All Forum Posts by: Anil Samuel

Definitely!

Sweet!  Great job, Brandon...

I like the Tactical Property Investments, sounds like you are doing something very physical that includes strategy.  To me that is what sums up wholesaling.  You have to get out there and hustle, so I believe Tactical is a good way to describe it.

You can try and market it to another investor.  Is she willing to do seller financing?

Baltimore?

What aspect would you like to invest in?

I would speak to @Tyrus Shivers, @Nancy Roth, or @Denise Uhrin for investor friendly realtors.

I originally saw this property going for 399k at an estate sale, the auctioneer has since raise the price to 525k.  I am still trying to do my due diligence on the property to see what the actual operating expense will be.  Zillow says it is worth $340k.  There are single family houses and a bank next to the property as well as a school.  Some of the SFRs are selling for $500k. It seems like a B/C class property.

Most of the efficiencies were occupied (13/17). I believe the garages were vacant but could produce gross rent of $20k/year. I believe there were 3-4 of them.Without the garages rented out the income is about $190k,  

Large Commercial Warehouse with 2 Single Family Homes and 16 Efficiency Apartments
ZONED BL
Scheduled Monthly Income $22,558
Scheduled Annual Income $272,496
TOTAL BUILDING AREA IS +/- 9,748 Sq. Ft.

The Site is Roughly Rectangular and has +/- 140' of Frontage on Old Philadelphia Road, a Northern Boundary of +/- 374', a Eastern Boundary of +/- 171' and a Southern Boundary of 251'. The Total Site Includes +/- 43,124 Sq. Ft. According to the Tax Records.

Click Here to View Map
Click Here for Rent Roll

• Warehouse: 4 Bay Door Entrances, Small Finished Offices, 2 Bathrooms, Central AC.
• 1 Single Family Home: 1BR/1BA, Window A/C Units
• 1 Single Family Home: 2BR/1BA, Central A/C
• 16 Efficiency Apartments: Small Kitchens, Bathrooms, Window A/C Units. Most Apartments are Carpeted.

ZONING: BL- Business Local
REAL ESTATE TAXES: $12,486.19 (2014-2015)
TITLE: Fee Simple. Sold Free and Clear of All Liens.

Thoughts?

@J Scott Are you looking to invest in Baltimore city or outside?

@Nilesh Makhija Is the 6% ROI or cash on cash return?

I hold properties for the long term. I have been reading a book (Nickerson_William_-_How_I_Turned_1000_into_Five_Million_in_Real_Estate_in_my_spare_time) which talks about pyramiding properties.  Buy properties that need to be rehabbed and fix them up (forced appreciation which will allow you to possibly increase rents), rent them out for a year or two,  then use the equity built into the first property as a down payment for the next property.  When you say move to another property do you mean acquire another property or sell the one you have and up one to a bigger one with more cash flow?

You may want to look at the following article by @Ben Leybovich:

http://www.biggerpockets.com/renewsblog/2013/04/16/forced-appreciation-expandability-single-multi-family/

The financing for a buy and hold portfolio via a portfolio lender requires 20% for each property generally from the banks I have spoken with. You can buy a homepath home with a mortgage that requires 10% down or you have can use HML to acquire a property and fix it up, but you still have to come up with "some skin in the game" of 10% (purchase price or rehab costs, sometimes both), then you will have to re-finance out of HML into a conventional loan since hard money lenders only want to lend for about 6 months and they want you to have multiple exit strategies such as selling retail or refinance.