All Forum Posts by: Monte Riding
Monte Riding has started 5 posts and replied 20 times.
Post: HOA forcing me to remove trees in my "parkway area" (curb strip)
- Posts 21
- Votes 17
Quote from @Kevin Turano:
Sounds like you were able to come to a good compromise. Great to hear!
I'm interested in a (remote) turnkey property as a first rental, and did my first analysis on some turnkey properties I came across today. The seller offered some quick financials that looked great at a glance, and all their properties appear to cash flow $200 to $400+ per month. After doing analysis on a couple of properties however, I quickly found that my assumptions didn't match up with the seller's. In digging further, it appears they are using really aggressive estimates on interest rate, PM, vacancy, maintenance, etc. On top of that.... the purchase price is well above what comps are going for by 20% or more. After using more realistic estimates, cash flow in most cases becomes flush or a bit negative. I was disappointed to find such misleading estimates being marketed to newbie RE investors.
What things should someone look out for as a first time investor in turnkey properties?
Post: Hi, I’m new here, let’s do this!!
- Posts 21
- Votes 17
Quote from @Beth Blankenbicker:
Looking to make my first deal and scale up quickly so I can quit my job as a nurse!!
I love your energy @Beth Blankenbicker! I'm a n00b myself, welcome.
One of the markets I'm interested in is Pittsburgh. Are you investing close to home?
monte
Post: New to RE investing - Interested in remote
- Posts 21
- Votes 17
Quote from @Jaedon Roberson:
Hey Monte! I'm a wholesaler in the San Antonio/Austin area. I'd love to tell you more about my company if you're interested, we actually currently have two duplexes available in San Antonio, which is a more affordable market than Austin.
Let me know if you'd like to talk!
Jaedon
Thanks Jaedon! I'm still stuck in analysis paralysis and learning all I can. I'll research the San Antonio market and see if it checks the boxes - if it does I'll touch base. I've also heard great things about Austin, but like Salt Lake City it's out of my price range, at least to start.
Post: New to RE investing - Interested in remote
- Posts 21
- Votes 17
Hello!
I'm new to this, been listening to lots of BP and RE Rookie podcasts, which are great! Like many of you I'm here to learn and network.
Primarily interested in out of state investing - perhaps in OH or other markets much less expensive than UT. Considering a duplex as my first property. If you know of great markets to invest in, I'd love to hear about them - I'm all ears.
Reach out and say hi, I'd love to connect and am happy to share what I know about the Wasatch Front (Salt Lake) area!
Post: Screening Multifamily deals
- Posts 21
- Votes 17
Quote from @Jim Pellerin:
You can do your own virtual underwriting by using the following "guess" method:
1. What's the asking price?
2. What are the typical rents for the area? Determine the gross rents for the property
3. Estimate the expenses based on the age and condition of the property. Use 40% to 60% of gross rents.
4. Calculate the estimated NOI. Gross rents minus estimated expenses.
5. Use the NOI and asking price to calculate the estimated Cap Rate.
6. If the Cap Rate is close to the market Cap Rate for the area, and you are ok with it, ask for the T12s and RR and all information about the property.
But I wouldn't worry about asking for detailed financials all the time. There shouldn't be that many coming your way.
@Jim Pellerin Can you expound on number 6 a bit? Specifically…. what are the T12s and RR?
thx :)
I’m also in the Wasatch front area and am having difficulty finding anything worth investing in locally without requiring a huge down payment for it it cash flow. I’m leaning toward out of state -
Post: Newbie Looking to Learn How to Analyze Deals
- Posts 21
- Votes 17
I found a great app called DealCheck that does imports. Have a look
Thank you all - most appreciated. @Bob S. I've been checking out forums and have found some interesting markets that I'm researching more. @Steven Foster Wilson some of those are in Ohio and perhaps we can chat more - thanks for your detailed response.
The closest thing I've found to what I'm envisioning is neighborhoodscout.com which I may decide to pay for. I'll also check into a BP pro account.
Thanks again, excited to get started on this journey!