Looking for partners / networking

Looking for partners / networking

Rental Property Investor · Detroit, MI · Member since 2022 · 62 posts · 21 votes

I currently have 2 properties that I have done the numbers on and I believe they are pretty solid deals. I have experience working with my 2 buy and hold deals that I renovated myself without contractor help. Both of my current properties are cash-flowing $850 each per month and I am looking to expand while finishing up my residential builders license.

The first property is the multifamily property currently owned by the city. I am working to get hard money for this property and I believe it would take 3-6 months to renovate with contractor help. The estimated ROI on the property would be 127% year over year assuming a down payment of 20% as it would be refinanced as a primary residence. This assumes that it is rented out as residential and not commercial as it is classed for both. It includes a second lot next door that is also zoned both residential and commercial which means the rent may be increased if it is rented as commercial. This area has been increasing in value over the past ten years and they are about to see a huge jump with two well-known employers bringing both white-collar and blue-collar jobs.


The second property is a single family that is currently off-market but was on for 5 months prior. I have talked to the owner and he is very motivated to sell. The property is in disrepair and is way below market value due to that reason. This property is small and has a lot of chance of upside for a fix and flip or a fix and hold. If it is to be fixed and flipped the estimated ROI would be 530% putting only 20% down on the purchase price and the renovation being 100% financed. If it was to be held and rented out long-term the estimated year-over-year ROI would be 67%.


I am looking to grow a lot in the next 5-10 years when it comes to my real estate portfolio and I think these are the next few steps. The ROI on these properties is pretty grand and I do have experience behind me with prior deals I have done that show I have gotten other unheard-of ROI's. My first (and worst) deal is a single-family home that is currently rented out and has a yearly ROI of 30%. My second deal was another single-family home that is also currently rented and has a yearly ROI of 51%. Both of these deals were market and currently sitting above water if selling was required.

Who I am looking to partner with? I am looking to partner with anyone with a passion as deep as mine in real estate. I am willing to look at financial and sweat equity partners. I am wanting to grow my network of people who are real estate investors in any kind of real estate. I think that the more people the more opportunity to find and make money on great deals. Even if you don't want to partner please feel free to reach out I love learning new things and teaching and helping others while I go. If you are interested in talking further please comment or send me a message I normally respond within 24 hours and can give you more information on the deals listed above.

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Chris SeveneyBusiness Member
Moderator
Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
3y

@Bryan Harman

Few things from my POV and a lender

1. Moment you say make it primary residence a private lender is out. Too much headache dealing with a future owner occupied loan

2. I would not consider these deals because of the returns you posted. They are not realistic as a lender. Someone in todays economy saying they have 100% or 500% ROI is a turnoff and is like a penny stock ad.

I am not saying these returns cannot be achieved but if you walked into a room with 10 experienced lenders/partners and gave them those numbers and another person had same deal and said it could make 20% they would go with the 20% 10 out of 10 times.

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  • Member since 2022 · 5 posts · 5 votes
    3y

    Hi Bryan. I appreciate the detailed post. I'm just starting out and am eager to start networking and learn. Happy to talk whenever.

  • Member since 2023 · 4 posts · 0 votes
    3y

    I work at Cogo capital private real estate company I can get you funded and all the capital you deserve for your next real estate investment. Get back to me ASAP

  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    3y

    @Bryan Harman

    Few things from my POV and a lender

    1. Moment you say make it primary residence a private lender is out. Too much headache dealing with a future owner occupied loan

    2. I would not consider these deals because of the returns you posted. They are not realistic as a lender. Someone in todays economy saying they have 100% or 500% ROI is a turnoff and is like a penny stock ad.

    I am not saying these returns cannot be achieved but if you walked into a room with 10 experienced lenders/partners and gave them those numbers and another person had same deal and said it could make 20% they would go with the 20% 10 out of 10 times.

    7e investments53 Reviews
  • Rental Property Investor · Detroit, MI · Member since 2022 · 62 posts · 21 votes
    3y

    @Chris Seveney

    Thank you for your honesty. I understand where you are coming from and my question back is twofold. 

    1 What should I do instead? I feel like this leaves me to believe that I should not tell the truth about my expectations and the expectations of other professionals who have looked at this deal and agreed with the numbers provided including real estate agents and 2 other more experienced investors. 

    2 How about my prior deals? I have the financial history to prove that I am getting a 30% and 51% ROI on those deals. Are these numbers too high and I should deflate them as well? I want other partners and lenders to see the type of returns I am getting but also don't think I am inflating them either. I understand that this is unusual for real estate investors and I didn't believe it till the rent was coming in and the money was in my account. How would I be able to prove I can get these types of returns on investments to partners and lenders? Is it just a numbers game and I need X amount of deals before people will trust that I can continue to repeat my results?

    Again, Thank you for your honesty and I am glad you pointed out what you think. I seem to be doing really well and I am very diligent with everything I do. I want to continue this growth and I know at this point I need to allow others in so it can scale quicker.

  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    3y
    Quote from @Bryan H.:

    @Chris Seveney

    Thank you for your honesty. I understand where you are coming from and my question back is twofold. 

    1 What should I do instead? I feel like this leaves me to believe that I should not tell the truth about my expectations and the expectations of other professionals who have looked at this deal and agreed with the numbers provided including real estate agents and 2 other more experienced investors. 

    2 How about my prior deals? I have the financial history to prove that I am getting a 30% and 51% ROI on those deals. Are these numbers too high and I should deflate them as well? I want other partners and lenders to see the type of returns I am getting but also don't think I am inflating them either. I understand that this is unusual for real estate investors and I didn't believe it till the rent was coming in and the money was in my account. How would I be able to prove I can get these types of returns on investments to partners and lenders? Is it just a numbers game and I need X amount of deals before people will trust that I can continue to repeat my results?

    Again, Thank you for your honesty and I am glad you pointed out what you think. I seem to be doing really well and I am very diligent with everything I do. I want to continue this growth and I know at this point I need to allow others in so it can scale quicker.


     Some questions I have is:

    1. Who is doing the work on these deals? If you are doing the labor - that can be problematic from an investor standpoint for risk. What if you break your hand, get hurt, how much would it cost to hire someone out? 

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  • Rental Property Investor · Haw River, NC · Member since 2017 · 34 posts · 25 votes
    3y

    I’d love to connect . I’m good with finding cash cow properties, market research and analyzing deals and implementing the right strategy for a property . 

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