All Forum Posts by: Bab Adetiba

I received an answer and have the property under contract. Anybody interest in the details?

I utilize the brrrr strategy with 40-60s build homes but now I’m moving into multi family. Question 1: When rehabbing a 1910-1920 large pier and beam home and multi family, what are the main things one should consider? Is it pertinent to get a Gc experienced specifically with these types of rehabs? My current GC is used to high dollar 50/60s build renovations. Am I being too granular? On a current deal I’m about owner finance... I’ve spent $600 on general and foundation inspections during the due diligence so I know “exactly” what I’m working with. I’m replacing the whole foundation and intend to do the brrrr strategy. Question 2: How do appraisers determine value on multi family? Do they take the surrounding comps? If so, how do they determine each owner noi and cap? I’ve never understood this with multi families. Thanks. Dallas investors: If you want the analysis on the numbers, dm me separately!

Please ignore the part about examples of 3/1 shotgun homes. 

We have a 5 bedroom 1 bath 2,196 sq ft property. The structure is for the most part like two shotguns home put together, because it has a middle wall going down most of the home. 

We will convert the home to what I desired to be a 3/1 duplex, because my market best responds to 3 bedrooms and we have two properties which are  3/1 and 1,100 sq ft. In my mind, 2,196 in a half would allow at least a 1050 sq ft 3/1 on each side. Is my reasoning off in assuming this?

After going through some floor plans, we actually think a 2/2 with a laundry room would be best. HOWEVER, our investment strategy doesn't include two bedrooms due to the data showing people prefer at least 3 bedrooms. Generally speaking, in your experience, do tenants respond more positively to a 2/2 over a 2/1?

Each market is different but I would like suggestions. 

Lastly, Have you ever seen a 3 bedroom 1 bath shotgun style home? Please refer me to any site .Thanks

@Andrew Johnson Ok thanks for the advice.

My next option is a mortgage broker.

I bought a buy and hold property for $12,000 (appraised at $25,000) and it needs a $45,000 rehab and I project arv to be $90,000-95,000. I’ve approached a few local banks and they’ve all offered 85% ltc then after 12 months 85% refi. none offer ltv upfront. I recall hearing a podcast where someone suggested this strategy. Also, the banks claim Some banks do but never name them. Have you ever received a loan to value upfront? Why would a bank care how long I’ve owned this property? Thanks

In any part of dallas metroplex? South dallas, 175 hwy area.

Do you invest in new builds locally? What's your selling price point?

the agent is sort of suggesting that i back out and allow another higher and better offer to come In. I don’t want to follow this route and believe the seller will actually close.

Now I have a new problem. After title search, it is revealed that in addition to the known back taxes, the seller also has mowing liens. Liens and back taxes combined is greater than the executed contract price. I got my survey back and I’m ready to close but the agent is pushing me...this is a dual agency...about the purchase. Effectively, the agent didn’t do their best job representing the seller best interest and their short $2,000. What are my risks? That the seller defaults on the contract and my option money is lost?