All Forum Posts by: Tom Chen

Asking price is $150,000. It will sell closer to $145,000. The seller is paying buyers agent 3% commission. I am an agent, so that money goes to me, $500 to my broker.

I have a nice down payment. The mortgage, including HOA and taxes, will be about$600 per month. Tentant is an older lady who qualifies for section 8 housing vouchers.

Doesn't make even a 1% rule let alone the 2% that is constantly talked about. I would pass...maybe that's why your husband isn't motivated to pull the trigger? Because it's not a good deal?

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Originally posted by @Stefanie Jensen:

@Jeff Wallace, the best part of this conversation is that my husband DOMINATES at Monopoly! He's much more hesitant with real money. He'll come around, it's just taking way too long for my taste. He was s okay with 1 rental property a year. I might have to slow my roll.

Instead of monopoly, change the game to that cash flow game...maybe that will get him to think more like an investor?

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Originally posted by @Jason Jenney:

Hello BP,

I have a goal of buying my first Multi Family property by the end of the year. I have finally saved up about $18,000 in liquid cash and $3,500 in 401k loan.

Looking for tips on were to start. My main concern is cash flow. I want to create a snowball affect and get into bigger units (50+) in the next 5 yr.

Any tips from veterans investors and locals from Central New York!

Thanks,

Hey Jason,

As a veteran and new Syracuse investor, I have to say it was a GREAT decision for me. I just closed on my duplex and even though rents are still below market, it will gross $1,400 until I bump it up to $1,600. My monthly PITI is only $550.

The only thing I wished I did was find a motivated seller by mailers or something to get an even better deal. Still, my current property is cash flowing and I hope to be buying more soon.

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@Amit G.,

Congratulations!

Hopefully I can duplicate this success story! I just closed on a duplex that needed some rehab in the kitchen and bathroom, but then my PM noticed the roof was entirely rotted due to the tree branches laying on the roof directly for probably years.

Purchase price - $45k

Rehab - $18k

Rents currently - $1,400 once at market rate, $1,600

The only thing I'm nervous about is, the comps in he area only go for between $45k - $65k.

Congrats again!

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Originally posted by @Account Closed:

yeah test out the list and see if you get any leads. Do you know an attorney that does assignment contracts ?

I've been referred to one from an attorney friend of mine. I haven't quite called him yet since I don't actually have any leads let alone a deal ready yet.

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Originally posted by @Rachel H.:

@Tom Chen Condemned properties usually will have a sticker on them from the city. You may want to check with the local city office to try to obtain a list if you're targeting these types of properties. Good luck!

Thanks Rachel, I'm finding them from the NYC website. My question is, if a property has an $8000 fine against the property on a "code 1" violation, and the numbers still makes sense, how do i clear those fines?

how do we clear it before selling the property? do we clear it WHILE we're selling the property? I'm a little confused on this part of the wholesaling process.

TIA

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Originally posted by @Account Closed:

How are you getting these violation lists?

Judging from your comment, I'm guessing it's worth it to pursue these potential leads?

I'm getting them from the NYC department of buildings website. don't have the link with me right now, i can post later this evening.

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Hello all,

Just a follow up question...

Considering these are NYC properties and prices...if a property has an $8,000 violation and the numbers still make sense to wholesale, how do we close it out?

Do we pay the fines at the closing?

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Originally posted by @Michael Le:

Originally posted by @Tom Chen:

Thanks for the thread...!

Here are my challenges with buying multi-family apartments.

1. Finding multi-family apartments that want to sell at an investor price.

2. Finding financial backers for that apartment once found (although this one seems like I might have figured out through various networking meetings I've attended).

What do you mean 'sell at an investor price'? You mean you're looking for someone to sell at 65-70% ARV like on a SFR? It doesn't really work that way with MFH and definitely not in the current environment. The 'discount' you would be looking for would be more in the sense of finding a property that is undermanaged, in regards to rents and expenses, etc.

WOW...that right there is good info. I was definitely going about that the wrong way. Much appreciated!!!

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Thank you @Andrew Wu...I'll look to see if I can do that here.

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All Forum Posts by: Tom Chen

Tom Chen has started 37 posts and replied 197 times.

Post: I want to buy a rental now, my husband wants to wait a see.

Post: I want to buy a rental now, my husband wants to wait a see.

Post: Where to start! Syracuse, NY

Post: First BRRRR success; on to the next one!

Post: Marketing to code violations

Post: Marketing to code violations

Post: Marketing to code violations

Post: Marketing to code violations

Post: What is stopping you from investing in multifamily?

Post: Marketing to code violations