All Forum Posts by: Alexander Schwartz

 Man that is odd. I had the same thing when i was at a Prosthetic Clinic. I was looking into getting new legs (Double amputee) and every single foot company i listed they had no idea what I was talking about. And they were well known companies.... not much of a help and quite odd.

Hey all. So here's the run down.

Two buildings, same building essentially except one side has a backyard to it and 3 more units. The 11 unit across the street sold for 510k.

I'm looking at the 8 unit. Listed for 410k. Expenses for the year - 14k. I don't think this includes management fee as the owner manages. Income is 50k, little vacancy as it rents quick and not a ton of turnaround and is in a good ruralish area.

Building is either from 1991 or 1988. Some furnaces, appliances, and AC's are on the way out so I'd have to keep an eye on those. There's also a small spot on the back with sitting water against the building that my broker/investor i was with said he knew the fix (he's extremely smart and didn't make it a big deal so i trust it's not a deal breaker, and theres no basement) Outside is in pretty good condition. Not ghetto or anything. Pretty standard apartment inside and out.

Rent in the area according to rentometer for single beds is $640 so it's on the low side and with the old original appliances and cabinets and stuff, has upside potential.

I was thinking of offering 380k to start and subject to financing, with inspection contingency, request a schedule e (he showed us numbers from his accounting software already but to be safe of course,) and estoppel certifs.

Income 52k

Exp 14k

NOI 58k~

Rents- 525-575

My broker said he'd go 390k max but he said he thinks it would be a good buy to hold for cashflow and rehab units for higher rent. 

Thoughts? I should be able to answer any questions.

Awesome! How did you come across the other deals? 

I have a simple quick question. I'm a realtor in St. Louis and aspiring investor. I have access to MLS and am mostly looking for commercial property. Is it unheard of to find good deal on public MLS? I found a 5+ unit apartment building that seems to net 35k~ a year, fully rented, selling with some other property included near by if buyer is interested in that as well, seems pretty solid and i know the area and it's a good area and what not.

Is it just too easy/good to be true on public MLS or worth looking at?

Congrats on the acquisition, are you renting out both units or house hacking?

Wonderful read and congratulations :)

Reading this makes me so happy! Unfortunately due to credit I can't really get into residential loans. Looking at a 24 unit apartment tomorrow. I plan on going through investors. I don't mind presenting deals and finding people to present to. 

Cashflow you have now is my goal too! Livable for a single person on a frugal budget. That way you have more time to find more deals ;) 

Ideally I'll get the first apartment complex, 16-40 units most likely, use it as track record for next similar deal and live off cash flow, etc. move up from the small apartments when possible with 1031 to even bigger office building or complex.

I really need to find a partner!

I have a team together with a successful RE attorney, commercial PM, and contractors/construction company. The only thing I'm looking for now is a deal, and i'm looking at properties as described in the title of this post. Once the numbers make sense, I will be pulling the trigger. My time frame for this is ideally within the next 6 months.

I'm interested in connecting with someone who's done similar deals and talking about this process. Please send me a request or comment on here if you're interested in getting in touch, I'd love to get in contact!

 I had pretty much the same questions as a brand new agent. Good to see answers. Wondering how to go about using Zillow, Hotpads, and craigslist for this purpose. Pay for leads on zillow? Advertise on or contact people on craigs? As I said, I'm 100% brand new, haven't even gotten my license JUST yet, still waiting for it to come in.

 -Fuzziness of financing, definitely something that's fuzzy for me too. No investor would be great but I might've used a credit card 5 times when I was 18 and I owe for 'overpayment' of disability that my grandma used to get until I was 18. So the odds of a bank qualifying me are most likely laughable especially without having the same job for a few years. So if they won't finance no matter the deal, i'd go to my broker/mentor and ask him if he was interested or what other financing options i might be able to get a hold of.

Rents are definitely below reasonable rate and the owner knows it as well but they own it outright so he can afford to keep them low. But to have positive cashflow with these rents, one would need to have a mortgage payment of 1000~ or less. I think it's yearly but that is a good point about figuring out what I have to worrk with in terms of rent. I'll get that info.

Ill have more definite numbers to post later but I dont have an exact on the utilities just yet, or pictures. So rehab ideas will have to wait because he hasnt renovated but I don't think it's 1946 old on the inside. 

Thanks a bunch for the input, brought up some good points!