All Forum Posts by: Caleb Bryant

@Tanner Pile

@Colin Flynn MTR's can work here but there are some potential limitations. The city has cracked down on STR's which means they have air b&b data and potentially other sites that they use to find owners who are marketing their properties that are zoned residential and sending them lawyer letters. Simple fix is buy a correctly zoned property but this likely means it'll be multifamily. Others I know but right outside the city limits so the Huntsville rules don't apply.

@Madeleine Musante going to be tough finding that price range in Huntsville right now but as far as a market I think it’s a good choice!

@Susan Tan some hard money lenders will have programs that will transition into the long term financing but is agreed to at the beginning of the process (before the rehab). This may be an option but it won’t give you the bank level rates. A smaller local community bank can often be an option especially if you set your banking up there. These rates would likely better than the hard money but still worse than the best terms you get with a w2 from what I’ve seen.

Hey @Devon Watkins, Huntsville (Primarily) investor here but lived outside Nashville for awhile. There are some good contacts in the Jake and Gino community that do deals in Tennessee and have done deals in Atlanta although I think they've sold most of their stuff in ATL. I'd definitely recommend connecting with some of the people in that group. They have a BP epiosode but it's from years ago now so may be easier to search for their facebook group Wheelbarrow Profits. 

I'm an investor/wholesaler in the area. Happy to chat about the areas and have a few potential contacts that you are asking about. Feel free to DM!

@Ashley Turner Huntsville, Alabama has been cracking down too. At least in Huntsville, they just want it zoned properly and with the proper permits from the city. All we had to do was get the permits. Unfortunately for others who weren’t zoned correctly, they lost their business and either had to convert to long term rentals or sell. I feel for those who were doing rental arbitrage

In addition to the posts above, I'd hop on some deal webinars and you'll start to see a lot of these answers and how certain syndicators like to operate. Each deal is different although many will follow similar basic frameworks. Watching the webinars will give you a peak into how the operator likes to underwrite, how they like to drive value, and how investors typically get paid. 

I haven't been getting any with return estimates this aggressive. Most I've seen are around 5-6% COC and are 1.9-2x in 7 years. I'm also seeing a lot more newer product then class C stuff like I used to see. I'd only be invested in syndications with strong track records right now and I'd be calling people who are in current deals to see how things are going, what communications are like, etc. The LP positions I've had were all purchased before 2018 and I've been lucky to have found some solid operators with good communication. Some of them are paying less than originally projected quarterly but are in strong overall positions as far as debt and property condition.

You don't have to wait until the deal to have money lined up. You can build a one pager of a fictional deal and ask private money lenders "If I find something like this, would you be interested in providing the capital?" With that said, if it's a deal then you can just build your presentation using the actual numbers and pitch it.