All Forum Posts by: Matthew M.
Matthew M. has started 12 posts and replied 44 times.
Originally posted by @Ozzy Sirimsi:
You are looking for somebody who tells you every small details or does a good job and gives overall pictures and important stuff???
Well I'm looking for someone whos competent and going to give me an accurate assessment of the condition of the property. So I can have the seller rectify any issues so I dont get caught off guard later.
Thanks alot
Originally posted by @Ozzy Sirimsi:
How much did you pay for it?
It is not a B neighbourhood that is for sure.
Hey Ozzy, since I have your ear do you think you can recommend a good home inspector that your familiar with? Id like to not use the sellers recommendation. I need to call for a home inspection and would like a good referral.
Originally posted by @Ozzy Sirimsi:
Originally posted by @Matthew M.:
Originally posted by @Ozzy Sirimsi:
How much did you pay for it?
It is not a B neighbourhood that is for sure.
Under contract for 165k, 20% down. Awaiting appraisal. I'm ok with paying market value for a property with a full renovation and strong cash flow. It was a complete gut job and they did a pretty nice job with the renovation.
You are paying market price. Since you know that there is no problem.
Overall, they are okay neighborhoods unless house is in a bad block. You can rent them, you are looking at lower credit score applicants, but good amount of them owner occupants. Lately, some DC folks buying around there to live in, so I personally would not buy, but it might work well for you.
Well that's encouraging, thank you for your input. I realize its my own lack of due diligence that caught me off guard here. But it cash flows strong and if proper tenant placement is done then I think it will be a solid investment.
Originally posted by @Ozzy Sirimsi:
How much did you pay for it?
It is not a B neighbourhood that is for sure.
Under contract for 165k, 20% down. Awaiting appraisal. I'm ok with paying market value for a property with a full renovation and strong cash flow. It was a complete gut job and they did a pretty nice job with the renovation.
While really my only concerns are the security of the property and the quality of the people in the area. I'm sure they're investors that invest in this area more than others I would just like to get 2 sense on the area.
I have a question for those who have experience with the Baltimore market.
I'm just trying to reach out to any real estate investors in the Baltimore area.
I'm currently under contract for a turnkey rental property in Baltimore Maryland.
The company I'm working with marketed their fully renovated Baltimore properties in mostly B neighborhoods. Im purchasing this property out of state and based on the market trends of the particular zip code I decided to pull the trigger on the property.
Since I am only 3 hours from Baltimore after signing a purchase agreement on the property I decided to take a trip down just to get a feel for the neighborhood and the property itself as it's a full renovation and want to see the quality of their work.
Now I have some concerns of the neighborhood. I'd like to know what you guys think of the 21229 neighborhood for long-term rentals. Specifically the Irvington neighborhood. this is definitely not a b class neighborhood although the numbers on the property are strong and appreciate your rates are high.
I am worried that I am purchasing property in a rundown area when the market trend signaled differently
@Christopher Suh
Good morning. I realize that this post about a turnkey company with properties in OH, with cashflows 600 to 800/ month was from 2015. But i am currently in the market for turn key and would like to see what this company has to offer. Do you still have the name of this company?
Post: South Florida BRRRR Post Covid
- Posts 47
- Votes 9
Originally posted by @Marcus Auerbach:
@Matthew M. your reverse engineered numbers are correct - I have been doing BRRRs for over ten years and we still do and it's very hard to hit 25% equity at the end. I am usually at 10% sometimes less.
One issue is that the market is currently not willing to give you enough discount; we have a chronic housing shortage driven by demographics and with everything selling fast sellers don't build up enouh motivation to basically gift you equity.
Off market deals are your only chance, but you will have to work a lot harder find those. I buy personally still 80%+ from MLS..
Even if you don't hit 25%, you still have ahouse that is in much better shape than the market average. That will pay over time.
One trick is to skip expensive items like a new roof, which you get nothing for in terms of ARV. But you are really only taking from your future self.
Thank you so much, alot of value here. I just feel as if it would be a failure if I were not be able to pull at least 90% of my capital from the deal at the end.
The whole part of this strategy that is attractive to me is the ability to repeat the process and scale. Otherwise why not just purchase turnkey or close to it and put 10% down and call it a day.
Just trying to validate this strategy in todays market.
Post: South Florida BRRRR Post Covid
- Posts 47
- Votes 9
Originally posted by @Dean Fiacco:
Hi @Matthew M. I'm also NYC looking in SoFla, although I'm looking at a house hack strategy given that I'm not in NYC at the moment. Let me know if you'd like to connect
If you need contacts I have a great agent the has experience from Broward county all the way up to Gainesville. I also have a GC and broker as well. I would love to connect If you have knowledge of either market
Post: South Florida BRRRR Post Covid
- Posts 47
- Votes 9
Good morning RE investors!
I love posting here on BP, the feedback I get is always so great. Id like to start with im a newbie investor.
Long story short is ive been following BP for a couple of years and Im ready to brrrr my first property.
Ive assembled a team, agent, GC, broker, pre approvals for hard money, all of that. I live in NYC and am Investing in South Florida, Palm Beach County, Broward County.
Im having a serious problem with my deal funnel. My agent is great, good friend of mine, as is the GC. But I dont not think he is really grasping the concept of what I am trying to do here. Ive explained the all-in at cash out, refi to cover investment, strategy to him and it seems like hes getting it but then im getting properties funneled my way needing full rehab but only listed 30 or 40k under a 300K ARV. Im reverse engineering the numbers based on the ARV of all these properties im seeing and im just trying to wrap my head around this.
I cant wrap my head around how on earth im going to be able to land a property at basically 50%! of the ARV. How are investors finding these deals?
When all the numbers are done I need to be all in 225k on a 300k property. Minus the rehab 50-60k, minus the financing cost, minus closing and minus my 25% equity lenders are now requiring for the purchase price(Hard Money). So all in to truly pay back the lenders with interest and get my cash equity out my purchase price is a little more the half the ARV.
Im very optimistic BUT, how are you guys getting your deals?