All Forum Posts by: Peter Nikic

What about Nashville?

pre-approvals are not common with commercial properties. I ran into that myslef recently, but got one of the lenders to write a letter. Some will, some won't. 

it really doesn't mean much, but if it's an obstacle, you need to do it. good luck. 

That clause is there to prevent owners from changing their mind for any reason, but especially because some unscrupulous owners would use brokers to do all the work and then get rid of them just before the finish line. 

You can change your mind about selling, but if the broker did the job you hired him to do, you'll need to pay him. 

These numbers would make the property valued at $7.2 - $8.6 million. So if this is accurate, then you just have to find someone (a lender) willing to take a 2nd position. It just won't be easy though, but good luck!

I wouldn't be too concerned that they're old. If they've been around for 100 years, they were built well and will continue to be strong and more importantly, they were built in the right location.

Just make sure that updates, upgrades and deferred maintenance are not something that you're paying for but not getting. 

I'd say it partly depends on what you expect to get from the inspection. It's also a matter of personal comfort, how much do you need to hear from an inspector?

I had purchased a 7 family and hired an inspector. While we were going thru the apartments, the inspector pointed out that the right rear burner was not working on the gas stove of that apartment. The owner was also with us and I could tell he was getting uncomfortable at that moment. The only thing I could think of was that I had paid this guy hundreds of dollars for him to tell me that the right rear burner was not working. That was the last time I hired an inspector to inspect apartments.

I did hire inspectors for 2 other reasons: 

one is where I bought a property with a partner and needed for them to feel as comfortable or confident as I was. And if something went wrong, I'd always be able to blame the inspector.

two is where I just wanted a 2nd opinion on more serious issues like foundations, roofs, etc

So while it is generally recommended to use an inspector, I'd say a lot has to do with your own comfort level and experience. 

Buying local allows someone to more easily learn the process when buying their first property. 

My properties are in NY, I'm just starting to look at TN. 

If you don't already own an investment property, be careful buying a smaller investment property that's too far from home. Better to learn locally before venturing to other markets. Good luck.

where do you live? 

I bought a 21 unit 5 story walk-up apartment bldg (mid 90's). 

I used to do a lot of intercom repairs and installations in apartment bldgs, and in doing so I met a lot of landlords. I realized that many of them were no smarter than me nor did they have any special college degrees, but they all seemed to be doing very well financially. So I decided that I would jump on an opportunity when it presented itself. 

When we were in contract, my wife said to me "you can teach me to manage the bldg so you wont have to". She was thinking that she would take this responsibility from me so I can keep doing what I was doing. I looked at her and said "That's a great idea honey, but who's going to teach me?"

I'm not entirely sure why, but I never had second thoughts or fears in doing so. Needless to say, I figured it out and I was right, it wasn't that difficult.