All Forum Posts by: Kyle Curtin

Quote from @Dave Kush:

I'm interested your recommendations for a wifi door lock. Is there a certain one you really like for STRs, and what do you like about it? Thank you!!

Hey man! I highly recommend the Schlag Encode. It runs about $350 but has a pretty awesome app that gives notifications on if the door is open/closed, you can open/close remotely with a button push, and you can create up to like 100 custom pin codes and change how long certain codes are good for etc. The install was very easy, it is a bit pricey but other than that I love everything about it. The only other thing, it takes 3-4 AA batteries I believe (I forget lol). Not sure how long the batteries usually last but I’m thinking of keeping a secret lockbox hidden somewhere outside with a physical key to that lock in the case that the batteries die and I am offsite etc. I like it man!

Quote from @Waylon Bruce Moore:

We have a five-bedroom house that will be a co-living space with room rentals. We are looking to install keypad door locks / levers or knobs (not deadbolts) where the access passcodes can automatically be changed when new tenants come. What would you recommend for the wifi door locks and the software to run them?

Hey man! I highly recommend the Schlag Encode. It runs about $350 but has a pretty awesome app that gives notifications on if the door is open/closed, you can open/close remotely with a button push, and you can create up to like 100 custom pin codes and change how long certain codes are good for etc. The install was very easy, it is a bit pricey but other than that I love everything about it. The only other thing, it takes 3-4 AA batteries I believe (I forget lol). Not sure how long the batteries usually last but I’m thinking of keeping a secret lockbox hidden somewhere outside with a physical key to that lock in the case that the batteries die and I am offsite etc. I like it man!

Quote from @Grant T.:

Hey everyone, I am new to Bigger Pockets so forgive me if I am posting this in the wrong area. I am 23 years old, own an LLC with my father and brother, and live in California. We are about to close on our first investment project. We bought land on a golf course in Montana, built a house, and am in the process of selling it. The closing date is scheduled for 9/8. Don't get me wrong, it was awesome completing our first real project and we learned a lot. We are making a decent profit but we do not want to do this again. Over the time this was built, I fell in love with studying rental properties and learning all about them, it's honestly an addiction now. We have all agreed that we are going to roll all of our cash and profits into multifamily rentals, and I basically have the most influence and decision power in terms of what we buy and where. My top locations right now are Columbus, Cleveland, Tennessee (still need to do more research on Tennessee but I like it a lot so far) , and possibly Texas if I can find a deal. Lastly, assuming closing happens, which it most likely will, I will have roughly $250k for a down payment, closing, and rehab if needed. I am still very aggressively looking, studying, and learning about other markets across the country. Any advice would be greatly appreciated from those who have done this before. Thanks.

Congrats man!!! Hell yes!!!! Have you ever thought about doing a JV with other super experienced investors in the area to take on bigger projects and leverage other’s skillsets & relationships to scale up? Just a thought! :)

Quote from @Luca Perinuzzi:

I'm studying for my real estate license, and plan to primarily work with investors once I'm licensed. How would you recommend finding a brokerage with similar interests/goals that could possibly be a sponsor. Also things like culture fit, company goals, etc. Just looking for a way to go about finding these brokerages. 

Hi Luca! Congrats on pursuing agency and seeking working with the investor crowd! My biggest recommendation is to look on social media and see who the “big” players are for investor focused teams in your area. In my area I am on a team of 40ish agents that are ALL investor focused and either currently have an investment property, OR are looking to buy one in the next 12 months. There likely won’t be many teams, it might be a little hard to find but with a little bit of digging you will find them :). Maybe throwing out a specific post for seeking investment focused brokerages in the Long Island area on BP and see who reaches out as well :). The culture component is ESSENTIAL! The investor sector of the real estate agency side is different than the residential (more single family heavy) side for many reasons. But one big one, you never know who you are going to do a deal with and most of the investor focused agents are very apt to helping each other. The other fellow agents in our office are ALWAYS down to help each other and intro to other investors, contractors, property managers etc. I would start there and see how it goes :) Good luck on your test!

Quote from @Brett Deas:

To end up co-gp a project it takes months of back and forth for me to feel comfortable. One thing I will say is as you do your first few it becomes easier to trust people and your list of people you truly want to work with gets really small. I don't venture out beyond my current 3 co-gp's because it just isn't worth my time to vet people anymore, my guess is that you will arrive at that conclusion soon as well.  

I was definitely in the same mindset man :). It blows my mind how many sponsors are posting their 506c deals in Facebook groups and trying to just throw crap against the wall and see what sticks for try to get people to raise for them… Not a million years without “dating them” for a while first haha! Awesome advice man thank you :)!

Quote from @Arouna Koroma:

Hello - I'm a real estate broker and investor with 27+ yrs in the industry however it's my first week as a BP Pro account user ;-) 

I have a private investor interested in a 5 unit building I have under contract. The plan is to hold the property for about 18-24 months then convert it to a single family home and resell it on the market. It will carry itself for the most part during hold period and my private investor is willing to assist with any downpayment and renovation costs needed. My question is which analysis calculator should I use to show my investor his ROI?

Quote from @Arouna Koroma:

Hello - I'm a real estate broker and investor with 27+ yrs in the industry however it's my first week as a BP Pro account user ;-)

I have a private investor interested in a 5 unit building I have under contract. The plan is to hold the property for about 18-24 months then convert it to a single family home and resell it on the market. It will carry itself for the most part during hold period and my private investor is willing to assist with any downpayment and renovation costs needed. My question is which analysis calculator should I use to show my investor his ROI?

Hi Arouna! I love your Pro account icon haha good stuff! I think first it boils down to if he is looking to invest as debt or equity. There is a huge difference between the two.

Debt: Is he looking to just park his capital with you for a fixed rate of say 8-11% annually for 24 months on a promissory note? Is he looking to just stay passive? In that case you could calculate his return now and you know what you are working with and numbers you need to hit.

Equity: This one I am not entirely sure how you would calculate it to be honest. How active does he want to be in your deal?

I agree with everyone below. This type of financial ecosystem will really test the abilities of asset managers to be able to execute the business plan. I have heard time and time again from sponsors that I know as well as on podcasts that purchasing large multifamily from 2020 and on basically was an area that you couldn’t lose capital if you tried to. Sponsors used variable rate/bridge debt at the time to be able to get in, and now many are in trouble. The environment is different now… The group that I work alongside on the syndication side are based in Mass. and do small syndications under 100 units in central & western MA. We ONLY use fixed rate debt from strong relationships with past small credit unions for these projects, as we are not comfortable with the volatility of a floating rate when deploying our passive investor’s capital. This has its pros and it’s cons, including taking longer to find opportunities that pencil, but it has the pro of knowing where you will be from a fixed rate situation, usually there is 12-24 months of IO in there to help stabilize before a capital event in yr 3-4 etc. It is going to be very interesting to see the next 12-24 months, the value of your relationships with all of your team members & vendors is everything, especially now… But There also will be a lot of opportunities coming to the table for stronger operators to be able to leverage :) Just my 2 cents!

Quote from @Turgut Oz:

How to source them to get notified about potential off-market deals? I am in DFW area but neighboring locations are also doable.

Hi Turgut! One thing that we are currently experimenting with is learning the brokers goals and potentially cutting them in with some sort of passive role on a deal that they bring to us. A little bit of a different type of incentive to bring properties to our group. I met with a broker a couple weeks ago that has been trading local large multi’s and large commercial for 40-50 years and she is looking to get into the passive side and learn the syndication model and sort of step back from her business. We are the ones to be able to teach her that business :) and is a very present opportunity to provide massive genuine value in a mutually beneficial fashion.

This technique absolutely will have a lot of variables present when it comes to the type of deal you are looking to do and the back end logistics-if it is feasible to be able to cut up the pie, as well as if something like this fits the broker himself/herself and their goals. But something that we are pushing, trying to get a leg up and try something different :) 

Hey guys!

What tips do you guys have for vetting other Co-GP’s /Sponsors to potentially work with (especially not in your local markets!)? I have gotten pitched a few times from a few sponsors across different parts of the country to raise with them and just trying to safely create an SOP for navigating that dynamic.

I absolutely aspire to be a part of a few GP teams doing the investor relations end and raising what I can in the near future, but feel like I have to have a very solid relationship with them, fly to the markets and check out the building/area and get a VERY solid picture of what’s going on, meet the rest of the team in person for lunch, take like 6 months to build a relationship with them and kinda date them in a way etc. before considering working even working together….

I know some of that is probably overkill but it is just my initial thought from a core value and genuine relationship building standpoint and if I am confident putting my investors capital as well as my name & reputation on the line. I feel like I need to have a very good understanding of all of the people involved and logistics of the market, drivers, deal, the whole gamit haha.

How do you guys that are Co-Gp’ing with other sponsors and Fund of fund managers like to vet your sponsors to work with? Aside from just track record and everything on their website and tactical spreadsheet lol.

Thank you!

Kyle :)

Hey man! Can you do keep going with the rent concessions instead of decreasing the rents? 

How do the asking unit rents stack up against the market rents?

How do the unit conditions stack up against the markets expectations?