All Forum Posts by: Christopher Berggren

Thank you, John, for your thoughts and input.

No you weren't very late, as the deal is still a work in progress.  Have been working with city on whether I can legally add the finished basement as a unit.  The cash-flow analysis I did is based on present number of units (4) and market rate rents for the area.  The existing rents are below market and can be raised within a year.

The 585,000 number is based on the income-approach used in commercial properties, but it sounds like the appraisal approach would have to be comp-based because it is still a residential property (4 units) at the present time and there is a chance the city won't allow the extra unit.

The 461,500 number is the all-in price - purchase+rehab+holding costs. 

The 'upsides' for purposes of analyzing this deal are:  1) one of the 1-bedroom units has potential to become a 2-bedroom;  2) basement is finished and can be made into 5th unit;  3) some of the existing tenants are paying below market rents

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Hi there If you're an experienced Multi Family investor or Bigger Pockets analyzer, I'd like to hear from you with an explanation of some of the BRRRR numbers.  Doesn't have to be specific to this property but would like to know what YOU think are the most important numbers or ratios in analyzing a multi-family.  For example, do you look at the Gross Rent Multiplier (GRM)?  What are the two numbers under Debt Coverage Ratio?  Why is the ARV in the Financial Info less than the actual ARV?  Thanks in advance for your response!  

Thanks Alexander for the ideas which are much appreciated.  Most of the excess in the numbers comes from wanting to 'err on the side of caution' since this deal looked really-really good.  The acquisition portion is something I worked with as though a cash partner was part of the equation, not a lender.  As a new user of these calculators I have to profess some of my own confusion on the output - so admittedly I did some tweaking in an attempt to better understand the results.

Looking for a cash partner on seven unit apartment building in Pittsburgh in need of extensive repairs with 850k ARV and excellent cash flow.   Purchase price 125k plus repairs 275k for all-in of 400k.  I'm experienced in home renovation and project management and will see work through from planning to refinance and payout to investor partner.  Popular urban neighborhood that is growing due to its proximity to downtown and entertainment districts and the strength of the local economy.  Ask me for BRRRR analysis report.

Looking to lock deal on 7 unit distressed apartment in popular Pittsburgh, PA urban neighborhood by EMD of 3000 fully refundable in 45 day period with favorable contingencies and remittance to investor of 4500 for a 50% ROI.

Looking for a cash partner on seven unit apartment building in Pittsburgh in need of extensive repairs with all-in cost of 400k and 800k ARV. Popular urban neighborhood that is growing due to its proximity to downtown and entertainment districts and the strength of the local economy. In recent years, numerous residential properties have been stylishly renovated and commanded high rents and sales prices. BRRRR analysis report available upon request.

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*This link comes directly from our calculators, based on information input by the member who posted.

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*This link comes directly from our calculators, based on information input by the member who posted.

Sounds like good advice, Anthony, and I can say I've been learning more about the area every day, as I spend a lot of time on foot or on bike to learn all the streets.   If you are an agent and investor, I'd like to meet you.