All Forum Posts by: Account Closed

Sorry, not sure how many complexes are within a 1-3-5 mile radius and no research on my part yet. 

I secured the lot, I have a builder, and can raise the money. When my team reached out to the city, the city planner confirmed they will give big credits and incentives for new apartments and asked how they could help...So, sounds good right lol 

There are SFRs on the left and a 40 unit apartment complex on the right. The owner has already asked us to buy our lot to build more apartments... So, more good news right? lol

But this is why I want to work with an experienced investor that has done this before. 

If I can gift wrap a deal to an investor and learn at the same time I feel like that would be a win-win for all.

I can bring 2 out of the 3 things needed to do the deal minus the knowledge part.

Please don't get me wrong, I am not opposed to doing the research, I just didn't want to waste time trying to research stuff I have no idea about. I have a crazy laser-focused schedule and want to rely on an experienced expert. 

Once I connect with someone that is interested and has a ton of experience, TRUST ME, I will research the heck out of their recommendations etc. 

Hope that makes sense and thank you again for your response. 

Are you currently developing any multi-unit apartments or have done so in the past? 

I would love to chat offline if so. 

THX!  

Sorry, I made the edits. 

The lot is in the city of Highland in the San Bernardino area. 

Hey all, I am looking to partner with an experienced developer or investor on a 32 unit apartment building development. I have a 1.1 acre lot zoned R2 in the city of Highland/San Bernardino area and approved to build 32 unit by the city. The lot is in the middle of single-family homes and apartments on both sides in an up and coming area. 

Our company mainly focuses on single-family flips and rentals. However, we have this lot and want to develop it! 

Thanks for any introductions! 

Hey Tony, yeah man LA is a bit tricky but not impossible. We focus on flipping in LA and buy our rentals in other areas. I know that might not help answer your question exactly, sorry. 

Now, if I really wanted to find cash flowing rentals in LA I would look for duplexes, tri or 4 plexes. House hack it if you can, get your mortgage paid by your tenants. Then trade up next year, and again the following etc. 

SFRs are a bit tight as you mentioned but again not impossible. Long Beach and other beach areas have 2-4 units that could work. 

Or if you just want cash flow, be a private lender on a few flip deals to get passive double-digit annual interest. Then as your bankroll increases, you will have more cash to invest with and buy those multi fam deals. 

Hope that brought a little value. 

Daniel 

@Account Closed and it has a ton of great insights with actionable steps you can take. 

I did a couple Flips in an area that is 7 hours driving from me. It was a little difficult at times but reading that book helped me know that it can be done. 

However, if you can find deals locally I would recommend that for sure. Also, if you can find deals far away do that as well, why not? LOL

Now, for where we are as a company and from what I have experienced in my markets, I would flip locally here in LA and buy rentals out of state or in lower prices points with higher rental rates. From a rental position, once I have the property management company in place I dont think I would ever actually visit the property ever. I wouldnt need to, that is why I have a property amangement company....

With flips, I feel like you need a body (doesn't have to be you) in the property almost every day making sure the job is getting done. Here in LA, the spreads sometimes can be tight and the killer is hold time. So you have to make sure your team is working everyday to get the renovations done asap. 

I would agree with you that CA favors the tenant a little more than other landlord friendly states but that should not scare you away. You just need to factor in any potential issues into your numbers and make sure you have contingencies upon contingencies. 

As far as flipping in Riverside, I would try to stay away from areas with brand new houses. Our team actualy left that market as we were trying to sell houses with ARVs at 430k+ when the competition was around the same for brand new houses! 

Or if you want to be in the brand new houses area then you need to make sure your ARVs are significantly lower for the end buyer that can't afford the higher new home price.  

We decided to leave that area and market and move to the Million plus market here in LA as renovating a 2,000 sf house in Riverside versus renovating 2,000 sf in LA can generally be close to the same actual work. You will have higher end finishes and potentially longer hold time but you should have an extra ZERO on your profits :) 

Hope that helped, sorry for jumping all over but send me a message if you ever want to chat offline. 

Daniel

@Daniel Westholm

Hey man 23 is a great age to start. I bought my first house at 19 with a friend and rented out the other beds to pay the mortgage so nice job on wanting to get started early.

The best advice I could give to try and answer all your questions is to go work for a local investor.

Don’t ask them, hey can you be my mentor ? lol

Try to bring them value and help their team or process. Work for free and bring them value to help their business.

Once you bring them value and start to help their business then they will most likely want to reciprocate and help teach you.

Also, imagine being on a team or working with someone learning their systems and seeing it first hand??? You might pick up a few things here or there :)

Oh and I wouldn’t knock LA brother, there is money to be made in almost all areas. The difference is the strategy.

We have done a few deals in Sacramento and Riverside but we LOVE LA.

We have 3 deals going on right now in LA and are scaling to do more here locally.

I know that didn’t answer all your questions but in my opinion it’s the best answer to all of them.

Heck, if you want to come check out one of our properties hit me up. I have no problem showing you what we are doing or answering any questions. I have been helped a ton and love connecting with others.

Good luck brother and nice job on getting started early.

Daniel

Hey @Manolo D. great info! I was wondering if you have a PDF or copy of that contract that you showed here on BP? I would love to have a starting point and look over a few lines to see if I need to add anything etc.

Thank you for any help!

Daniel

what up BP!!!

Got a quick question as I am not that familiar with the wholesale process. 

I have a friend that is a motivated seller, wants to sell his house in 60 days. (has to wait 60 days as his friend is renting a room) He owes 300k and wants to net at least 100k min after the sale.

The comps in his area show similar houses that sold for around 435k to 460k. There are other comps that sold for 530k but have an extra bathroom, garage, and central air. 

I am wondering if there is a wholesale opportunity here where I can find a buyer in the next 60 days...?

Any thoughts?

thank you!