All Forum Posts by: Andre Davis

Well, thank you all for your insight. What I've decided to do is approach them and depending on if they need cash right away or can wait, I'll present either a seller finance of 20% and finance the rest or a MLO. Then I'll upgrade the units to force the appreciation and refinance. So..... any thoughts would be appreciated. 

@CrystalSmith, it's on both. 

Hi @Eva Salas, it is a 30 unit plus property that is on the market. Yes, I would like to buy with no money down. About a twenty units are 2 bed 1bath and the rest are 3 bed 1 bath. I only have experience with a triplex as far as real estate. But I have experience with large projects and responsibility from managing large stock portfolios, estate planning and managing over 60 advisors, $85mm in assets and over 3000 clients at a time. My experience there should translate to real estate even though not perfectly of course.

@John Horner, sorry, if I was rambling. But what I'm trying to do is figure the best approach to buy a property like this, outline the benefits to the seller and to find money from the seller(MLO) or private lender. Bottom line is I'm trying to figure out a viable way to buy this property.

@GarrettH I know I can bring management and strategy to the table, but is that enough in these situations. The owner is old school and will want his payday all at once, but I assume after trying to sell over ten years ago and their advanced age, there has got to be so pain somewhere in there.

I know they were trying to sell this property over 10 years ago (my son is 13 now). I think a MLO is the way to go but I'm not sure. The area is a A-B neighborhood, based on a 10 cap the price seems reasonable (comes out to 7.6 cap as is), the rents are a little low for 2 and 3 bedrooms but the kitchens and baths need updating so there is room for forced appreciation. My problem is.... I have no money. 

It seems from reading and my knowledge of intangible assets the benefits are many for them, such as depreciation offset, saving on commissions, stretching out the capital gain, earning a better return than the bank, a degree of control, etc. But I still have no money? 

How do I make this even viable? Oh and I don't know a soul who has that kind of money, YET. HELP!!!

@Ryan Haase, Thanks! That was an awesome article.

Thanks, Gentlemen. I felt as if there was an outright conspiracy going on here. But I have used the analytical tools here and I followed J. Scott's model on estimating repairs, ARV, and this is the area I grew up in, so I feel confident the numbers are right. My fingers are crossed.

I'm a newbie and I'm looking at property that I put an offer on last Monday, then they came back and asked for "highest and best" by Saturday at 2pm. It's now Tuesday and there is still no feedback from the seller's agent. I offered about $30K on a $27.5k listing financed with a hard money loan. How do I know I'm not bidding against myself? Is there regulation around this issue? Is the hard money an issue, because they asked if it was subject to an appraisal, which indicated that they don't know how a hard money loan works. Please advise.

I think I might have a great deal for you. I will contact you as soon as I have it under contract, just waiting to hear back from seller.