All Forum Posts by: Alisha Nightingale

Looks for advice and direction on the best way to value my piece of property that now has preliminary approval for 50 residential units in White Salmon, WA, a fairly rural area.

Investment Info:

Other note investment investment in White Salmon.

Purchase price: $1,000,000
Cash invested: $600,000

23 acre Rural Center zoning in Klickitat County
Owner-carry contract
Due diligence completed
Granted preliminary approval for 50 lots
Pro-forma is very positive with conservative assumptions
Currently raising 1.5 million for infrastructure work

What made you interested in investing in this type of deal?

Low housing inventory
Even lower inventory under $300,000

How did you find this deal and how did you negotiate it?

This property was not listed but we showed the neighboring property and noticed the vacant 23 acres and approached them with our dream to provide attainable housing in the area.

How did you finance this deal?

Owner-Carry.

How did you add value to the deal?

Negotiated great terms for all sides to make the deal work.

What was the outcome?

Still in progress. The property has preliminary approval and we are looking to raise capital for infrastructure.

Lessons learned? Challenges?

Always use an attorney for contracts.
Complete due diligence before purchasing the property.
Foster good relationships with all organizations in the area by giving them the opportunity to talk and be heard.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Both sides are Realtors and represented themselves.

Investment Info:

Large multi-family (5+ units) buy & hold investment in Bingen.

Purchase price: $330,000
Cash invested: $50,000

Purchased at $330,000 - Gross cash flow was $3,035 NOW $4,525
Owner carry note
$20,000 down
5% interest
5 year balloon
$30,000 of upgrades

What made you interested in investing in this type of deal?

Buy & Hold
Cash Flow
More doors to spread risk

How did you find this deal and how did you negotiate it?

Found on the MLS, negotiated on our own behave as Realtors to secure an owner carry contract.

How did you finance this deal?

Owner carry.

How did you add value to the deal?

Found the right terms for the seller to still receive cash flow.

What was the outcome?

Working on splitting a larger unit into two separate units bringing the rental income from $1,200 to $1,600 - $1,800.

Lessons learned? Challenges?

Sweat equity pays off, especially in the beginning with no major capital sources.
Keep rents at market rate.
Owner carry contracts can help when you are not traditionally financeable in the beginning of your investment history.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Seller had their own representation and we negotiated for ourselves as Realtors.

Investment Info:

Other note investment investment in White Salmon.

Purchase price: $1,000,000
Cash invested: $600,000

23 acre, Rural Center zoning in Klickitat County. Purchased the property on an owner-carry contract, completed due diligence and have been granted preliminary approval for 50 lots. Pro-forma is very positive with conservative assumptions. Currently raising 1.5 million for infrastructure work.

What made you interested in investing in this type of deal?

The high-demand for housing in the Columbia Gorge.

How did you find this deal and how did you negotiate it?

A neighboring property by the same seller was listed and I noticed the open, vacant property and asked if they are open to owner carry contracts.

How did you finance this deal?

Owner carry contract and hard money loan.

How did you add value to the deal?

-Facilitated incredible owner carry contract terms
-Managed due diligence
-Public outreach to gain enough support and avoid appeals
-Got preliminary approval from the county

What was the outcome?

Still in progress

Lessons learned? Challenges?

Have an attorney draft contracts with partners and vendors.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

My partner, the seller and myself are all real estate agents.