All Forum Posts by: Jason Martindale
Jason Martindale has started 1 posts and replied 7 times.
Post: Interested in Multi-family investing in Toledo- Need feedback
- Posts 7
- Votes 4
Originally posted by @Greg Scott:
I do have investor friends that have bought double digit caps fairly recently, but mainly duplexes.
Talking about cap rates with a duplex is mixing two things that don't naturally go together. Duplexes are not valued on the income approach, therefore a cap rate is not a meaningful metric. Focusing on that might cause you to overpay.
Thanks Greg a very valid point. I do know they are first looking at the market value using comps and are only buying at a discount, then they look at the ROI as well. They are mainly using "gate keepers" to find their deals, which would include wholesalers. But I have noticed some negative comments about wholesalers on this site. I guess like anything else, there are a few good ones and a lot of bad ones. I guess it all boils down to doing your homework and building relationships with the right people, which I am trying to do. Thanks again for your feedback, I really value your time and contributions made here!
Post: Interested in Multi-family investing in Toledo- Need feedback
- Posts 7
- Votes 4
Originally posted by @Account Closed:
Originally posted by @Jason Martindale:
Originally posted by @Account Closed:
I would advise you to avoid Brooke Park Drive where you will see many multi units for sale, but it’s a horrible street definitely avoid.
Thanks Michael, I highly appreciate this info. I was actually looking at a building there, which looked decent and its immediate surrounding area also looked decent from what I could see . And when I looked up on Trulia, it showed a low crime rate area. Are you able to share why this is a horrible street to avoid? I'm just wondering what I was missing and what I could maybe do to be careful of a bad area that looks decent at first view (I guess coming on here is a good start). Thanks again!
Check out this thread:
https://www.biggerpockets.com/...
As far as avoiding bad areas your real estate agent in Toledo can surely advise you which are good/bad, or yes just ask on bp lol.
Thanks for the link brother, I appreciate it and appreciate your involvement and contributions to BP. Without your assistance I would of thought that this area was a decent investment area. Its funny how Trulia says this is a low crime rate area. Maybe its where lots of criminals live and they do their crimes elsewhere lol.
Post: Interested in Multi-family investing in Toledo- Need feedback
- Posts 7
- Votes 4
Originally posted by @Account Closed:
I would advise you to avoid Brooke Park Drive where you will see many multi units for sale, but it’s a horrible street definitely avoid.
Thanks Michael, I highly appreciate this info. I was actually looking at a building there, which looked decent and its immediate surrounding area also looked decent from what I could see . And when I looked up on Trulia, it showed a low crime rate area. Are you able to share why this is a horrible street to avoid? I'm just wondering what I was missing and what I could maybe do to be careful of a bad area that looks decent at first view (I guess coming on here is a good start). Thanks again!
Post: Interested in Multi-family investing in Toledo- Need feedback
- Posts 7
- Votes 4
Originally posted by @Stephen Brown:
Hello Jason! You've come to the right place! Toledo is a great market and yes you should have bought more! If you want a solid four unit you should check out our Southwyck neighborhood. We also have plenty of 5 to 6 units in 43606. If you'd like to chat more feel free to shoot me a message.
Hi Stephen, thank you for your reply! I am not familiar with Southwyck, just checked it out, looks like a nice area but seems like it might be hard to get the type of cap rates I am looking for there? Regarding 43606, it seems like its a mixed bag over there and can find an opportunity if you pick your location properly. I just don't want to be in a high crime rate area and want something that is solid.. not too worried about cosmetics. I will also message you directly a bit later. Thanks again!
Post: Interested in Multi-family investing in Toledo- Need feedback
- Posts 7
- Votes 4
Originally posted by @Greg Scott:
In the US a quad is valued on Comparative Market Analysis or comps. Five units and above use the income approach.
Speaking of income approach, I haven't seen a double digit cap rate in many years. If a property has a lot of upside, you are definitely not going to be anywhere near that.
In Toledo, you really need to pick your spots carefully. The city as a whole hasn't seen much growth. The areas with the highest cap rates will likely have the lowest potential for growth, and visa versa.
These days, to generate about $1,000 a month cash flow, you are probably looking at an investment of around $250K
Hi Greg, Thank you very much for your reply and sharing your knowledge, it is highly appreciated. It seems like things have changed a lot since I bought my duplex there. I do have investor friends that have bought double digit caps fairly recently, but mainly duplexes. I am not too concerned about growth, more interested in cash flow... just hoping there would be no decline in what I pay. Is there an efficient way to target areas? So far I have been using Trulia and their crime rate tool. Also, just so I understand, are you saying that I would need to buy something cash $250k in order to generate a net monthly cash flow of $1,000? That would only be a 4.8% cap, which seems extremely low. Or is that assuming there would be financing? Thanks again, I really appreciate it my friend.
Post: Deal of the Day RETURNS!!!
- Posts 7
- Votes 4
Hello, can you tell me when this deal of the day will done and how do we go about watching it? I am brand new to here :-)
Post: Interested in Multi-family investing in Toledo- Need feedback
- Posts 7
- Votes 4
Hello everyone,
I am brand new to this site and excited to make my first post.
I am determined to buy multi-family in Toledo for long term hold, that has good cash flow (double digit CAP) and some potential upside. I would be interested in minimum 4 units up to 20 units, as I also have a couple of partners in case it is out of reach to do on my own (more than 8 units). Ideally, I would like to find something that cash flows a minimum $1,000 per month NET.
I currently have 9 units in Canada and a Duplex in Toledo that I bought during the financial crisis (I really should have bought more). So I am just a small fish at the moment, but not a newbie.
I have not actively invested in many years now, as I was very busy travelling the world working on cruise ships, and then travelling more during my holidays.
I have been living in a bubble for many years at sea, so I figured it would be a great idea to join BiggerPockets in order to make new friends with likeminded people and hopefully fast track to doing a deal, as I don't want to take forever to learn about the current market and areas, find deals and basically reinvent the wheel.
Is there anyone willing to share some tips / advice / feedback on what areas to focus on, where to find deals or anything else that you might find beneficial?
Thank you very much in advance, I highly appreciate you!
Jason