All Forum Posts by: Ajay Keluskar

@George Smith Thanks for the advice. Im going to start looking at the for rent ads to see if there are any landlords that are looking for a way out.

@Daniel Hanson I will definitely ask her for the MLS portal. That sounds like exactly what I need to really get an idea of what I have to work with

@Ryan Canfield even though that property that you looked at seemed like it had a lot of issues at least it had a floorpan. I was upset by not even seeing a single sheetrocked wall. I asked my realtor to show me a few more properties this week so I should have a better idea what is possible in this neighborhood

Thanks @Patsy Waldron it's good to know that others have seen the same. If I did put in the amount that is required I think it could be a cash flowing property but I don't know if I can fork over that much cash for a rehab. The financing is going to be hard to get on a property that is completely inhabitable. If I did it in cash I would be stretching myself so thin I would be worried if I can even finish the work

Frank Gucciardo thanks for the advice. The Hudson valley is looking very scarce right now. Everyone seems to be holding on to these properties like gold but there has to be some opportunity out there. I just feel like I'm not being pointed in the right direction by my realtor. The problem though is that all the properties that could have a chance of being profitable are being bought up by the local developers and contractors that already have bigger pockets than myself.

Hello all,

I'm just getting into the real estate game and would like to follow the BRRR philosophy. Went to go see an under market property today and became very disappointed. Let me tell you the story.

Saw the mfh property at 10 AM listed on Albany home finder and it was listed at 45k and all the neighboring properties were listing at around 100-125k. No pictures on the listing but it was right next to the local hospital and I could see prospective renters being young professionals/other good renters.

Called the listing agent and set up a viewing for 4 PM and agent sounded very happy that someone was interested in the property

When I went to go see the place it was a complete gut job. the roof was in good shape and the foundation look like brand new block foundation but the rest of the place was completely destroyed. It looked like someone had demolished the whole inside of the home. The subfloors were missing in many places. No walls and every room was completely covered in debris. Backyard was the same way.

Next door there was a property that was almost exactly the same but was in the final stages of finishing. Met the general contractor and he let me have a look around the rehab job. The property was a 2BR/1,1/2 bath for the main and second floor as a single unit and a basement unit that was a 1BR/1Bath. His total renovation budget when all is done and complete would be 150k. Thats a big task and in my opinion a little too big of a project that I wanted to undertake for my first property.

I have been looking for more good deals in the area but I keep getting agents showing me properties that are already at the max for the neighborhood in terms of appreciation and I wanted to find something that was below marked value that I could put some sweat equity and decent rehab into. Maybe a new kitchen, making a master bedroom. Changing around floor plans for more modern flow. 

I have dealt with gut rehabs before with my parents real estate company but at least in those scenarios we had a brick shell to work with. Some of these properties I don't even trust the wood that I am walking on. 

I am definitely feeling kind of defeated in this market at this point. I just moved up to the Albany area to live with my Fiancee in her mothers house and see if I can make it outside of the New York Metro area but I am not seeing much in terms of deals up here. I am not strapped for cash but I would like to use the savings I accumulated from years of working to start my own real estate business but how do you look at something like that and think of the after rehab picture. Just sharing my story and seeing if there are any others who have dealt with situations like this and what I should do. Is my problem my broker or are there just not properties that fit this strict deal making idea that I have in my mind. 

Thanks for listening.

Ajay

Thanks for the advice @Abel Curiel  

I have already contacted a few general contractors in the area and am going to have them walk through the properties that I am considering and give me bids. All of the gc in the area that want to do work with me are also in the real estate game and have dealt with rehabbing and renting out units in exactly the same way that I was going to do.  I can understand them possibly trying to just earn my business but at the same time I do feel like there is some want in them to see me be successful and do more work with them in the future. 

Hey Peter, Great to hear your story. I'm just starting to get in the game in the capital region and I am looking to get into the multi family game. Hopefully we can share some success stories in the near future

Hello all, Firstly I would like to say thank you for all of the insight that I have consumed over the last few months while I considered taking the plunge into this incredible field. Now a bit of history on myself. I am 28 years old and grew up downstate New York. My parents own two mixed use buildings in a rough part of Brooklyn and I have watched them really enjoy the fruits of the boom in property prices in the area. These buildings each which has two residential units and one commercial units went from 150k in 1993 to some asking us to sell for 1.5 million for each building. While growing up I helped my dad with the usual landlord jobs when it came to painting, plumbing, hanging shelving, or the worst one cleaning after an eviction. He is an electrician by trade and I have picked up a lot from him in that field and also other skills that is just on the job landlord training. Recently the family business in one of the mixed use commercial areas suffered a fire and we had to move the entire business to the vacant commercial property in the other building. Thankfully the fire was on a Sunday and no one was hurt and the tenant properties were mostly unscathed thanks to the commercial property having a metal ceiling above the drop ceiling. Talk about fire rated ceiling. After the transition I took the job of renovating the old site to make a new medical office. I went through the process of demolition, getting plans drawn up, getting contractor bids, getting permits, dealing with subcontractors and finally having the work inspected and now I am just waiting on the final inspections to come through to I can put the place up for rent. This was a monumental project for me but very eye opening. I am now recently engaged and have partially moved up to the capital region and am looking for a new project. The city has a group of city owned properties for between 5k and 15k that are in need of ground up rehab. It's called the Albany Land Bank and has a catalog of homes that they took possession of mostly because they had become so distressed they were destroying the neighborhoods. As far as funding goes I have around 50k liquid right now and a pretty good credit score and my parents are always willing to cosign with me if necessary. I have been looking into buying one of the multi family buildings and putting it back into rental shape and be able to continue and do it over and over to help these neighborhoods not only have great affordable rental opportunities but also to have a brighter future that I can be a part of. As far as financing goes I have been looking into the 203k FHA loans and then refinance with something more concrete when the property is rehabbed. If anyone has any experience with these I would greatly appreciate the input. As far as end goal is concerned I would like to have 10 rental properties by the time I am 35 and a decent enough understanding of the industry to possibly start my own property management business. I am very open to advice and offering my own experiences here. I look forward to the future. Ajay