All Forum Posts by: Brent M.

I think you're looking for NOI/market cap rate. In the absence of detailed financials, use your market knowledge of expected rents and typical expenses (or perhaps the 50% rule). However, I've never found a decent offering where the broker didn't immediately feature numbers prominently for all to see.

I chase these scammers down for a living.  They're smart, savvy and always international.  I have a lot of tools to go after American crooks.  I just recently got felony charges on one of their mules in CA.  He took 20% of what they were stealing and forwarded the rest overseas.  Nigerians, Jamaicans, Russians- even the FBI won't look at them till its over $1,000,000 taken.  Once your money is wired, it'll be sent overseas in minutes.  I've caught one persons $, only one, in time before it disappeared.  The odds aren't on your side.  The best defense is a good offence.  Encrypted emails, verbal confirmation, triple check your instructions and where they're from.  Once our current debt bomb explodes, we might go back to cash at closings like Argentina does.....

I like to see greater than 15% COC. Cap is just what the market is trading at. Kind of like comps. It shouldn't be used as a measure of return, but it often is. I might accept a B+ multi family in a great location with indicators of growth at a lower rate of return, whereas I would demand more from a C class in a less healthy area. Tough to quantify for you unless we are talking about a specific market, neighborhood and property.

Closing this month on 16 unit. 25% down, 4.95% 5/1 arm, 15 year amort

@Anthony Dooley You're confusing his projected cashflow with NOI. He shows two different monthly expenses totals, one being from a private lender. They differ because he's counting his debt service in monthly expenses. Go easy on telling people to get smarter. Sometimes we all make mistakes.

Those terms are insane!  Prosource?

Had the opportunity to pick up 20 from another investor. I used the capitalization approach and insisted on a 16 he wouldn't budge from a 13 and deal couldn't get done. I would only invest there if I could buy assets for an insanely low price. About 23K for an SFR in that area seems about right to me...

Oops, meant late expansion...

IRR viewpoint puts most US markets in late recovery, followed by oversupply, then recession. I'm shopping for multifamily, but finding it a seller's market. I made most of my current stack buying heavy in 09 and selling most of it this year. I'll buy the right property, but I'm not speculating on appreciation. That being said, I'm holding my Bay Area primary forever- irreplaceable location.

I'm sending a LOI out next week for an underperforming 36 unit multifamily in the SE. Seller has it significantly overpriced, but the listing agent has given some indication that he understands the property's issues and may be willing to come close to my strike price (she doesn't know that number.). Seller has many more properties and I'm told he's selling these to free up capital. I'm going to put out two numbers, a low price that is justifiable at an 11cap and a higher one that includes seller financing and repair credits. Any other creative offer suggestions that may make this win/win? Thanks!