All Forum Posts by: Rick Santasiere

@Ken Rich. Where is the property located?  I am in CT and I may have some options for you.  Feel free to Private Message me. Like @Corina Eufinger mentioned, you should definitely speak with an attorney and I might be able to help you with that as well.  

Nice work! Love your self awareness. Realizing what it is we do that doesn't "add value," is important (and keeps our egos in check). Determining where that 20% focus is something that all investors (at any experience level) have to adjust to as they grow. Love the story

Pm me and I can give you a few. Happy New year

@Christie Goldman. We have a small portfolio of SFR's in the area. We also have one MFR in Granby, but you are correct, there are few. PM me though and let's connect, because if you are looking, I might be able to help.

@William Collins.  I am holding for cash flow because that seems to make the most sense from a dollars and cents perspective. If I could sell for $160k for cash, sure, I would probably sell, but I am not trying.  The area is 7 miles from Uconn Storrs campus.  I have two post Grad Students (age 25+) in their now. Great tenants for sure. @Kevin Siedlecki, thanks for keeping me in check. I might have been a little too sensitive the other day with @Brent Coombs. It's funny because those #'s I literally pulled (copy and pasted) from the actual BP Calculator.  SO when asked about the specifics, I really didn't delve into the differences between purchase cap rate, and cap rate.   You are correct in that valuation of $183k gives a 10 cap.  It isn't worth $183k IN ANY WAY, except for the income approach.  Meaning, if this asset were looked at as "commercial" (which it is not), the "value" would be $183k (resulting in a 10 cap, which is considered to be a decent rate of return in CT for most of us B&H investors) Make sense? My lesson of the day: Don't be sensitive when someone is asking questions :-) An sometime we learn more from being challenged, so thank you all for your input.  I am so grateful for BP and what  it allows us to learn, discuss, and inspire.

Brent Coombs not really sure if you are trying to poke holes in BP stats (which you clearly have no experience using), or if you are judging me for not wanting to take on debt on an asset. You don't have my complete REI portfolio as to why I make the decisions I make. I was showing one deal that yielded good results. I only hope that you, too, are able too have positive results in all your endeavors. Questioning my process, will most likely only hinder your ability to look at the Positive that this is provided me. This post was meant to inspire, and help others to achieve greatness within themselves. Maybe, it still has the chance to have that impact on you. I truly hope it does.

@Craig Bellot Thank You!!  @Andres Bernal, Thank You! Jeryll, you too :-) We are all in this together, and can all get better with cheering each other on!! Love REI and all it brings!!

@Brent Coombs Purchase Cap rate came right out of the BP Calc. ARV also came out of the BP Calc. My reasoning for mentioning the statement in ( ) was that the ARV was calculated (automatically via the BP Calculator), hence my statement above "(Keep in mind, comps would never justify this figure, but I Wanted to insert just to show the income value) In this town, there are very few MFR's." "Income Value" = $183k, again a BP Formula.

You referenced getting my cash back.  This is one of those times I don't want my cash back.  At gross rents of $2,850/month, my cash will come back gradually over the next 3-4 years.  I purchased this asset not to re-finance (although refinancing would be great), so that I don't incur more long term debt due to other properties in my portfolio.

Have you tried the BP Calculators before?  I believe you can get a few for free if you don't want to be a paid BP member, or they are unlimited if you are a Plus/Pro Member. If you would like, I would be happy to send you the actual PDF so that you can see what it looks like in it's true form (with the data not just copy pasted into this forum). They are really great, I recommend you taking a look!  Thanks for your comments!

Stevin Murray PM me to discuss. I have some thoughts.

Some great points from all on this thread. Thank you all.  Integrity should ALWAYS be at the forefront @Juan Mendoza.  Work with a good attorney, and be overly informative.  Just "locking up a contract" is not the right thing to do.  If you ask @Jerryll Noorden, it is all about the relationship, and establishing trust.  You want some advice and pointers from a newer (but effective) wholesaler, he is the guy.. @John Thedford, your point is taken, and I actually agree with you on most of your points.  Wholesaling can be sleepy, but it doesn't HAVE to be. Juan, If you do even ONE deal where a seller feels "slighted," there is a good chance they will spread the word.  Listen to some of the podcasts of the really successful wholesalers:  They have people calling them direct because of the way they run their business, write their contracts, and most importantly: Educating the seller on all of the inner workings of the contract and how both parties operate and are held to their end of the agreement.