All Forum Posts by: Steve Stackman

@Matthew Masoud, if you are interested in selling them rather than converting to LTR, reach out to me. Depending on where they are I might be interested in them as MTR. Or buying into them to give you access to your equity.

 @Salvatore Lentini I'd be happy to talk to you about taking those small multifamily in Dayton off of your hands so you can go bigger faster.

I'm in Dayton. Message me all the details and I will see if it is something I want or can advise what other options you might have.

I have several around southwest Ohio that exceed the 1% rule that I will be selling this spring. All rehabbed, rented, long term tenants just typical periodic maintenance calls any property manager can handle. Selling the single family units and small multis to move into some commercial real estate. Let me know if anyone is interested before I put them on the MLS.

I got my real estate license when I was 20, property manager at 26, mortgage broker license at 36. Bought my first rental? Age 51. I'm 55 and have 15 doors. I spent most of my life around the industry but never felt confident enough to take the plunge until I was staring at being retired in 15 years with only a modest 401k and whatever is left of social security. Sometimes, fear is the thing that stops you and sometimes fear is the thing that motivates you. Age is secondary, getting started is primary. People often say "someday I will..." realize that "someday is today". 

@Chris M there is an old saying about things that seem to be to good to be true. Dayton has cooled off some from a few months ago. But the market is still crazy here. Lots of out of area investors buying up junk that is driving up prices for the better stuff to the point there is not much money to be made. Not putting down out of area investors at all, we appreciate the influx of cash, but some are buying things that should not be bought. Dayton, the city proper and some suburbs, is very much a street by street and in some cases block by block market. I own some rentals in areas that others would not consider because the specific block/neighborhood is good even though the general area is not. I hope that makes some sense.

As @Kyle Collette mentioned, off market is where the deals are at this point. Even the auction websites have gotten too expensive on opening bids to be reliable steady sources.

I think it will depend on what type of rate and terms you are expecting. If you want the traditional Fannie Mae non owner occupied loan with a market rate and 30 year amortization and can qualify financially for it. Then WPCU or Union Savings are two of the lower cost options. 

If you are looking for a Non-QM where the lender is not using your credit or income exclusively, then a commercial loan through LCNB or Security National may be a better fit.

Water and Sewage in the Dayton area is part of the lease negotiation, some tenants pay it and some landlords pay it. The reason the landlord may pay it is to prevent the tenant from running up a large bill and then moving out. I experienced this a year ago. The tenant apparently repeatedly made 'payment arrangements' with the city and made only the absolute minimum to keep the water running. When they moved out the $850 water, sewer and trash bill transferred to me as the owner. I had a choice to pay it or have it applied to my property taxes plus additional penalties and interest. 

I should add, this is permitted by the Ohio Revised Code and most communities take advantage of it to keep from losing money on bad tenants.

I'm in the Dayton area, send me some details on the deal.

Agree with @Chris Tabanico, @Matt Brun and @Ozzy Smith. It is pretty straight forward in the way it works and in the process. I would advise that DCP is not truly a HML or PML. I have dealt with both and @Darrin Carey is something of a hybrid between hard and private money. 

I'm not familiar with your experience, but unlike a typical lender where it is just about the taking an application and docs. Darrin will spend time talking with you about the deal and if you're a newer investor he can help steer you out of trouble. He may offer suggestions on ways to make the deal work if it is not workable as you have it structured as well.

So, newer folks can get more value than just the money and the more experienced can get the money easier than private and cheaper than hard.