our chances of being able to refinance and still cashflow next year. We will eventually (3-4 years) tear down this property and build a multifamily complex on the land.

What made you interested in investing in this type of deal?

The development potential

How did you find this deal and how did you negotiate it?

Asked the seller "what else do you have?" ; )

How did you finance this deal?

Cash

How did you add value to the deal?

It was a solid cashflow play even with a conventional loan. Since we own it outright that gives us more flexibility on exit strategy if needed.

What was the outcome?

Buy, Hold, Teardown

Lessons learned? Challenges?

I always ask the property owner if they have any other properties they might be interested in selling.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I am an agent. I hired myself to represent myself which was mutually beneficial to me, myself, and I ; )

I went inside that house before you purchased. It was destroyed haha. You did an incredible job. Congratulations : )

Hey Cameron, Not all property managers are created equal haha. I have gone through a few property managers in the area and finally have found a couple I trust with some of my properties. Acorn+Oak manages a couple of my rentals but I would still be careful. They just lost a HUGE member of their team that transferred over to a competitor. So I'm slightly concerned until the dust settles.  Happy to help if you want to shoot me a message or get on the phone. There are PM's that I wouldn't pay a dime for in the Triad so just be careful. Just like @Drew Sygit mentioned, you have to do your due diligence with PM's 

I am an investor agent based in the Triad, NC market. Happy to refer you to a member of my team that would best suit your needs. There is still cashflow in the Triad but like @David Lutz said, you have to be careful about which neighborhoods you invest in. Happy to help. 

Investment Info:

Single-family residence fix & flip investment in Burlington.

Purchase price: $70,000
Cash invested: $76,000
Sale price: $126,000

Purchased with HELOC. Deep clean, handyman items, re-list and profit. Easy peasy : ) Update 8/1/2022 We found a cash buyer who paid 126k!!! Woop woop! Love this game : )

What made you interested in investing in this type of deal?

Quick cash

How did you find this deal and how did you negotiate it?

Direct

How did you finance this deal?

Cash/HELOC

How did you add value to the deal?

This was an easy deep clean, junk removal, rip out old carpet, then sell.

What was the outcome?

Almost 50k profit

Lessons learned? Challenges?

I always disclose a full inspection report on my flips/wholesales etc. Makes it easier for me overall and you don't have to sucker anyone into the deal.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I'm an Investor/Agent. I hired myself ; )

See you at BPCon!!! Woop woop!

Hey Carson,

I've closed multiple MHP's in the Triad. Shoot me a message and we can discuss. 

What type of contractor? Do you need a GC or a bunch of subs? Can a handyman do most of the work? I have trusted contractors, just need to get me in the ballpark