All Forum Posts by: Robert Nason
Robert Nason has started 15 posts and replied 248 times.
Post: When is it too early to put my Brrrr into play?
- Lowell, MA
- Posts 260
- Votes 99
Originally posted by @Mike Dymski:
Pics would be great.
How did you handle the rent increases on the in-place tenants who stayed? I am repositioning two properties...4 units and 25 units and curious on how others are handling that. On the 4 units, I notified the tenants two months in advance of the increase and agreed to rehab their units if they wanted...2 stayed, 2 left. On the 25 units, it's still early and I am just dealing with the vacant units and attrition...at some point, I may have to force the others along but can't do them all at once.
Before picture.,..the after pic above
Post: What is your favorite tenant screening service?
- Lowell, MA
- Posts 260
- Votes 99
maybe in your area, doesn't seem to be an issue here.
Post: What is your favorite tenant screening service?
- Lowell, MA
- Posts 260
- Votes 99
My ads are very detailed and if anything, I'm on the high-end of my market.
Post: What is your favorite tenant screening service?
- Lowell, MA
- Posts 260
- Votes 99
I received over 100 inquiries on one ad three weeks ago. I try to screen as many people over the phone as possible, but those who insist on coming I want them to have a little skin in the game and show me their sincere. I weed lot of people out by having them do that upfront. I also do not like group showings I don't want to have 50 people running in and out of the apartment building in one day.
Post: What is your favorite tenant screening service?
- Lowell, MA
- Posts 260
- Votes 99
Post: When is it too early to put my Brrrr into play?
- Lowell, MA
- Posts 260
- Votes 99
They were under market dramatically. The landlords before us didn't have a clue about management and routine maintenance. Lazy operators, financially clueless. It's a beautiful brick building with parking in a safe, clean location. I was quoted by a local contractor approx 15k to renovate each unit. We saved a ton by doing it ourself. I
Post: When is it too early to put my Brrrr into play?
- Lowell, MA
- Posts 260
- Votes 99
I think I'm going to see how it plays out. I would like to have the other units totally renovated within the next year to maximize its full potential. I have another building right down the street about a mile and a half away that we have a lot of equity available to us if we need to move on something quickly. I wish I could figure out how to send pictures I would show you some before and after's
Post: When is it too early to put my Brrrr into play?
- Lowell, MA
- Posts 260
- Votes 99
Originally posted by @Mike Dymski:
Hey Robert, does my math make sense and line up directionally with your thoughts on what equity gets left in the property with a refi now versus later when the rehab is done? If so, refi now would get you ~75% of your potential lift from the rehab and rent increase ($123k would be left in the equity of the property).
If you don't need or want that equity, you are good-to-go now. If you are looking for maximum leverage, you can wait unit all units are rehabbed and rents raised but that may be a longer horizon if you have good in-place tenants at the $1200 rate and you don't intend to force another rent increase.
Couple of other considerations (1) outlook on rates now versus later (2) current reinvestment opportunities (3) idle cash if refi and no immediate reinvestment (4) loan prepayment penalties, if applicable and not waived.
I'm curious on what you are going to do.
Very well done.
Post: All Of My Tenants Have Nicer Cars Than Me
- Lowell, MA
- Posts 260
- Votes 99
Post: When is it too early to put my Brrrr into play?
- Lowell, MA
- Posts 260
- Votes 99