All Forum Posts by: Brent Hall

Michael,

If you're in Chicago, you might find ilfls.com to be a good resource for finding potential leads.

Regarding the investor, I would recommend thinking of how you can offer value vs. thinking of how you can capitalize on (take advantage of -your words). It's going to come down the the relationship and level of trust you can establish with any investor and more importantly, what you bring to the table.

Best of luck-

Are other properties selling in S. Berwyn? If so, then your property will sell (in today's 2013 market) if you deliver the right product at the right price.

If properties in a specific school district sell for a premium, simply evaluate the opportunity accordingly.

Wish I could. I didn't realize that is illegal in TX. If paying a broker for comps is illegal why not call it a consulting fee? Or you could pay him to wash your car and he just happens to leave a bunch of comps on the passenger seat :)

Danny, brokers should work for the business, however, if all you have to sell is your dream, i.e. you have no funding and no track record, then you will probably need to pay for their time.

Lack of POF and/or track record = tough sell when promising a listing for a property you don't have the means to buy.

Why not offer to pay one of these brokers to run valuation reports for you? $$ talks.

Thanks for the feedback Dion. Our business model is based on speed. We target 150 days max from the date we purchase the property at auction to close on the resale of the property. Time = money so offering cash for keys is essential for us.

I couldn't agree more that $15K is over the top. We've never had to pay that much but we have budgeted for that amount from time to time, usually on single family homes with market value over $450,000.

If you have an appetite for for managing properties then option C is the quickest way to reach your goals assuming the income can cover the debt and expenses.

The multifamily market in Chicago has insane long term upside in my opinion.

Yes, of course. Sounds like you realize why this is selling for a discount so the next step would be to determine the cost to improve the property so it can be resold for market value.

If you take action based on what you just said, you can kiss your money goodbye.

If it's a Fannie Mae prop that means it's listed on the MLS, right? Get a broker who will give you sound advice(they work for commissions) or talk to the listing broker and find out what the story is.

There is a reason why this is avail at a 44% discount to area sales. You need to find out why.

Question is, do you want to sell and if so, could you sell if this developer wasn't interested in the adjacent land?

If you have a net operating income of $40k and the offer is $100k per acre for 3 acres the effective cap rate at the offer price is 13.33%.