All Forum Posts by: Shmuel Waldman

@Marjeanne Fields

Thanks for input

I have flipped 35 single family houses so I have a clear understanding as far as rehab costs

I put number higher due to common areas that need updating which will cost me 60-10k so I just divided that cost by 32 and added to each unit

It’s literally next door to a great hospital and 1 min from train station in a very good area

My gut says stay away - there isn’t currently enough cash flow to allow fixing up units.

I know hat buyer wants to unload

He got to big to fast and doesn’t have time to deal with this. He purchased it 3 years ago when he started. Now he buy 300-400 units at a time

Yes. Can rasise 1.2m cash

H

33 Unit - Asking $4350000 - ( I believe I can offer $4120000)

Building is %100 occupied 

Current Rental Income -   $400380 Total Additional income  $20698

Expenses

Real Estate Taxes $66,695

Insurance $8,407

Trash $3,534

Electric $2,375

Alarm Monitoring $666

Gas $18,749

Pest Control $1,135

Water/Sewer $24,051

Landscape/Snow Removal/Cleaning $12,168

Management $34,439  

Repairs/Maintenance $16,000 Cap EX $20019                          TOTAL EXPENSES $208235 NET OPERATING INCOME: $212843
Dept service  $195600 There is a big rental upside Currently the average rent is 1042 per unit Comps tell me that if I fix up units @$8000 per unit - I will be able to get $1300 average on a unit. Once all units are done over the building should be able to fetch $6m after 36-48 months 

@Thomas S. Thanks

Speak to a local Lawyers

Speak to local RE brokes

Speak to local (vetted) contractors

Best of luck

My best Advise

Trust your gut.

Vet Contractors.

Make your contractor get 3 quotes for subs.

Be around.

Speak out clearly what you expect from each person along the road.

Remember - Good friends have good contracts

Best of luck

Can anyone suggest how to word a late fee in a Rental Contract

@Nicholas Mullens pound pavement/ find local brokers/ vet contractors

@Lei Zhao agents in this industry agents get paid for results not effor.

@Enyi Ajoku it’s very hard to asses what’s a fair split with out the details involved. How long will the job take Will the contractor be doing the work himself or will he be subbing the work It’s also important to know who decides the design questions who decides how much to spend on material Who decides the exit startatergy The more details discussed beforehand - the less trouble later