All Forum Posts by: Account Closed

Yes you can petition to remove the LURA, It takes about 2 to 3 years to do. You have to ask and notify tenants so that they can provide feed back and then if granted you have to give them one years notice of a rent hike.

The bigger problem is that many LURA's have 30 or more years of life and many of the LIHTC have first rights of refusal associated with them which is what Jeff is referring to with respect to a sale.

Lastly, most LIHTC are done in conjunction with bond financing so that the LURA also applies to the bonds, even if the note is paid off. That usually is harder to remove, especially if HUD financing is used.

Texas Colorado Florida Carolinas New Mexico Georgia are primary but we will consider others generally in the southeast. The northeast would need to be a really good deal

Karla - Good Thread

I understand what you are looking for in terms of "high cash flow" cities. I assume in the analysis of your data you were comparing median income/values to median rents to determine which cities have the greatest spread.

We call it "warm body" count. the idea being that you need people with income to pay the rent. Our market focus has been - most of Colorado, most of Texas, Northern Florida (Tampa and Orlando and north), both the Carolinas, and a few select pockets in other mid-west cities.

I think however, that you will find that in every market there is potential and as mentioned above, cash flow is a function of the deal more so than the market. Market factors are a function of risk, so that earning a higher cash flow in one area on similar deal points than another area, may involve a greater degree of risk.

Market risk is a much talked about subject on BP but I think that many here do not relate return/risk as a matrix analysis.  There seems to be a general sense that all deals have equal risk and as such much emphasis is placed on returns. Earning a 10% return in a great market may be the norm in one area just as earning a 15% return in another are may be the norm. The difference is risk, so your question should really be "what is the least riskiest market?" THEN go make the best deal in that market to earn the highest return.

What is your definition of a housing crash? What we saw in 2008 was a financial meltdown that impacted the housing market. It is unlike that that kind of crash will occur. Most likely what will happen (is happening) is that prices will stop rising. As credit markets ease, you will see a return back to home ownership so that I believe we will return to a more normal pattern.

In the Dallas/Ft Worth area, home price over the past 40 years have only appreciated 2% annually. That is not to say that some areas have not seen significantly more than others but the overall average has be very mild.

As for the rental market, there is no doubt that the DFW area is starting to get overbuilt and that rental rates for apartments are reaching a peak. Many new projects are offering free rent and effective rental rates are leveling off.

The housing crash that you fear is either already started or will only be clear once you are in it. I think the comments above are on track for the most part, that being that if you focus on rental income as the basis for you investment, appreciation will take care of itself. If your intent is to make short term money through rising home sale prices, I think that ship may have already sailed.

Wow - Dallas

You have started an extensive thread in just a short time. My two cents is that you might consider a refi and cashing some equity out. The cash out is not taxable and with rates as low as they are, there might be some great opportunities.

Best of luck

Thought I would forward this information to BP members. REIS provide real estate data to the industry and they are very good source. There has been a lot of discussion about Cap Rate in this forum and though that this would put thing in perspective. 

Important note: REIS data is primarily derived from larger properties and institutional players. One should not rely to heavily on this info when assessing small multifamily and SFR.

If you have any problem connecting to the link. PM and i will send you the link directly.

ps. I have no interest in REIS nor am i promoting or endorsing them.

https://www.reis.com/cre-news-and-resources/q1-2016-apartment-cap-rate-trends?utm_campaign=CRE+News+and+Resources&utm_medium=email&_hsenc=p2ANqtz-80AKRY-2OPa10POEnAl9xfzhYHGjrwbxslN_AQXNqmon-mrKUPr_TZSLyDbYou1mQzc40k_hoaLYebLdwIdTrwlKxxvA&_hsmi=30339707&utm_content=30339707&utm_source=hs_email&hsCtaTracking=b01754ba-e4bf-402f-8792-d8d9ae8f503b%7Ce92fd593-6c90-46cc-bce1-5d440ec6e533

We are starting a new multifamily business to compliment our existing investment business. AHC Capital has traditionally been a "silent partner" teaming up with active real estate  professional by providing investment capital. 

We are now expanding our company with the formation a new company that will focus on the direct acquisition and ownership of multifamily properties. We are seeking a small group of investors/partners to help us. The opportunity is to invest in the operating company and be an active member in running the company. We are not looking for investment capital for the properties but rather for individuals that will take an active role in the company. 

If you have an interest in multifamily (50 unit and greater) and have been wondering how to get in to the business, this may be right for you.  The new founders group will be less than 10 ten individuals and  our goal is to be geographically diverse. 

AHC Capital has committed to funding our new group with up to $5 million in equity capital annually, that should translate into about $15 to $20 Million in acquisitions annually.

Pleas contact me at 214-744-3075 or via email at [email protected] for more information.

Position says no to remote however that is incorrect. We have openings in Colorado, Texas, Oklahoma, Florida, The Carolinas, and Georgia. We are open to other state depending on experience.

I'm looking for a investor(s) /managing partner to partner up with to develop our multifamily business. We serve most the country but have specific opportunities in Colorado, Texas and the Southeast. Please email me at [email protected] or call direct to 214-744-3075

welcome to bp