All Forum Posts by: Jeffrey Holst

Anyone else have thoughts on this topic?

Welcome.  Chattanooga is a great market.  Hope your investing here goes well

Seems to me the bigger problem is the coming economic Singularity where all jobs are automated by artificial intelligence. When there are no jobs the economy will have to change its going to be a dramatic and rather Sudden Change in the next 15 to 20 years. This process will greatly outweigh any economic blip even something the size of the Great Depression.

I have a 12 unit  ( townhome style, 2 bed 1 and a 1/2 baths) in Ringgold GA about 10 miles from Chattanooga in a great school district.  I wasnt planning on selling but Id sell it at something better than a 7 cap if you are interested.  Noi is about 65K 

Feel free to PM me for more details

The problem with this calculation is not all properties and borrowing costs are equal.  I think its more important to calculate total costs for a property and then add debt service in last to see if the property meets your criteria.  

For example if rent is 1000 but costs are 200 then 400 debt cost is great but if rents are 1000 and costs are 700 then 400 debt service is terrible

HELOC stands for Home Equity Line of Credit. So it is not possible to get one on non residential property. That being said it is possible to get a line of credit against provided there is sufficient equity. These lines require the involvement of a commercial lender but can make sense.

@Account Closed hope that helps

@Mary Jay If you like being a land lord then just wait for the right deal.  Keep looking and if you dont find it now you will eventually.  Rushing into a new strategy just because its expensive now only makes sense if you really also like the new strategy.  Its important to enjoy what you do or you are more likely to get burned.  

Hey I have a 5 billion dollar idea.  What if I had a plan to double all your rents and still have the same occupancy while at the same time saving 10% on costs?  Is that something you would be interested in?  #askingforafriend

I can be done, its just harder to find now.  anything multifamily and 10 cap is getting difficult outside of terrible neighborhoods.  Honestly maybe B class isnt possible but high C class can be done in some markets yet. 

@Drake EspenlaubI did something similar once i actually just decided not to do a portion of the project and the bank just based the refi on an as is appraisal. It really didn't make that much difference other than I got a little less out than I maybe could have.