All Forum Posts by: Jacob Blackett

 Being cautious... protecting our downside and stress testing occupancy and collections rates to new levels to make sure we can survive short term economic downturn in the worst case scenarios. We also used the pandemic to receive a significant cash credit at closing on a transaction we closed Mar 31 - a 256 unit in SC. With the discount and the savings in interest on the loan, we're hoping the pandemic is a blessing in disguise for the deal. 

Congrats on the new book!

We have also seen less new investor sign ups. We finished a raise towards the end of March and closed on a new acquisition on March 31st. For the final subscriptions we were seeking it was evident investors would rather hold off and wait it out. 

That being said, we were able to make it work and there are still people investing. Just less...

Hopefully we continue to get more economic certainty soon and a good rebound- cautiously optimistic.

 You're right, Jay. We have a lot of great partnerships, with very successful outcomes. Sometimes you face adversity, and struggle, and that's applicable for a few of our investments. At the end of the day, we always do our best to see that our investments are performing and when they aren't, we focus on solutions. We've always been able to make improvements. Our overall portfolio is great, and we will correct course on the investments that have struggled and I strongly believe they will all work out! 

 Hi Scott, thanks for reaching out! I'm sorry the update on your dashboard was not clear for you- this means that while Holdfolio has ownership in the portfolio, we are foregoing any share in profits until the portfolio is operating at 100% occupancy. In other words, 100% of profits have been going to investors since the investment started. For Q4 we paid out $5,066.82 to investors, which is certainly lower than the $8k to $9k that we expect from this portfolio. I updated the dashboards to help clear this up- I have the update below for your quick reference. As always, feel free to call me or email me anytime if you have questions. Best- Jacob 

"12/31/2018. We had 2 move outs during Q4, which brings the total vacant properties to 3. One is being marketed for rent, and the other two are in the process of being turned. We are looking forward to this portfolio becoming fully occupied in order to maximize cash flow and overall earnings. Holdfolio is allocating 100% of the earnings on this portfolio to investors until it is performing at 100% occupancy."

@Frank Casi I have been running several businesses since my sophomore year of college, and have over 300 individuals invested with me. Over the course of all of these relationships, both investor related and business operations related, I have never received feedback in the manner that you have chosen to characterize me. I attribute this to the fact that we've never done business together. I wish you the best in your investing, but I believe your judgment of me is unfair and does not reflect my experience. 

 Hey Scott, we're not holding dividends. As I mentioned and as you know, we've paid out earnings every quarter except for one in which there was not enough cash flow to do so. There is no occupancy requirement to payout dividends. I understand your interest in selling your position, and I've kept this in mind. I am going to keep our direct communication to email or phone call going forward. Thank you. 

Scott is referencing an investment in a portfolio of 10 single family homes, of which my company is the manager (I am a partner at Holdfolio).  We paid out earnings on this portfolio for the first three consecutive quarters since the investment started, and unfortunately did not make a payout for Q3 2018 since there was not enough cash flow due to turn costs and property tax allocations. Currently, 9 of the 10 properties are rented and we anticipate all 10 to be rented very soon. It's not uncommon for our portfolio's of single family homes to all be rented at the same time, more often than not this is the case. Unfortunately for this specific portfolio we've had some challenges to work through. We're still optimistic in the long term outlook of the investment and we're doing everything we can to ensure a successful venture for everyone. 

I don't think that will be an issue, you can be clear and explain that you are in the process of purchasing a rental property and you'd like to ask them a few questions about the service they provide- ask for an overview of the services they provide, ask them what they think differentiates them from other mgmt cos, and then ask them about their pricing model. If you get rift on this then make a note that you don't want to work with that company in the future. @Adam Juodis

With apartments, I'd recommend purchasing using about 75% loan to purchase, so you'll put down 25%. At a most basic level, you should be able to refi at year 5 to 7 to recoup your entire 25% down payment capital due to principal pay down and rent appreciation. I think if you spent time reading through private placement opportunities you'll start to get a really clear picture of how these apartments are purchased. Crowdstreet has a good flow of opportunities on their site, it's probably worth your time to just read through all of these opportunities & watch some webinars- a lot of transparency & things to learn. 

Hey Adam, best way to gauge this is to hit the phones and call a handful of PM companies in the area. From my experience, you're pry looking at something around 7%. Nothing better then getting some direct quotes tho