All Forum Posts by: Adam Zach

Investment Info:

Single-family residence buy & hold investment in Social Circle.

Purchase price: $343,000
Cash invested: $49,000

I love real estate. Last week we closed on this new construction home. We get to help a family, cash flow similar to a STR (over 30% CoC ROI), have zero vacancy, plus act like a bank. I love me some lease options

More info on the numbers and tenant here. https://docs.google.com/spreadsheets/d/1yhfnVlZdEBfrVmSeizm7MB3DgcLMFhVk/edit?usp=sharing&ouid=103884306330266848095&rtpof=true&sd=true

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $32,000
Cash invested: $72,000
Sale price: $115,000

Contributors:
Thomas Latuga

Equity partner on this deal. We brought 100% of the financing (cash to close plus rehab and holding), our partner found the deal and managed the home. We split profits 50/50. Would fund this deal all day everyday.

This flipper approached us on this deal. He has a serious track record and the deal was at or below the 70% rule. We connected and signed a JV as money partner and deal provider. Win win!

Quote from @Alex Hileman:

Quote from @Adam Zach:

Quote from @Alex Hileman:

Quote from @Adam Zach:

lots of good books out there on this but I personally boil things down into the following 6 categories. 
1. seller finance

2. Big banks

3. Local banks

4. Hard Money

5. Private Money

6. Partnerships
I would suggest 1, 5, or 6

Note this table is from 2022 so rates are up a little higher...

Thanks for the info @Adam Zach! Can you tell me more about partnerships?

 What would you like to know? I typically use the following language
1. Dating - more of a get to know you and sharing information, maybe work with each other or watch what they are doing
2. Getting Engaged - do a joint venture on ONE SINGLE deal and see how much you like each other
3. Get (business) married - form an LLC for long-term partnerships.

there are various blends of this

Do you ever see partnerships where 1 person finds the deal, contractors, etc. and the other person finances it? 

 Yep. I do this all the time. In fact, it's the only way I do deals.

Quote from @Alex Hileman:

Quote from @Adam Zach:

lots of good books out there on this but I personally boil things down into the following 6 categories. 
1. seller finance

2. Big banks

3. Local banks

4. Hard Money

5. Private Money

6. Partnerships
I would suggest 1, 5, or 6

Note this table is from 2022 so rates are up a little higher...

Thanks for the info @Adam Zach! Can you tell me more about partnerships?

 What would you like to know? I typically use the following language
1. Dating - more of a get to know you and sharing information, maybe work with each other or watch what they are doing
2. Getting Engaged - do a joint venture on ONE SINGLE deal and see how much you like each other
3. Get (business) married - form an LLC for long-term partnerships.

there are various blends of this

lots of good books out there on this but I personally boil things down into the following 6 categories. 
1. seller finance

2. Big banks

3. Local banks

4. Hard Money

5. Private Money

6. Partnerships
I would suggest 1, 5, or 6

Note this table is from 2022 so rates are up a little higher...

Yep agreed. Here is a blank JV agreement that might help you think through some things. I use this all the time on my flip partnering. https://docs.google.com/docume...
Of course use at your own risk and consult with attorney but this document should be helpful.

A helpful document to think through who is doing what. I do joint ventures all the time. https://docs.google.com/docume...

I am a single family guy but would suggest Lee and Jason with KW, Darsh Desai, and Kyle Reedstrom as conversations.

 I used my local bank, First Security Bank (where I live in North Dakota). I did own the home 100% with no mortgages so I was not taking out a 2nd position or anything like that. 

Are you saying no local Tampa lenders will do any sort of HELOC? We do that all the time here.......

I just did an investment HELOC with a floating rate in tampa. Was only a 60% LTV but it is a nice $80K sitting there if and when i need it without paying any interest until i need it.

I found a local bank to do it.