All Forum Posts by: Michael Williams

How would I be able to make offers on multi family properties in my area without a pre qualification letter from my lender? I have a family member who will loan me the down payment on a multi family property, they have not transferred the funds into my account yet. How would I still be able to make offers on properties? Or should I just wait until the funds are in my account and receive a pre approval letter from my lender?

Investment Info:

Small multi-family (2-4 units) buy & hold investment in Sacramento.

Purchase price: $480,000
Cash invested: $15,000
Sale price: $750,000

My wife and I purchased and house hacked our first duplex, we've moved out summer 2020 and we currently cash flow over $1000 a month after all expenses are paid. My wife and I recently sold this property, it was a great experience learning how to manage a duplex. Now we feel more comfortable purchasing and managing a small multi family property.

What made you interested in investing in this type of deal?

This was our first house hack. We purchased the property with a VA loan at a 4% interest. It was a good experience managing tenants that were a few yards away.

How did you find this deal and how did you negotiate it?

My wife found this deal on craigslist in winter 2018 from a house flipper. The couple flipping the house converted the garage into a two bed one bath unit with a garage.

How did you finance this deal?

We used a va loan, this allowed us to put 0 down and we received a great interest at the time. We refinanced for a lower interest rate 14 months later.

How did you add value to the deal?

We renovated the smaller unit by adding new windows and a fence separating both units.

What was the outcome?

We sold this property in summer 2022 for a great profit! We used the profit to purchase our current home.

Lessons learned? Challenges?

Always have reserves after the purchase of an investment property and vet your tenants well.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes I did and I will add their information in the next few days with their permission.

How should I begin to create a property management system that will apply for small and large multifamily properties? I do not want to use a property management company until I have more units but I'd like to self manage until then. What are good programs, spreadsheets, etc. I'm creating a property management business from the ground up and would like to know what are necessities. 

Do I need to contact a SEC Lawyer if I plan on syndicating an apartment deal using a private loan from family? Or would a real estate lawyer help me write up the correct contracts? 

I'm looking for a good real estate lawyer in the Sacramento, Ca area. I need some contracts written up and legal advice. I plan on purchasing my first apartment building by the end of this year and I need to know if I should create an LLC, contracts between private lenders, etc. Thank you Biggerpockets

Anyone signed up for the biggerpockets bootcamp? The first session was just finished, I learned a lot of good information so far. Looking forward to connecting with people in California interested in purchasing multi family in and out of the state. 

Congratulations!

I’m trying to buy my second investment property with no money. Having a hard time finding my second deal, I’m having luck with contacting small apartment building owners but they’re not willing to seller finance. Should I contact hard money lenders or private lenders? Where should I look?

Depends on your long term goals for this property? If you've repaired all of the major discrepancies can you still get a tenant in there and receive cash flow? If the repairs are too much and you won't be able to rent out the property before your reserves ran out maybe you should think about selling. Good luck

I just signed up for multifamily investor bootcamp, I've never signed up for one of these before. Is it worth the money? Will I see results after taking the bootcamp or did I just waste my money? How has the biggerpockets bootcamps helped anyone else?