All Forum Posts by: Xavier Randall

@James Wise

Can you send me details of the financials and JV structure?

@Account Closed: I'm an Acquisitions Manager in the SoCal market. I come across many different types of investors with varying ranges of criteria. The business model I like today regarding multifamily 10 units plus is that with the type of long term, fixed rate financing now available in the commercial space buying and holding for a steady income is a sound choice. I think a lot of people get caught up in the rush of flipping. If you would like send me your detailed criteria and i'd be happy to talk it through with you.

If you're familiar with LA County Apartment building acquisitions please respond.

Are rent control a major turn off or does it have appeal for a specific investor?

Is it a good wholesale opportunity? If so...at what cap rate?

Any other advice on this subject would be greatly appreciated.

Dear Fellow Professionals-

Yesterday I posted regarding seeking investors for apartment buildings. I did not know that was not allowed unless it's in the Marketplace. I should've known. I apologize for this error. Have a great day!

@Ben Leybovich: I appreciate your tone and remarks!

@Steve Olafson: I definitely see your reasoning by using an agent to screen buyers. Phoenix is an area of focus for my company and where we've purchased. We're looking for aparment buildings, approximately 20+ units in Phoenix.

@Joshua Feit: Thank you! I like the Atlanta market for apartments. Doing some underwriting on a couple opportunities.

Thanks to everyone for their input!

I here people always saying you should look for "Off Market" deals for better pricing on properties. I'm I missing something. I run into FSBO's all the time and doesn't mean the owner is not wanting the same offers as the properties that are on the MLS. They just don't want to deal with paying an aget commission. To them that more profit...not more money to give away by selling cheaper.

@Matthew Nixon, I've bought my share of used and new cars. Just recently we converted to a lease. My wife and I share the view that a car is a necessity and admittedly, it's nice to have 1 that's dependable. So...a lease can let's us drive a newer model at a lower expense. Notice I used the word "expense". Considering that cars aren't made like they use to. I mean back when I was high school a lot of parents would pay off their current car to give to their kids when it was time. Hey...a Honda Accord would last a life time then. Not so much today. For me personally, I've look at the numbers several times and it doesn't make sense to payoff something that immediately has a depreciating value the day after you buy it. Even with real estate...the only way I would payoff a home is if I had a 10 year mortgage and could payit off just in time for retirement. Today's cars are just a means to a need with no opportunity to ever sell it for more than I bought it.

I've spent the past 6 years as an Asset Manager in the default sector liquidating REO's for the banks by rehabbing them for the retail market and the auction market (primarily Auction.com). The auction platform took away some of the business from the initial asset management firms because of the banks were able to stop pooring money into rehabbing and auctioning the properties AS-IS leaving ALL due diligence as the responsibility of the buyers. Now some banks are allowing their mortgage servicing companies to step in during the foreclosure process to preserve the property and then it goes on to the market via HUD, Freddie Mac, Fannie Mae REO's or even still the auction platform. Also, a good majority of homes you see being provided by companies like Econohomes are bought through the same platforms. So...if you're willing to be diligent you can get the properties from the same places.

I'm putting this out there for those 1st time investors who find themselves getting consumed by information from those out there who call themselves GURU's and want to charge you for their one of a kind secret to investing in real estate. I beleive that real estate is still the one avenue the average hard working person to acheive some sort of financial freedom.

With the help of a knowledgeable agent, my wife and I bought an REO SFR in SoCal in 2011 using the 1st Homebuyer FHA loan. We lived in it for 2 years to take advantage of bieng exempted from capital gains tax and sold it in May of 2014 for a 6 figure net. We used the money to payoff our debt and now with that experience under our belt looking for our next project. During this time with also had our 1st child. For a couple just starting a family and living in the Los Angeles County market this was a tremendous accomplishment and now living pretty much debt free, outside of a car payment (i don't beleive in paying off cars) makes an incredible difference in our lifestyle. We now look at the owning real estate in a completely different way. It's not what it was to past generations.

Now...our next project may not clear a 6 figure margin but the confidence I gained from the past transaction I have no reservations about being to flip my way to providing a great life for my family. It may be $25K here or $50K there...but by maintaining have no other debt that bodes for a nice life. So...happy, smart investing to all of you.

@MarkRobertson: I would assume that the number of 40 somethings with access to cash assets worth a $1M and/or with an income of $200K/$300K is not a large percentage...correct? Also...please clarify "net worth" in crowdfunding sector?

Is Syndication still a preferred/popular platform for investors? Has crowdfunding platforms become a more preferred vehicle or are most investors hesitant because of it's technology and still prefer dealing with someone directly? Are syndications more attractive to a particular type of investor (i.e.: Do the more serious investors with deeper pockets prefer established private equity firms?)