All Forum Posts by: Chad King

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $185,000
Cash invested: $40,000

My first rental I picked up. It was a brrrr with a complete rehab on the second floor unit.

What made you interested in investing in this type of deal?

The price and upside of rent and appreciation with value add situations.

How did you find this deal and how did you negotiate it?

Found it on zillow and negotiated it through my agent.

How did you finance this deal?

Hard money to purchase and fund the renovations. After that was complete and all units were rented I refinanced into a 30yr.

How did you add value to the deal?

Complete rehab on second floor. New insulation added in the whole house and soon mini splits.

What was the outcome?

Each year rents are slowing increasing and providing me with more cash flow.

Lessons learned? Challenges?

Should have come in stronger at a lower price. It was my first multi family so I was really eager to get into it.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Absolutely.... my agent became my broker when I got my license.

So I have the same feelings. I know there are many different avenues to go down and how to look for locations, but sometimes I feel like the small towns that have no real inventory are being over looked. People will always need housing so it makes sense to me to put the housing near an area where you know people will be looking. You could always try to build something on the smaller side say.... 6-10 unit building and see how that works for you. If its something that provides good cash flow, build one more. I appreciate your input.

 That is a great idea... I appreciate it.

Hello BP world. My name is Chad King and I am looking for some advice. I am looking to purchase land to build a new apartment complex and was wondering what necessary things you guys look for in finding the right location. Do you look for population growth? Accessibility to highways? Avg medium income? What are your thoughts in locating the right area for I am very interested to hear. Thank you very much in advance!

@Drew Sygit I'll be doing on my own but with a great team behind me if needed. It's really all on who you hire do I guess it's hitting three mark with the right contractors.

@Scott Mac this is great stuff I'm take a look at it. I appreciate it.

@Henry Clark great points. I appreciate the advice.

@Percy N. Great things to think about. I'm going to have to sprinkler the building so I want to upgrade all the lines while I'm in there for I'm sure the old lines are not big enough.

@Chris Seveney that's great advice. I already have a structural engineer and designer in bored with the project and once it's aquired then we will fully being planning. You bring up since great points and I wanted to thank you.

I am in the process of purchasing a school and converting it into apartments. I have meet with the building department multiple times to discuss my plans and they are on board with what I wish to do. The city has the same vision I have for the location and are excited to move forward. My question is, where is a good place to research to gather rough numbers on demo and renovation cost. It is a 25k+ sqft property with projected units around 25. Any help would be great,

Thanks

Chad