All Forum Posts by: Account Closed

@Dan Krupa best of luck in your purchase! I’ll shoot you a connection request.

@Dan Krupa I don’t like to toot my own horn so I’ll let you be the judge. I feel like I’ve added a ton of value to this forum and to my clients in general. If you’d like to connect and see a few of my posts, I’d be happy to answer any questions you have about the Phx market.

@Matthew Mazur wow. It sounds there are a lot of moving parts in your market. Personally that scares the living daylights out of me, particularly as an OOS investor. Appreciate the feedback!

@Alex Forest I wish I knew the answer to this question. I can’t imagine why they’d sell to mom and pop investors at that scale. To me it would make the most sense to bring these single family for rent units to market, complete the lease up to a degree and then sell them to a property management firm.

I'd love to see the IRR at stabilization on this model. Time will tell, most are still in the entitlement phase as far as I know.

@Steve Smith I appreciate that perspective. I am definitely weary of utilizing cap rate alone to evaluate SFH. I've got 3 rolling here in Phoenix but nothing to write home about as everything is being squeezed and I am rather hands off in my approach as well.

It’s nice to hear the concerns of other investors. Everyone has such a different approach which is why I’m draw to this asset class. At some point I’d love to make the jump to $1M+ MFH but I have no desire to work outside of class A rentals while I’m still surviving off my W2.

The gist that I’m getting from this discussion is that nobody believes anyone is quoting a true cap rate anyway! 😂

@Cody Barna there are so many pockets of Phoenix Metro that are booming right now it would be hard to pick one. I’d check out what’s going on in Gilbert, Surprise, and Avondale right now just to get a feel for things.

Personally I like to see where builders are pulling permits to decide if an area is on the come up.

@Cameron Lam I think anything you’re willing to offer up would be useful. Obviously it varies but a case study in costs on just one of your forced appreciation plays would be awesome to see!

Congrats on your success!

@Arta Montero yes it is truly a 6 cap including 10% maintenance, 7% capex and 5% vacancy.

@Jamie Rose thank you sir. Appreciate that feedback.

@Steve Smith I don't think you can make the argument that cap rate is irrelevant. Sure, it needs some other metrics like COC or IRR to give a complete picture, but it's useful all the same.

Phoenix has become the guinea pig for the single family for rent scenario for several reputable developers. If that’s the trend, I want to get out ahead of it. Plain and simple.