All Forum Posts by: Stephen Franco

the best state and area for turnkey rental investing in northeastern Pennsylvania. My Home region near Scranton. 

15 to 23% cap rate after maintenance vacancy and management. 

Very easy-going magistrates an eviction process is. We have everyone out within about 30 to 45 days. Sometimes as little as 10. 

30000 / unit price point that's for finish ready to rent operational and beautiful units,

rents in the 6-700 range and 

very low taxes.

And as a local, I am always open to joint ventures

When it comes to rentals, group in an LLC only as many properties as you're willing to lose in one shot. If something goes horribly wrong and for some reason the LLC is sued and loses, everything contained in the LLC could be lost with one lawsuit.

to put another way, they only care if the purchase is definitely going to go through regardless of financing or if your contingent on the finances approval. It doesn't matter who the financier is it just means that if its contingent its not a cash offer

yea the only things that are not cash purchases are purchases that depend on external financing. If you have financing without needing to apply for it, its a cash purchase

I love Scranton/WB pa. and i do JV here too. and i live here.

rental caps over 20% are easy

flips with less than 50k (total spend, yours or borrowed) are common. finished houses sell well at 100-125.

I specialize in this

I'm a realtor and investor in the Scranton area.  Typical rental returns approaching 20% after maintenance/management/vacancy are easy.

flips are 1/3 or better returns, with under 60k needed to buy/flip/hold most deals

I'd love to collaborate.

I have em gone in 24  days...start to finish plus new tenants  15% cap rate in northeastern PA and judges are not pro-deadbeats.  

Constables tell me they haven't seen a tenant file an appeal in 20 years.  Most can't escrow the $ required anyway.

For buying rentals

I do my math like this

Rent

-10% maintenance

-10% vacancy

-10% management

-hard costs

- $75/door

= amount for mortgage.

Mortgage at 6.5% at 20 years tells me finished value

that minus repairs/updates tells me the max offer

half that is where i start. Except for turnkey

Usually means I'm done for 20-30k/unit. bought/fixed/over. except class A units, that may be 30-40k. but higher rents.

single families. be done by 40-50. but longer term tenants and maybe higher rents.

I do deals nationally, but focus on PA/NJ and the 5 boroughs of ny and florida

That means everything from SFR and MFR rentals through to the Zero.

I also want to start in self storage