All Forum Posts by: Lewis C.

I am viewing a 15 unit Apartment complex tomorrow here in Memphis. My business partner and I own quite a few SFR, Duplex & Triplexes but nothing larger. What information do I need to gather from the agent / seller, and what additional due diligence do I need to do when evaluating this property versus when we evaluate SFR & Duplex? Thanks in advance for any guidance!

@Michael Seeker I Strongly Recommend The Uhlhorn Brothers. They completed a large renovation of my house in Central Gardens, and have renovated many other homes in the Central Gardens and Evergreen District. In fact, they just completed a 2 story garage / guesthouse a few doors down from me in Central Gardens. They do great work. 

@Allen Fletcher Great feedback Allen Thank You. It is easy to pull the tax and insurance info but viewing each of the 18 properties is not an option other than as a contingency once an offer has been accepted.  

Hello - I am looking for some feedback and suggestions on the value of an 18 property package in Memphis. The properties are located in good areas - U of M (inside the highland / Park / Goodlett boundary), Midtown (Vollintine-Evergreen, Cooper Young), Colonial Acres. The package comprises of 12 x SFR, 5 x Duplex, 1x 5 unit multifamily. Most of the properties are 60+ years old.

Total rents are Approx $24,000 / month. Some have new roofs and all have been rehabbed to a good standard. All but 1 are currently occupied. The package is being professionally managed. 

As fellow investors - What value would you put on this package?

Thanks in advance for the feedback!

@Kellis Landrum Feel free to call me to discuss.  I am a local buy and hold investor here in Memphis. I am less focused on determining the value of a property based on zip code but more on the individual merits of a property which includes many factors. As many people have said on BP in the past, Memphis is a tricky market. A zip code doesn't tell half the story, nor does a street name. 38115 can be hell on earth for an investor or a good value bet depending on the block and your goals. 

@Dean Letfus 

I wouldn't have posted this if selling wasn't an option.

Hi folks,

I own 4 rental properties in Memphis, and have been investing for 16 months. I am looking for advice on this situation:

The first house I purchased cost 115k and it rents for $1,200. For those of you that know the Memphis market, you will know that this is a horrible return. My other 3 properties have far better COC returns. My lack of experience coupled with a desire to buy my first one, led to this mistake. My question is this:

Should I sell the property and use the cash to invest in a different property with better returns, or hang on to it? it is cash-flow positive (barely); I only purchased this house 14 months ago. After closing costs etc I would anticipate a loss of around 5-8K on my original investment. I have around 33% equity in the property.

Thanks in advance for your insight.

Hello all,

Looking for some help for the BP folks....

My business partner and I currently own 4 rental properties, which we plan to put into an LLC. The LLC has been filed with the State of TN, and once it has been recorded, we will QC the properties to it. (our lender has approved this). We are 50/50 partners in the LLC and will split profits / losses accordingly.

My question is: How do we protect our personal assets, and the equity in the rental properties, in the event a Tenant sues us etc.?

I have been unable to get a personal umbrella policy to cover the rental properties to this point, because we are both named on the Titles of the properties.

Is there some kind of business insurance that would be suitable for this situation?

Any insight from those that may have an opinion or experience with a similar situation would be much appreciated.

Thanks!

Hello,

When purchasing a foreclosed condo from the bank - Is the buyer responbible for HOA Fees that were owed by previous owner?

If so, is there any way to find out what the total owed may be?

Thanks!