All Forum Posts by: Chris Reyes

Hey FB family! I'm currently in search of a mentor who can serve as a valuable resource in the upcoming year. The aim is to acquire an 6-10 unit apartment complex within the next year in Colorado. 

The funding for the investment will come from a 1031-tax exchange in the amount of $400k for the down payment and estimated 80k-100k for renovations. 

We are looking to get a COC return between 7%-10%. We plan to concentrate our efforts on direct mailing to find off-market opportunities. I kindly request the guidance of an experienced individual to help kickstart our multifamily investment journey. I understand your time is valuable so any why that I can add value to your endeavors, I would be honored to give my help.

Background: 

I personally have been in real estate since 2015 and had had three houses, two rentals, and one primary. I sold off the first house in 2020 and have another rental that I've had since 2018. We live in our primary but we plan to rent it out within the next year. 

My wife and I are self-employed and work with an independent mortgage company. She has the MLO license and I am an assistant along with managing the rental property investing.

The silent investors we have our family members. They have been in Real Estate for 30+ years, have two rental properties paid off and almost their primary residence paid off as well. They agreed to sell one of their properties (in 1031 tax exchange) to use as a down payment for the apartment complex while we use the sale of our rental as renovation money. 

Thank you in advance for your help and looking forward to learning from your journey into multifamily investing!

My family and I are deciding to go into business together by upgrading our rental properties. 

We have an opportunity to sell:
- 1 rental (one of my parents) for 350k 

- 1 rental (of ours) net 80k-100k (use to start process of adding value) 

And yes we do also have reserves in the event of low occupancy. 

We need some ideas from experienced investors on what you would do in our situation? 

Our goal is to get into a value-add multifamily (5+ units). Living in Colorado, it’s a little more difficult to find a property that makes sense to invest in. So buying out of state is not off the table. 

Thank you in advance! 

Hi everyone!

I’m looking for someone with experience with investing into New Mexico house flipping. 

I have family that lives out there that is experienced with the rehab portion of properties but not so keen on the investing side of it. They have the funds to start investing. 

My biggest questions are:

1) How do you know how much a house is sold for if records don’t have to be public?

2) have you had any recent success with flipping in parts of New Mexico? Fix and flip specifically. 

There is a tenant that is making very severe accusations about another tenant whom which they agreed to shared residency with. 

What are the best steps you have taken to deal with the compliant and resolve the issue? Thank you for your insight! 

Hi everyone! 

There’s a potential tenant that has applied for a rental that is using a trust as proof of income, as well as 30 day bank statements. They do not currently have any type of employment. The other tenant that will be occupying the property does have full time employment. 

My question is, has anyone dealt with a tenant that is using a trust to pay for the rental income. If so, what precautions should I take to ensure everything is legitimate with their trust? 

Thank you in advance! 

Hello BP community,  

I’m helping orchestrate converting my parents rental property into a duplex and would like some insight since this is the first time attempting this. 

Background: 
The house is in a smaller town in Colorado. Population: 8200 (and growing rapidly). 

Lot size: 9,365 

House size: 760sqft (2bed 1 bath)

Zoned: R2 for Duplex 

Owned Free and Clear 

Possibly have to fix foundation

I have already contacted an architect to give me an idea about pricing but I had a few questions before I send him info. 

1) how do I determine what size I would want the duplex to be. 
- based on other duplexes around?

- based on how many rooms wanted?

- based on the size of the lot?

- all the above? 

Any advice or suggestions about anything to do with converting a house into a duplex would be much appreciated!

Respectfully,

Chris Reyes 

Hi there BiggerPockets Family!

I am in need in some advice. I'm in the market for hiring a CPA to do my taxes for the 1st time. 

Up to this point I was using a family member but have decided that it's time hire a professional that deals with RE portfolios. 

I have hired a bookkeeper in the beginning of the year to consolidate my financial statements. 

My portfolio is very small at the moment and consists of 1 SFR. However, I need to start developing systems for WHEN my REI portfolio grows and take advantage of the knowledge of tax savings with Rental Properties/Personal Income

My questions are: 

What do you ask/look for when interviewing potential CPAs?

Whats an average cost of a (small-time) CPA so i can determine if they are trying to charge an arm and a leg?

Any other advice is greatly appreciated! 

Hi there JD!

Being able to retire with at least an option of having a ham sandwich seems to be a big factor in getting into/continuing real estate investment lol. It is great that your motivating factor is understanding that in order to retire without living "below your means" involves action and investing your time and effort into REI.

After reading several books, listening to numerous podcasts on youtube, and doing my own "calculations," I came up with the same conclusion for myself. Working at W2 job is only going to lead to an impoverished lifestyle. In order to take control of that, I decided to create a deep understanding of how to invest my time and money exponentially. To me that is a huge reason why I continue to strive to become a Sophisticated Investor.

Thank you so much for your response!

Hello Will!

Unlike a 9-5 where the employeer has a lot of "leverage" over your schedule, how much you make, and the numerous other caps, real estate is a way to escape that for you. Control and Freedom are great ways to describe the potential that REI can offer us.

I believe the accountability portion is a huge factor in whether people decide to venture off on their own or not. For myself I did not realize I enjoyed being the one to "count on" or "blame" based on my actions after being in management for over 8 years. Real Estate offers the same, to me, opportunity to take on even more resposnibility, from the assets themselves, to being accountable with investors money. 

Thanks again for the response!

Hi there Aaron!

Being able to reap what you sow sounds exactly what is helping you get motivated to grow your REI portfolio. And like you had mentioned, the best way to acheive that is by creating passive income, enough to have the option to work or just oversee operations.

Having to create the opportunity for myself to be able to take my family on many exotic excursions is a great motivating factor in my own 'why' for creating wealth through Real Estate. I feel since we have this one life-time why not utilize it to expand our horizons by being able to travel the world!

Thank you for your response!