All Forum Posts by: Jonathan Dunn

Hello Rick, I'm about to get into BRRRR and happened to hear an interesting Podcast on BP that applies to this scenario. It was recently posted, "The Incredible Power of Long-Distance BRRRR Investing with Alex Felice". He uses a different strategy with his BRRRR property on the acquisition. When he initially purchases/titles the property and assigns value he places his after repair/rehab costs into the claimed value with the title company (If I'm understanding his methods properly). This then allows him to get most banks to do a standard 75% LTV (Value is elevated due to the initial roll in of after rehab costs when titling). I believe the "downside" is that he cannot depreciate these improvements over the 27.5 years (which is fine with me) but get's essentially the "ARV/Appraisal" amount out soon after the rehab. He also mentions how to get around the seasoning period. I am going back to listen again and write down the details as I plan to use his method. I was driving while listening so I couldn't write down the details. I'm going off of my memory so I'm sure I'm missing some detail. Anyways, give it a listen. It's episode 301. Let me know how it works out and if I'm misinterpreting something. All the best, Jonathan

Hello, I am looking to invest in the Jacksonville area as well. I am willing to spend more to be in Riverside and Murray Hill versus SpringHill areas. I’m looking for both SFH and Duplex-Quads. If you’re an agent familiar with these areas and have properties available please PM me. All the best!

Hey, I’m in the Tampa/Lutz area and looking to acquire multi unit properties (Duplex-Quad) as well and need an agent/broker to work with. I’m looking to network with someone having experience with BRRR. Also, referrals for reputable contractors would be great. Email me if you are interested or have connections familiar with Orlando, Jacksonville, Tampa, New Port Richey, etc. All the best!

Hi @George Despotopoulos . I have found a lender (B2R) that is reputable and will do just that. I absolutely agree with you. There is no need to take unnecessary risk and "hope" a lender does not call my note. I am not in the business of squeaking by and seeing what I can get away with. Solid businesses are built on solid foundations from the get go. I am willing to pay a slightly higher interest rate and work with other parameters such as purchase price, rental income, money down, etc. to get the numbers where I need them to be. I appreciate the honest advice. I was beginning to second guess the BiggerPockets forum value. I've been getting some strange feedback lately. Glad to come across sound advice. Thanks for the input! JD

I am also in this dilemma. I need the asset protection of the LLC. I have two LLC's setup. One real estate LLC is a passive entity and the other is an active property management LLC that my first LLC hires to manage my own properties (Passive losses can only offset passive losses/Active offset active). My "day job" is being an anesthesiologist. I simply use real estate as an investment tool to lower my tax burden and as a primary retirement strategy. For this, I do want the LLC asset protection. I know many members state you do not need the LLC. However, in my case it is in my best interest to isolate my real estate assets from my career portfolio. Regardless, I still want to utilize the leverage of a mortgage instead of paying off every note. Rather than just "hoping" a bank won't call the note has anyone found a commercial lender with reasonable rates/terms for real estate investors such as ourselves?

Hello, I have 2 LLC's setup to shelter assets and limit liability. Originally, I planned on using traditional fixed APR term financing for my future properties. However, I am finding most lenders offering a fixed APR for terms of 20-30 years do not allow them to be owned as "rental/business properties" under an LLC. It appears that I either lose my asset/liability protection of the LLC and keep them in my name or accept short-term (1-10 year) commercial loan financing at higher interest rates? Has anyone found a way around this and/or can recommend a bank/lending institution that does commercial loans for longer terms (20-30 yr fixed APR). For clarification, my goal is not short term gains through flips. I'm looking to buy, hold, and have long term renters. SFH in B+ neighborhoods, etc. Thanks in advance! Jonathan

I'm new to the real estate investment market as well. I have analyzed (probably over analyzed ) numerous properties using various metrics. I found that the Cash-on-Cash metric is valuable for evaluating an investment in a situation such as yours. Not sure what your putting down, but if your cash-on-cash returns are in the 18-20% range your in a good place. Being a HUD your rents will be capped so I don't see you gaining much return on your rehab investments other than to maintain your property for longevity.

Thank you all! Definitely looking forward to networking with you on BP. Has anyone attended a Florida BP investor convention/meeting and do they personally find it of value? Time is probably my most limited commodity at this moment and I want to make sure to spend it wisely. All the best!

Hello, I am a new investor in Florida. Looking to purchase single family homes (3Br/2Ba) in A-B neighborhoods to rent and hold long term. Cash-on-cash > 10%+. Purchase prices around $100k-$150k. I may self manage the first few properties, but plan on having a large portfolio and will ultimately need a reputable property management company. Any recommendations for reputable wholesalers, turn-key properties, agents, contractors, and property managers in the Orlando, Jacksonville, Port Richey, Tampa area would be appreciated! Thanks, Jonathan

Hello, I am a physician in Florida. Just about to get started in the single family rental property business in Florida and Texas. Dallas/Fort Worth/McKinney are on my radar. Are you using any turn key companies/wholesalers or are you looking on your own for properties? Any referrals would be great in the TX and or FL area. All the best! Jonathan