All Forum Posts by: Chad Westfall

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I have a property in Tucson, Arizona (Picture Rocks) I'm looking to sell. The property is a 3/2 on ~4.5 acres. The house does need minor work, but overall it is in decent shape. The house is painted and decorated in a very New Mexico way. So, there are cosmetic things that need to be changed. 

Looking to have investors view the property the week of 21-August. Hoping to agree to a deal by 25-August. Prefer hard money/cash. The house is in foreclosure due to estate delays. Those have been worked out. I want to make sure you can close. If I have to pay the loan off, then the price will go up and I will prep the house for a new buyer. 

For specific address please DM. I had an appraisal done last month which should be good for most lenders.

 It is really hard to answer that if you are looking at an entire state. There are great parts of each state to invest in and there are areas where perhaps it isn't so great. 

Many mention hurricanes in Florida. For those of us who live here, it is what it is. Houses are build to code. So, as long as the properties are not too old, then they will withstand the storms. Flooding is something to consider. I only buy on elevated land here. If my house floods, then the entire city would have to flood. 

Texas has tornados, sand and ice storms. Pretty much anywhere you look has something. Again, building codes for each area are different to account of the environments the buildings are built in. I wouldn't really worry about that. To me, as some have mentioned already, you need to decide what type of investment are you looking for (appreciation or income)? Then I would look for areas that offer that.

I personally, live in Pensacola, FL, and finding good management companies and deals here is very challenging. I invest in other markets where I can find the support needed (property management, contractors, etc ). 

I would look for markets you like, then ask around these forums for recommendations. Find a team, before committing capital (assuming you are investing in an area you are not planning on living in.)

I will look into that. I was originally thinking stucco like Sean mentioned, but I wasn't sure about the walkways. I have only dealt with stucco on new construction. 

I like how easy Hardi is to work with. I need to look into what they quoted me. Material was 19k. 

I was thinking about that. How does that work if there is an existing wood walkway around 1/2 the building?

Hey Guys,

I have a 14 unit apartment building that I'm renovating. It was build in the 70's with a combination of cinder block and stick. The whole building needs to be repainted. The siding they used for the stick framing portion is in poor shape. I cannot get a quote to fix it. Finally got a price to replace it, and its 65K+. I understand the building is large (~10,000) and prices have gone up, but I'm wondering at that price, are there other options I should be thinking about?

Anyone have any alternatives or suggestions? This is a long term buy and hold.

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $250,000
Cash invested: $70,000

14 Unit Apartment Complex.
Purchased it with 6 units vacant and the property in not great shape.
Just about through renovating it now.

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

Always looking for value add deals

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

I called around to a lot of brokers to find a pocket listing that met my needs. Once I found this, I ran through the analysis and paid asking price.

How did you finance this deal?

Original financing was hard money that fell through at the last minute.

Back up plan was to use a local bank to refinance after the rehab was done. Luckily, they step in and help me acquire the property for the initial purchase and rehab.

How did you add value to the deal?

We have currently rehab 5 of the vacant units. Moved one tenant over and are renovating the final two units. I'm also in the process of updating windows, siding, etc on the exterior.

There is a lot of work that needs to be done to really make this place nice.

Lessons learned? Challenges?

Always have a back up plan when financing a deal. Luckily, I had one. But this experience really hammered that home. First hard money lender had me buy everything, pay for insurances, etc all before closing. Then decided the loan didn't meet their criteria (which I asked about to start with) and denied the loan.

I have been searching similar things. These are very different types of building. 

Steel Built is creating panels. They are traditional panels as if they were built on site. There are speed benefits to this method but I'm not sure what other benefits there are having them built offsite. 

Thermasteel is a SIP. So, you are looking at a panel with insulation. There is no thermal conductivity in their design. There are, also, different types of SIP building products from other manufactures out there. I like Thermasteel's design, personally. I have spoken to them in the past. They lean towards a hybrid system using their panels for exterior walls, and perhaps flooring, but using a steel framing for the roof trusses. 

My intentions are for a medium to high end rental unit and long term ownership. That is why I'm being drawn to thermasteel. There is an upfront cost but I'm trying to determine if there are long term benefits with tenants paying the bills. 

I would love to hear any inputs people with experiences have. Outside of talking to Thermasteel a few times on a different project, I don't have any practical experience. Sorry I cannot really give you anything.