All Forum Posts by: Christian Rojmar

@Tony Marcelle, because I focus on SFH buy and hold, I have not looked/read books that are relate specifically to house hacking multi-family. However, The Book On Rental Property Investing talks about house-hacking and multi-family to a certain degree and I do not see why the ideas in that book would not apply to your situation. I am currently in the middle of reading "The Book on Estimating Rehab Costs" which provides good insight on how to find areas that may need work as you walk through a property, how to create a statement of work, estimating costs of various rehab projects, how to find contractors, negotiating prices, etc. - Helpful if you are thinking about buying a property that may require some rehab and have little knowledge of fixing properties (like myself).

BiggerPocket members, any suggestions on great books related to house-hacking multifamily properties?

@Tony Marcelle There are plenty of books out there that will guide you through the whole process from beginning to end depending on your particular interest. I focus on buy and hold SFHs and have gone through "The Book On Rental Property Investing" multiple times and it explains the whole process from building a team of connections, getting financing in place, analyzing deals, making offers, negotiating, finding tenants, managing properties/tenants, etc. etc. It is just a matter of applying the concepts that the authors teach you. Do these books make it sound a lot easier than it is, yes, but many authors provide years and years of knowledge for successful investing in one 200 page book.

Spend <$250 on books and you should be good to go lol! And every book I have read suggests not to pay for a "guru."

How long have the properties been on the market? If recently and it is a good deal, it will most likely be under contract before you have a chance to bring out a contractor that can help determine repair costs. As such, it may make sense to get it under contract for a price that that will meet buyers return requirements assuming property require little to no repairs and then include a clause in contract that allows you to change offer or back out without losing earnest deposit depending on the costs of repairing the properties. I guess the risk with this strategy is that the seller may have a harder time going down in price after receiving a higher initial offer if repairs are required.

If the properties have listed for a while, you probably have time to get a contractor our there asap to look at the property and then make an offer based on repair estimate. Just remember that good deals do not last long in today's market!

Not sure what type of detailed analyses/discussions you are looking for but "BVR" has a monthly and quarterly reports called "Economic Outlook Update" that provide an overlook of the U.S. economy from every perspective (but somewhat high level). They also forecast a few years into the future. The cost is about $360 annually or if you want to buy just one particular report, about $160. These reports are used commonly in valuation practices to analyze the economy and expectations going forward. Below is the link if you want to look closer into it and get a sample report.

https://www.bvresources.com/

Being afraid of buying at the wrong time will prevent you from investing at any time in the market cycle. If you find the right deal and feel confident with the numbers, don't let the fear of a recession make you miss out on the deal. People have been screaming recession since 2012 - the ones on the sideline missed significant growth opportunities both in real estate and stock market.

The truth is, no one knows when the next recession will begin. With that said, you should always plan for worst case scenario. So if you are in a tight financial position and it worries you that you will be unable to protect your investment in a downturn, it may be better to save for a while longer so that you have protection for that worst case scenario.

Good afternoon forum,

I live in Austin, Tx and looking to do some out-of-state investing in the KCMO and Dallas area and I am in need of a realtor. I have reached out to 4 realtors so far based on research and referrals but have received very little enthusiasm and very slow responses. This is a deal breaker for me as an investor as a deal can come and go very quickly - as such, I need someone that is active and responsive.

Please let me know if you are interested or know someone that may be interested.

Thanks!

Are some of the repair costs related to Capex? If not, that category (10%) seem low for such an old property. Is owner going to find tenants? If not, doesn't management fees typically equal 10% of rent plus 50%-100% of first month rent? Vacancy also seems low but I don't know the market. Nice forced appreciation number!

Yeah, I have the same issue in Austin, TX trying to find multi-family properties - little to no supply and very expensive. Don't know your situation work-wise/family-wise, but may be worth expanding search area a bit and see if you can find anything attractive that way if possible. If you do not already have one, I would recommend finding a RE agent who can help you find and negotiate a deal and get a loan pre-approval if the right property comes on the market as these properties typically go quick!

Have you thought about househacking (2-4 units)? I personally do not consider my own house an investment because it is all cash outflows and no inflows but with househacking you will be able to live in the place which means a much easier time managing the property, it will allow you to build equity/reduce debt fast thanks to the tenants. It may also allow you to live for free or cheap while saving money for other investments.