All Forum Posts by: Mike Dymski

Some of the OMs in my local market include financing terms from a prearranged non-bank lender, including their reserve requirements, and the brokers include them in the financials to have the full underwriting picture.

On a side note, I feel that lender reserves are too low for estimating true cap ex on long-term holds.

IMO, direct REI is too much work to only earn the cap rate.

Search "allure" on BP and you will find many posts on it....most on BP love the click-lock.

I'm using 10 year vinyl sheet flooring in kitchens, living rooms and bathrooms in a C class apartment.  It looks like real hardwood and the tenants love it.  My friend owns a flooring company and his clients/developers are putting it in new construction A and B class apartments.

Regarding contractors, truth be told, most investors are not going to recommend their contractor. It's very hard to find good affordable contractors and, once an investor does, they try to keep them busy and hang onto them. IMO, finding and managing contractors is the most challenging part of REI,

Check out podcast #152 for good dialogue from some seasoned investors on D class investing.

https://www.biggerpockets.com/renewsblog/2015/12/1...

I'd recommend ensuring that you have an accurate annual cap ex reserve factored into your modeling.  That cap ex will be a larger percentage of your monthly rental income on D class versus other classes, not because of the cap ex amount but because of the lower rent/profit per unit to absorb that cap ex over extended periods of time.

@Jonathan Casillas Their goal is likely related to girls or sports but we will see if they take to Rich Dad.  Thanks for the advice.

@Jonathan Casillas Thanks.  Please recommend the best one or two.

new construction cost per square foot = a lot higher than purchase price + rehab per square foot

it may cost $100/sqft to build versus $60/sqft to buy + $15/sqft to rehab

The reason you are getting conflicting advice is that there are pros and cons to using a buyers agent versus using the listing agent.  When I was purchasing SFRs, I used a buyers agent because she was an investor agent, was absolutely excellent and I wanted her to continue to receive commissions and solidify that relationship with her (to be her go-to investor when she had a property).  When I purchased a small apartment complex, I did research and went back and forth on the pros and cons and decided to use the listing brokers.  In commercial, the brokers are more reluctant to work with buyers brokers or provide their off-market properties to these investors (at least in my market).

Your situation and access to a good buyers agent or lack of (and future plans with that agent) could help make the decision.  Good luck.

Anyone have a recommended book for my 20 and 22 year-old stepsons?  They are in college but not the best grades and not super motivated; so, need something that may be able to carry their interest.  They said they are interested and we will see.

@Kerry Baird Banks have a ratio that they call the loan-to-deposit ratio.  TD's is much lower than the industry because they have a massive deposit base in Canada; so, they need to lend and keep it on their balance sheet.

I just started a loan with them on a 4-plex, 25% down, 0 points, 4.625%...not too bad.  Their paperwork gathering process was not automated; so, we will see how it goes.