All Forum Posts by: Autumn Allen

Thanks for sharing and providing information for us. It is great to see partnerships that really work! 

how would you recommended finding a general contractor? I am also looking at my first flip soon. I don't have the cash you had saved up so I will pursue the hard money route. Do you mind providing the city where you were able to get that price? I am in Washington a State. What was the SF on the house? I have a special tool that helps me estimate rehab without having to go see the property just yet and I wanted to test it on yours. 

@Jason Hirko the company is actually one that is featured on BP. They said "3k-one time fee. Includes first property evaluation and your first initial access to 750k in funds" 

@Jeff Copeland ok thanks. It's hard when you are first starting out with doing your own flips. 3k is a lot to me just to be able to access funds. I could do 1,500 for example. But it seems like, just in terms of points alone, that it's hard to find unless relationships are established. 

I know there are a lot of hard money lenders listed on the site, but I wanted to know if anyone had a personal experience with one that met all the following criteria:

1. 100% of funds given for purchase, rehab, all associated costs up to 70% ARV

2. A buy in fee less than 3k just to be in the program

3. 15% APR or less, 0 points

Trying to find slightly more reasonable hard money costs for my first flip. 

Tags: Seattle, Tacoma, Renton, Kent, Auburn, Federal Way in WA

Thanks!

@Patrick L. @Steve Vaughan @Chris Washington @Zach Quick thank you all for the fast feedback. I can do residential SFR analyses really well, but you're right. I do need to do even more research if I want to invest in commercial MF. For now I will continue with SFR wholesale and working towards a flip or rental.

@Zach Quick - great questions. Thanks for your fast response.

The short on this one is that last year the owner used his IRA in march to buy this property. He did it incorrectly though, so he has been advised to sell soon. I was told by the listing broker that the reason rents can be raised is that almost all of the tenants are due for renewal here soon, and the section 8 rents have risen as well. The owner has put about $23,000 into the property in the 1 year he has owned it. Many of the tenants are long term, have been there since about 2008.

As for me: I have been involved with single families for almost a year now, and am extremely familiar with the area as I live around there. I have about 10 years in project management thanks to work and I do have some experience with managing rehab and contractors but I would like more.

Obviously this is a very large first rental property for someone new to commercial. Since it was right in my neighborhood I got excited. If this doesnt work, I still have several brokers letting me know about smaller multifamilies that are more reasonable to take on with a partner.

4/20/2016 

I live just down the road from this multi family opportunity! Auburn WA

I have a lot of experience in dealing with Single Family, but I would like to acquire my first rental. Only problem is that asking is ~$920,000 for 8 units, and I only have 6000 cash to my name (been sending support money for an ailing family member). I am excited about the deal, but I obviously cannot do it alone. I am looking at 2 options - 1. lots of creative financing by myself, or 2. a financial partner that provides the purchase & rehab money, and I provide the deal, oversee the project from beginning to end and save, save the financial partner time and effort, and get a little of the monthly cash flow.

Deal info:

7230 SF building, lot 38170 SF

Cap rate: 8.10%, NOI: $68,636

Gross rent multiplier: 8.64

Occupancy: 100%

Stories:1  Built: 1991

3 bed 1 bath, rent 1110, 915 SF, 4 units

3 bed 2 bath, rent 1110, 915 SF, 4 units

Operating expenses: $29,818

Effective gross income: ~$104,000

Sale description: 8.10% Cap Rate! Cash Flowing 8 unit! Upside opportunity by increasing rents. All units are 3 bedroom. Hardwood laminate flooring, newer roof on one building, some units have new cabinets, fencing & appliances. Exterior recently painted. 4 units have 1 bathroom. 4 units have 2 bathrooms. Residential neighborhood. Growing Community. Easy access to shopping & restaurants. One exit south of the Supermall. 5 min to Highway. 30 min to SeaTac . 25 min to Tacoma. Assumption on loan balance of $577,000. All units have washer and dryer. 

I am a hard worker and have been studying all the BP material on rentals and multi family. 

Anyone interested to help, partner, or provide ideas? Thank you! Autumn

Urgent! Is this OK or should I tell the cash buyer no deal unless you pay my assign fee. I worked really hard to find this awesome deal in a great neighborhood and cultivate relationship with the seller. Seller wants 190 and I originally offered 170, which includes 4K assign fee. One cash investor is willing to make a little less profit to bring the offer up to 180k, but said seller has to pay assign fee? I have never heard of this. Thoughts? Autumn A