Investor · Orlando, FL · Member since 2016 · 49 posts · 16 votes
Hi guys,
Hope you can help me here. We are buying a portfolio with 50 rental properties in Macon, GA. That's an hour from Atlanta.
- PP $1.3MM
- 100% occupied
- $28.7k/mo gross rent
- $9.5k/mo expenses
- NOI 230k
- 18% CAP (13% using 50% rule)
- The management company that currently takes care of the properties manages 800 properties in Macon, GA and have only 3 vacancies. Rental market is rock solid in Macon.
The deal is amazing but our previous partner is not picking up the phone lately and we are starting to think he is not in anymore. It could be spring break, but also it could be he is hesitant about about putting such a large amount of money. Is it too late to find a partner or a private lender for this size of a deal with 10 days left? What would you do if you can't get an extension?
Buy and Hold Investor · Greensboro, GA · Member since 2016 · 5 posts · 0 votes
9y
John, I really liked this deal for cashflow. I know that it didn't close before. About a month ago. It was for sale most of last year. My lender turned me down dueto the age and location of these homes. What kind of size of a partner are you looking for? Good luck!
Lender · Springfield, MO · Member since 2015 · 379 posts · 180 votes
8y
Crew, I'm hoping to chat with @John Quiles directly, but for educational purposes, here are my thoughts from a lending perspective.
Properties/pools of properties with property values below $50k each are VERY challenging to finance. These type of properties typically cash-flow like crazy but I would confirm that your lending partner can truly execute on a pool of this variety.
In my experience, we have only been able to identify one lender that can consistently execute on pools with values like this.
Investor · Salt Lake City, UT · Member since 2018 · 63 posts · 45 votes
8y
@Greg Downey, I'm an investor in Cleveland and we're quickly growing as a turnkey rental provider. I have a client right now looking to purchase a package of 12 properties (11 SFRs and a fourplex) totaling around $775k. Would you know of a lender that's able to provide Commercial Loan on House Packages like this one in the Cleveland area?