All Forum Posts by: Vessi Kapoulian

Great post and story of lessons learned! Nicely done!

@Alberto Nikodimov - I highly recommend Alberto and the team.

I am not aware of 1:1 coaching for residential investments but believe Bigger Pockets has a rookie bootcamp coming up and Ken McElroy has a course coming up as well.

Assuming a 70% LTV and applying 10% vacancy reserve, 10% capex&maintenance reserves, and adding a 10% property management fee, it does not cash flow. It barely breaks even, assuming the 10-2021 expiring rents can be raised to the level of the top two (are these market?). The above calcs do not even factor in the higher tax expense as a result of the reassessment or other factors such as deferred maintenance, neighborhood, market. I hope this helps.

Agree with the comments above. If you choose to voice your view to your local official, you can do so here (got this from another investor thread re the same topic)- 

Oppose Section 138312 | Take Action – Institute for Portfolio Alternatives (ipa.com)

It seems that recent potential legislation is looking to curb tax friendly solutions for the mainstream investor. However, the good news is that this is illuminating other lesser known alternatives that have been in existence for some time - e.g. 1031 exchange vs. DSTs, SDIRAs/S401K vs. QRPs. I found out about eQRP last weekend at a conference and educating myself on the matter (Damion Lupo, eQRP.co).

As far as validating the rental revenue, there are a few things to consider: ideally the estoppels would be notarized; confirm the lease agreement information matches the rent roll, p&l, and bank statements (bank statement would show you how much they are actually collecting); request copies of the executed lease amendments or other written or side agreements the owner may have had with the tenant(s). 

Inconsistent information and documentation and the owner(s) stalling responses or being inconsistent in their responses would be a reason to walk away in my view.

Whichever route you decide to take, I recommend not tying up your entire capital and reserves. Unexpected things happen and you do not want to end up passing on or walking away from a good deal due to lack thereof. 

Agree with both comments above. I am at the beginning of my MF journey and found all books listed above helpful. Who Not How is on my list. I have read the other three - they are all helpful in terms of providing actionable how to steps to get started. It is also good to see consistency of the message across them. I also recommend How To Create Lifetime Cashflow Through MF Properties by Rod Khleif (it has a 90-day action plan) and Honeybee by Jake and Gino (the 10x concept presented in a more philosophical story telling format). I have several more books on my list, which I keep adding to :). I think reading/education is ongoing key component of the RE growth journey (or any journey for that matter :) ). 

There are several (some also have demographics data) - spotcrime.com, city-data.com, bestplaces.net, Google maps (street view option), and nsopw.gov.

@Alberto Nikodimov

@Alberto Nikodimov