All Forum Posts by: Tony Nguyen

Thanks Johnny

Thanks Bryan good idea

Johnny got your message thanks! Its on 58th in Tampa.. LAs were James and Francisco.

Thank Ann. They do long term insurance as well?

Joel - that sounds like a great idea. good post.

hey guys,

im closing on a 10 unit in about a week and need to find some insurance. who have you used thats fair in price? thanks =)

great link thank you Curtis.

Hey guys,

I'm looking for a reasonably priced hazard and liability insurance policy for a 10 unit property. I'm sure you guys have done some shopping so who did you end up going with and why? Price? Quality? Thanks!

Hi Shawn,

I walked because I didn't think it was worth paying that much higher for this particular deal. Good thing I didn't because my 90k offer back then is more like a 70/75k now.

With that being said, I did however just sign a contract for a 10 unit property that I paid just a bit higher for. The market cap for this property is about 9%. I am paying the price @ 8.5% - slightly higher. I am ok with that because the seller is ok with 15% down and 3.75% interest rate with no interest in year one. my irr comes out to over 19% in year 5 and i'm ok with that.

JOel,

THat's a great explaination of evaluating land. Thank you so much. It definitely is more involved then properties with existing structures already on it. I'm taking CCIM courses right now (starting 102 next week) so am hoping to run through this again for me lol

thanks again for your help Joel. If i have more questions, I'll post it on here for the public to see and I'll look forward to hopefully seeing you chime in! Have a good one.

Joel - thanks for your great reply! this question wasn't on any particular property. it was just a question i knew i'd run into sooner or later. it came upon me when i saw this FSBO trying to seller her lot for 1.2mm when the property across the street has a building on it (same lot size) and generates an NOI of 6k per month or 72k per year so at a cap of 8%, that income producing property is at 900k. If i were to work backwards like you're saying to do, that lot she's selling would be far less then 2mm, right?

Your examples are very clear, I appreciate that. I think a way to help evaluate land more is to learn more about development cost right? I wonder if theres somewhat of a formula to use when look at a property. For example, let's assume its raw land of 1 acre. To clear and get it developed would cost x for 1 acre. So if it's 10 acres, i'd just times it by 10. Not that clean cut is it? Even for a ball park figure?

Then I'd go as far as trying to figure out if the land is developed, to go verticle, it'd cost x per sqft to build. So if you want to build a 20k retail strip, it'd cost x per sqft. Is it possible to come up with soft numbers for this?

Tod, your reply is very good as well. The questions I wrote above is open to you as well if you would like to provide your thoughts... I would appreciate anything you can provide.

Thanks to you both.