All Forum Posts by: Christian Beyer

@Gustavo Arribas

Hey Gustavo send me a DM

@Syed H.

This is helpful thanks Syed- where are you finding deals?

Hey BP- does anyone have experience structuring deals where investors are bringing disproportionate amounts to the table?

I’m currently looking at engaging with another investor where they will be bringing the majority of the down payment and I will be contributing the deal, the strategy, the PM, and the lender. This would likely be something like a 90/10 or 80/20 split in terms of cash down.

Does each member have equal rights in the partnership? How did you organize the LLC? Does this situation almost always result in a buyout of one side? Should I be collecting a fee for my contribution?

Thanks all!

CB

@Kyle Davidson

Hey Kyle- send me a DM I’ve been investing in PXV for years and will actually be selling a duplex in about a week or so

@Gary York

10% plus one month at turnover- industry standard.

The problem is that this is SO standard that the difference in quality of service you get for the same price is staggering. It’s akin to all agents charge 6% to sell your home but some are excellent and some are awful.

What you will see is that good Property Managers don’t see turnover as a part of their revenue. They see it as work and they charge to cover their expenses. Good PMs want long term tenants and place based on certain criteria to attain that.

You can search long and hard, but do your due diligence, get referrals, and run trials. Good luck!

CB

@Charles Giovanniello

I definitely second (and apparently eleventh) all of the advice about finding a better PM. If you need some advice on that let me know- I’m also in Allentown and have had some success where others may have struggled. Your PM should have more contacts and ability to schedule a mason sooner than next year.

Alternatively, if you are looking to sell and focus on your wholesaling let me know! I’d be interested to hear more about the property and we might be able to get you out of it for everything you have in it and not make you eat all the closing costs.

@Alex Heidenreich

For multi families of 5+ units in my market I look at the price per door. If I can get in at a certain price, I know where fixed up and properly rented units will be valued and the math is quick and easy whether you’ll be able to cash out in a year or so after turning over tenants and light rehab.

@Mauricio A.

Hey Mauricio,

In my experience- going and finding an off the shelf contractor to take your calls, perform work to your standards, get things done on time, and not charge you an arm and a leg is unlikely. You may be better off (depending on your property situation and investing goals) finding a really good property manager who has the built in relationships and contacts in the area in addition to built in leverage over the contractors due to their scale.

In the Lehigh Valley you can’t do better than @Ronald Bowser but I’m a biased.

@Daniel McNulty

I see what you did there.

Listening to @Greg Dickerson short pod on the topic it seems to be a long putt to turn a profit and unless you have deep pockets or lots of investors it rarely is a good investment medium, instead it is more of a hobby.

It seems that this would be a sub par option unless there were more grandiose plans for development or other revenue streams.

Hey BP,

I know this is a bit out there... does anyone have experience financing and completing the purchase of a golf course?

There is a beautiful, yet poorly managed, golf course near my home in Suburban Philadelphia near Phoenixville in Chester County that has peaked my interest. It is not for sale currently, but as the owners refuse to invest in proper management and general course etiquette I can’t imagine it will be successful for much longer.

Obviously I have no experience managing a golf course but a trained monkey could do a better job than these guys. A potential exit strategy would be using the land for development as it is a very desirable place to live with some picturesque scenery.

Anyone have any experience doing this or something similar?