All Forum Posts by: Ashley Pimsner

@Prab Ghawla 

It's good to get your ducks in a row now as there will be many opportunities in the future.

Private message me for a CPA referral who also is an investor with 200+ units in Chicago.

@Kyle Kline congrats on your apartment hack.

Can you explain how you got FHA financing on a commercial property with only 3-5 units occupied and smaller loan amount?

Specifically the loan program, rate, term etc.

Best wishes!

@Mitch Pomeroy, I also have benefited from the section 8 model for apartment investing.

All of my tenants were furloughed during Covid 19 and unable to pay rent, yet with the guaranteed section 8 rents from HUD I was able to pay all mortgages and still enjoy a small profit.

Yes the section 8 process can be cumbersome with longer turn times to fill vacant units and annual inspections, but in times like these it feels good to help those most affected by this crisis and still get paid.

@Michael Kay I agree with @Tim Herman two extra units are not pure profit.

Assuming 50% expense ratio you are looking at 2300 x12=$27,600/4% cap rate or forced value of $690,000, but this does not include cost of adding two new units.

All my tenants were furloughed, yet I have still received 66% which more than covers the bills and provides positive cash flow for the month.

Half of my units are subsidized by section 8 and SS  and the rest have have agreed to a payment plan once the dust settles.

Multi-family Millions by Dave Lindahl

@Michael Ealy,

The JV recommendation makes perfect sense and keeps both parties interests aligned.

I appreciate the feedback and will start pouring thru my network to see who might be a good fit on the rehab side.

You make this seem easy so you obviously have put in your 10,000 hours.

Much appreciated!

@Michael Ealy, this obviously is a great way to scale using value add, but the tricky part for me is how to establish the costs for improvements?

I was wondering if you could comment on how you determine rehab costs and cost per unit?

Is it second nature by now for you, do you walk thru with a trusted contractor, or do you have a partner who helps determine costs?

My concerns are two fold.

1-inaccurate assessment of cost of improvements therefore going over budget.

2- getting taken by contractor or GC with change orders etc.

If I were able to overcome these two limiting beliefs/fears I just might be dangerous;)

Thanks in advance for your comments.

Ashley

@Chris Salerno

Multi-Family Millions by Dave Lindahl