All Forum Posts by: Travis Frenchak

@Sarah D. Oh ok i understand. I would suggest not buying a used top loader as those are machines you throw out when they break. A new one should last many years though.  Dryers and front load washers can be repaired when they break. 

@Sarah D. No, its an actual laundromat for public use. Our machines need work from time to time but they also see more turns that your machines would. 

@Jeff B. Im not sure you're going to find anyone to split profits on a 4 unit building. There isn't going to be a lot of revenue or profit. Depending on the number of tenants you might have $5-$15 a unit in revenue per week. So a total of $20-$60 a week. Subtract utility cost, you're making a minimal amount. Maybe not even enough to justify installing the equipment. 

We have Huebsch top loaders and dryers in our laundromat. Wascomat front loaders. Front loaders are going to use less water but are more expensive and will need to be bolted down somehow. If this is just for the tenants of the building you'd probably be better off going with top loaders as it will take a while to recoup your money on the saved water with the front loaders. 

Huebsch top loaders will run you about 1k dollars where as the front loaders are going to run 2-3k or more depending on the brand and size. 

You're going to need to do something to get that property in the positive cash flow or you're going to be in a tough spot once you have to repair things. Hopefully getting rid of the hard money will at least get you to break even. I would definitely get that property cash flowing before you even consider buying more properties. 

Maybe FRP board? They make it in many different colors and designs. 

Oh nevermind just saw the above post. 

Residential. It would be multiple properties and units would vary. I have property now that I manage myself but my out of state friend and I are looking to partner up and we would prefer to have a manager to avoid any problems between us. 

Looking for property managers that handle Butler. Any recommendations? Thanks!

Also after re-reading, are you factoring in your debt service when you figure out the cap rate? If so, I don't think you should be. 

Im sure someone will have a better answer for you but IMO 5.8 cap rate is pretty low. I suppose it all depends on the area you're buying in and if you think you can gain a great deal of appreciation since it only breaks even.