All Forum Posts by: Justin Bearce

 I was running my numbers on the assumption they were paying utilities, and I was only including water, lawn care, snow removal and taxes as well as a percentage going into maintenance and upkeep. You made me scrutinize myself a bit more and I realized there is no indication of multiple heating units or meters and I will need to dive a bit deeper into this. 

Thank you for your speculation and I will get back with a better approximation once I have fully flushed it out.

Hello, 

I have found a 9 unit in my area for $240k it's a large property selling for $14/sqft. 7 of 9 units are currently rented and while the exterior could use a face lift the apartment they are showing off seems to be well kept and easily rentable. Using numbers well below market value I come out with almost $7000 a month in rent while expenses (assuming it's managed personally) come out to roughly $1000. 

But here is the problem. I don't have any means of closing on this deal. I don't have the cash to even get a down payment.  I also am just starting out in real estate having just closed on my first investment. Does anyone have any idea how I could make this happen? I don't know any local investors and given my lack of experience it seems a challenge to find a partner.

if anyone could give me advice to see this happen or if anyone would be interested in exploring the potential or working together on this I would love to hear from you.

I should also note that I have not inspected the property or gotten financials on the property yet. So all above information is speculation. I have not wanted to waste anyone's time without a means of following through should my speculations prove correct.

Thank you,

Justin

Hello, I have just made a deal with a family friend for a property he owns.  We agreed on owner financing and, and all the terms of the mortgage. But we have no experience on how to make any of this a legal transaction.  Can anyone give me guidance on this matter?  I cant really afford a lawyer right now, is there a way to do this without one?

Thanks everyone for the input! I have come up with a potential solution. To verify it's ability to succeed I am going to sit down with them and go over their numbers (didn't want to bother them until I had a solution). If I know it can stay afloat my remaining problem is financing it. 

I have been trying to find an option where I pay no money down. Or at least low money down. Does anyone have some advice on that?

As the title suggests I am wondering if it is possible to get a FHA loan on an owner occupied motel. The motel is 5 units and there is a two bedroom trailer to rent in addition to the one bedroom house. I would be purchasing the motel from my grandparents so if there is another option outside the FHA that would work utilizing any family loopholes or deals to keep the down payment low I would appreciate any input! My hope is to keep the down payment below the savings from not having to use a real estate agent so that my grandparents could potentially pay my down payment and maybe save a few themselves.

Thanks

My grandparents are selling their 5 room hotel (they fully own it). This motel has a one bedroom house (Maine residence with office for motel) and a two bedroom mobile home on the property renting for $200/week. It is also sitting on nearly 6 acres which only about half used. They have told me that in 2017 they made a profit of nearly $30k after doing extensive renovations (new deck, floors, showers, etc..) this is where they live and they do all of the work. 

I want to buy the motel from them, but I have a day job which pays much more. So I could hire someone to run it during the days but with that and mortgage that pretty well soaks up the profit.

I have already considered ways of increasing profit:

-Update systems for online reservation

-look into marketing to bring more attention to the motel

- and currently they are not doing well health wise so they haven't been trying to get any more business than necessary.

But I am looking for ideas on how I could manage to make this property profitable for me. Any thoughts? Thanks!

The best I have is a father with good credit and low to no income and my girlfriend who has a similar credit score and about half my income.

@Nick Calamia To do that would I start with contacting the real estate agent and ask for an intro? I am just not sure quite how to get in touch with the owner to make such an offer. What would be a reasonable rate or deal in that

@Jaron Walling it has a new roof and has no AC but I live in Maine so that's not terribly common anyway.  There is no mention of the furnace other than it has one with baseboard heating and a wood stove.  The house looks like its in very good condition but it is labeled as a "fixer Upper and needs a new leach field." I have not gone to look at it yet because I wanted to ensure I wasn't wasting their time. its entirely possible that there is more wrong with it, but there doesn't appear to be anything wrong with it visibly. 

@Hannah Krebs I plan on going to the bank to talk to them no matter what because that is my ideal situation. Hard money is the only other option on here that i might have a shot at but being unfamiliar with the concept it terrifies me just a little. Thank you for your advice.

Also fr what I have seen it's in good condition just needs a leach field

This will be my first investment and I have a decent job but I have nowhere near that in savings. And wouldn't for quite some time.