All Forum Posts by: Lane Kawaoka

These are high level people your are working with... well the one you want to be working with. Many of these who are good have a line out the building to jump on to their deal. They should be qualifying you. If you a PITA then its not worth their time to bring you in. 

Sit down with them and literally exchange criminal checks.

A tenant wants a dishwasher that will cost me 500. If there is not at least 20% irr on the 500 then I don't think its worth it - ie increase in rent by 50-100 per year. This is how large companies make decisions for example a 5 Million dollar storage facility will increase profit by 1 million (1M/5M=20% per year)... now that works. Recognizing that there is some intangible costs but that should be very fractional for example lost rents if you piss your tenant off my not complying with their request for the dishwasher they might/or might not move out. You can try your best to quantify this by saying its a 50% chance they will move out multiply that by $600 vacancy costs (2-3 weeks of vacancy). 50%x600=300. Those are the numbers not make your informed decision.

I would address the water issue for sure with the seller making the repairs that way it is rolled into your financed sum.

Also if the seller is not willing to do that then a concession would be to have them extend the lease with the tenant.

You have two problems... at the very least you need to get one of them taken care of because they are big ifs.

In in for the next one! And I'm not a pain to work with ;)

Sherman Kaopua I'm from Hawaii too. I made my own meetup in Seattle. You just have to pay for an account and to cost some money but the relationships you get back are worth it. You might be able to just create a general on in Kennewick because of the lack of numbers of investors. In Seattle there are lots of real estate meetings so differentiate yourself you have to niche down. For example my meetup is focused on passive investors who have jobs and not into wholeselling or flipping. After that you just have to make it worthwhile for folks to go.

You can't really tell who you are talk with is legit. Everyone is a salesman and they all say yes they can. Unfortunately you don't know who is worth a S until you start into due diligence process with you inspector and cross referencing conversations with agents, property managers, local holiday inn/churches/schools.

It's a prerequisite.

I think it's better to rent if you are a RE investor. The overturning costs of you money siting as equity is much less than the 30-40% IRR you can make with hands on RE. Google "Paula pant renting vs owning"

Please add me to your apartment wholesale list I want to buy.

Although there is not rule of thumbs here is one that will get you in the right magnitude. 5 dollar /SF for light 10 for medium 15 for heavy Obviously use an economic and geographic multiplier on where you are in the economic cycle/season and perhaps 2x it if you are in Seattle.