All Forum Posts by: Ryan Kurth

my advice, go for both. Find the right realtor. You're talking about a big market where a mile difference, or less, puts you in an entire different planet as far as quality and risk/return is concerned. The rental market isn't as desperate as it is up north, and a quirk in location could make a world of difference

Fircrest, the North End and University Place are all highly sought after neighborhoods and attract good renters. With that being said, less neighborhood risk means less return, in general. Hilltop has its pluses and minuses. More minuses, as it stands. Just south of 6th Ave, and west of Sprague you might have some luck. I've had a little luck on the Eastside as well. Checkout Top of Tacoma, and the neighbourhood around there. Some nice pockets, if the price is right.

This sounds like a hard-money + equity deal until the property is at least rehabbed and can appraise out. I am not aware of any government programs that may help, but worth researching and doing some google diligence. 

Then, I would probably look to going to a community bank or credit union. This is coming from a commercial lender at a big bank. Unless you have a deep small business/wealth management relationship with one of the bigger banks, they generally balk at putting debt on real estate that is not leased. At that, they'd still only be in the 65% leverage range for you.

Quick(er) response..

I spent a few months this time last year looking for another investment property in Tacoma, from out-of-state, and couldn't make the #'s work. Finally I was up there for a weekend and took some tours w/realtors.

I actually found some nice pockets of neighborhoods on the east side, very close to downtown and UW Tacoma, where the #'s worked. Bought a place that weekend and after ~$2,500 in repairs it cash flows ~$400 / month with awesome tenants. Ended up putting down ~$35K in cash including repairs.

Let me know if you want to bounce any ideas off me!

Hi William,

I am an investor who grew up in and owns property in Tacoma, with a lot of experience across real estate and real estate finance. Feel free to bounce any ideas off me once you have them!

Here's my guess on rents for a monthly lease, without a deep dive into the property:

2/2 = $3300 - $4000

2/1 = $2800 - $3200

Studio = $2000 - $2400

Total = $8100 - $9600

Interesting summary on the state of manufactured housing from Marcus and Millichap:

http://www.marcusmillichap.com/research/researchre...

Hey Chris!

Please see my BP ad below:

http://www.biggerpockets.com/forums/517/topics/188...

I look forward to connecting with you!

Josh Prince If I were you I'd go straight to source and talk to a Fannie Mae DUS lender. They are pre-approved to basically u/w and make MF loans that Fannie will then purchase.

A list of these companies can be found here: https://www.fanniemae.com/multifamily/dus-lenders

Hint, the contact info at the larger banks is nearly worthless. Stick to the smaller banks for information gathering.

interesting tidbit..

Lower-priced rentals see more significant decreases in rent amounts: The average rent amount for Class A properties in the first quarter of 2013 was $1,571, a year-over-year decrease of 0.8 percent. At the same time, the average rent amount for Class B properties increased by 0.1 percent to $874, while average rent amounts for Class C properties decreased by 1.3 percent year over year to $554.