All Forum Posts by: John Fifer

Jenn, Daria, and Christopher, 

Let's just put a date on the calendar that works and broadcast it to see who can show up. I can do evenings on February 20th, (Daria's note meeting is the 21st), 25th, or any time between March 4th - 8th. I can do lunches as well or we might just have coffee or something to say hi.

Something that I used to do was host Cash Flow games which provides a cool basis for hanging around and getting to know one another.  

Let me know what works for you two. I'm excited to meet some fellow investors.

-John

There are lots of risks and rewards for each property type you pursue. 

For a condo you typically only own from the sheetrock in and the COA owns from the sheetrock out. Meaning you are responsible for all the interior improvements (appliances, fixtures, finishes, windows (sometimes), water heater, etc.) and the COA is responsible for everything else. So you don't have to personally fix a leaky roof, but you do get stuck with the sometimes high COA fees or special assessments when an unplanned roof repair happens for the condo complex. COA fees can be really high, but can also be very worth it. You need to see the COA's financials before buying into a poorly run, poorly financed condo association.

Townhouses you own everything and share responsibility for the common items such as shared walls, roof, exteriors, driveways, etc. Sometimes townhouses can have their own HOA with rules as well.

HOAs can be for as little as two townhouses next to each other or 1000s of homes within a large neighborhood. They are just an association of homes with rules and regulations. They can be good and bad depending on the folks on the HOA board and/or the folks managing the HOA for the homeowners. You really should do your research (the app Next Door is great) and request to see the HOAs financials to see how it is being run and that they have the proper amount of reserves in place.

For property managers do your research on them too. Call them, meet them, get references, etc. They can often times make or break an apartment complex or condo complex they are managing. 

For student rentals be aware of the number of new student rental properties being built within the market. If someone builds a complex for 2,000 students, then they might over supply the market which could reduce the number of students in your condo complex and thereby reduce the rent you can collect or increase your vacancy until you find a student. 

@Daria B. Yeah. I’ll definitely look into those groups!

I'd like to join you guys at your next meeting. When do you think you'll meet again?

Front Street based in Gainesville is a good option. Also, Franklin Street out of Tampa does a lot of larger multifamily insurance.

I just sent you a message. Thanks! 

I’ve been a licensed real estate sales agent (independent contractor) for 12+ years and have just started my own brokerage firm in Gainesville, FL. I didn't realize how much this would impact how lenders view me and my business. I still have the same clients and my income is not likely to drop. My credit score is very good and I'm willing to put down a larger down payment, but I still can’t seem to find a lender that will give me a loan to buy my primary residence. A local credit union said they’d need 2 years of track record out on my own or for me to file my 2018 tax returns before I would qualify for one of their loans. As an alternative, they recommended a couple sub-prime lenders that offer loans at higher interest rates of 5-7%. I’ve reached out to them but have not talked with them yet. 

Does anyone know a private lender or individual that would be willing to give a normal loan with a balloon in a few years once I qualify for a traditional mortgage?

I’m interested. Please send me some details.

Thanks for the feedback. The purchase price point of deals I’m pursuing are $50k-$150k with and ARV between $200k-$275k.

I know there’s a ton a variables that come into play, but what are a couple rules of thumb to estimate how much a wholesaler should be charging for a deal? Is 10% of the potential profit a rough estimate? For example, if I stand to make a $50k profit, would a $5k fee be reasonable?