All Forum Posts by: Casey Stuebs

@paul alberry Great point! I'm not actually interested in the building, I really was just trying to calculate the math. I'm sure soon my learning will be going to properties and looking at the books to see for myself but on smaller properties I can actually consider. I will be purchasing a duplex, tri, or quad here soon and live in one unit thanks to what I've learned on BP.

@Tatum F. I used what you said and a couple blogs to help me learn and I love it! Here is an example of a building I ran it on. :) 

List Price is $1,700,000 and I want to calculate the value 

Numbers they provided:

Gross Income           $219,600

Operating Expense   $152,253

NOI $204,346

NOI/Price = Cap Rate

$204,346/$1,700,000 = 12%

Building Value

NOI/Cap Rate= Building Value

204,346/.12=  $1,702,833  Final answer, how does my math look?

Thanks for the help! Very good good information and tells me what I need to learn first. I am now going to read some post about NOI and cap rate.

Have a great day!

Casey Stuebs

@Steve VaughanThanks for the in the mean time advice! And you are right, those are things I need to do and I am learning how to do it :) One big thing when targeting these properties I am wondering how I should evaluate what I would pay and what I should offer. I asked that question in a post on the forum.

I jumped on your profile and I love your goal, 10 units in 24 months. We are pretty close to each other so I will keep an ear out for the progress! 

Thanks for reaching out, have a great day!

Hi all, this may be answered someplace else but I couldn't find it. Josh and Brandon mention when looking at apartment buildings you base the value off of the current rent price. Hypothetically if there is a building with 10 units that rent for $500 each with vacancy rate of 10% so the property brings in $4,500 per month, $54,000 per year. How many years income do you pay for the property? Any guidance in this is much appreciated.

I'm not looking to make a move on a 10 unit building soon but I just want to know so I can calculate it in my head and learn while driving down the road.

Thanks everyone! I am excited to be here! 

@Sergiu Ionita that's awesome, I am sure you find a great one with all the resources here at BP. I'll try to keep an eye out for any progress you make. Are you going for Duplex specific or considering 3-4 units too? I am pretty open but hoping for a 4 plex. There is actually a 5 plex for sale right near me that I like but seems like for loan convenience 4 or less is preferred. Again back to what you said, I need to go talk to a lender. Which is my plan here soon.

@Jose Flores thanks for the advice! I agree with you there is so much info here at BP. I found it a couple weeks ago and have listened to 10 or more podcast and read a bunch of articles. I have learned a lot already. I really like your strategy. I believe this is going to be the route I ease into as well after I purchase my first property.

Cheers,

Casey Stuebs Sells Houses

Hi, I just moved back to Spokane from Boise. Prior to that I was living in LA, Seattle and Portland. Seattle being the longest stay besides Spokane. I have always wanted to get into real estate but never made the move. I guess one excuse I made was moving to much it would be too difficult. I don't know if I'll stay here forever but it's time to get involved! I could see myself investing in here, boise or spokane really.

My immediate goal is to get a multi unit property with a FHA loan. I currently work for a marketing company that travels to different auto dealerships and sell cars. This is fairly new for me. This and all other jobs have been 10-99 in the last couple years. I also have a residual income from past employment of about $1000 per month. I believe my main struggle will be with getting approved on commission and not an hourly basis.

I just found BP a couple weeks ago and it is amazing! I've listened to a bung of podcast, watched a webinar and read a bunch of articles and blogs! I've already referred two friends to BP who are a little further along in their career than I am :) The community is great and I look forward to making some new connections.