All Forum Posts by: Dan Powers

@Tom Dempsey From my experience with investors in the Philadelphia market, typically when looking for STR's they like to focus on University City, the nicer areas of south philly (Graduate Hospital, Passyunk Square), Northern Liberties, and Fishtown. All these areas are nice overall and very popular with younger people who are going to utilize STR's.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $175,000
Cash invested: $20,000

This prime point breeze property property was is great condition already and simply needed a quick cosmetic rehab to turn this thing into a great rental property. With tons of ongoing rehabs on the block this was a great pickup for my investor and will appreciate for years to come.

What made you interested in investing in this type of deal?

What made my investor interested in this deal was the condition, being as clean as this property was with the plan of keeping this as a rental this was an easy pickup for my investor.

How did you find this deal and how did you negotiate it?

This deal was sourced through New Western and was sold at a first come first serve basis.

How did you finance this deal?

This deal was purchased with cash.

How did you add value to the deal?

Value is being added to this property by redoing the kitchen & bath, a fresh coat of paint, and installing laminate floors instead of the carpet.

What was the outcome?

The outcome is going to be a fantastic rental property that'll being in anywhere in-between 1600-1900/month.

Lessons learned? Challenges?

This was a super easy closing, no challenges occurred.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Dan Powers - New Western

@Dave Ventura Germantown is a super desirable pocket in Northwest Philly with very little inventory. Typically you want to be on the west side of Germantown Ave but overally the area as a whole is super solid. Whenever I come across a property there it always sells within a few hrs. From a rent perspective you hae 3 bed getting upwards of 1650+/month and pushing 2000+ for 4 beds. If your able to find a property there I would certainly jump on it but I will say you might be waiting a little while.

For anything in Philly always refer to the Philly Atlas https://atlas.phila.gov. From my experience, it very much depends on the area for investors' tolerance or lack thereof regarding zoning.  The nicer the area the more strict the neighborhood will be and a higher chance of L&I gets called, but as @Kevin M. says there are a ton of illegal multi-familys throughout the city. If your looking for a multis in the city I would simply look for properties with RM1 zoning and have the lot dimension to support additional unit so you won't run into any problems with zoning.

@Dameka Mack Welcome to the community, I have some contractor and lender contacts in the Philly and West Chester markets. Please feel free to reach out and connect.

Most of my investors deal with Rentwell and have great experiences with them, they have contractor that can do full cosmetic rehabs, so if you bought a grandma houses but the mechanicals are in good shape they could do the rehab for you. On top of that they guarantee the tenant for the first year and in the worst case scenario you have to go through an eviction they will go to court for you. Hit up @Sean Watson, he will help you.

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $192,000
Cash invested: $118,000

This 1600 sqft 3 story located in the heart of Brewerytown is just 2 blocks north of Girard College. It has huge 10 ft ceilings on the main floor, and spacious rooms throughout. The property needed a full gut, and my investor is planning on turning it into a high end rental.

What made you interested in investing in this type of deal?

What made my investor interested in this property was mainly the location, he already had a multi in Brewerytown and wanted to find another rental property, and while multis don't grow on trees this massive SFH appealed to him.

How did you find this deal and how did you negotiate it?

This deal was sourced through New Western Acquisitions and was sold on a first come first serve basis.

How did you finance this deal?

This deal was bought through Sherman Bridge Lending.

How did you add value to the deal?

This property is undergoing a huge full gut rehab top to bottom, new mechanicals, bath additions, finished basement, you name it.

What was the outcome?

The outcome is going to be a huge rental property in one of the most up and coming areas in philly.

Lessons learned? Challenges?

We did encounter a challenge with the original private lender pulling out, but we quickly made the switch the Sherman Bridge Lending who came in and funded the deal.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Dan Powers - New Western Acquisitions

@Candace Ly If you havent already I would check out Philly Atlas, https://atlas.phila.gov this is going to show any permits for the property, but concerning the rental license if its still active then your good to use the property as a duplex, if its inactive you might have to go to the ZBA when you apply for one and simply pitch that your continuing to use the property as it has been operated in the past.

@Matt Daley I would think thats a fair price for the complete interior of a 1500 sqft home, I just got a quote for the interior and exterior of a 1000 sqft home for $3900 from a contractor of mine for an investor who just bought a flip down in Point Breeze. Are you doing any other rehab to the property?

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $160,000
Cash invested: $85,000
Sale price: $360,000

This great property in Dickinson Narrows immediately stood out to my investor. Being already cleaned out this project was an easy sell because the area speaks for itself. This property needed a full gut but nothing out of the ordinary, with comps in the area selling 350k+.

What made you interested in investing in this type of deal?

What made my investor interested in the property was first of all the area, being one of the hottest areas in South Philly it sells itself. Also being a straightforward gut with no major X factors involved is an easy project to take on.

How did you find this deal and how did you negotiate it?

This deal was sourced through New Western Acquisitions and was sold first come first serve.

How did you finance this deal?

This deal was financed using a hard money loan

How did you add value to the deal?

Value is being added to the deal in the form of a full gut rehab, adding HVAC, finishing the basement, adding a 1/2 bath on the 1st floor, and cosmetics throughout

What was the outcome?

The outcome will be a great rehab in a fantastic area of South Philly.

Lessons learned? Challenges?

No challenges on this property, just a smooth closing.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Dan Powers - NWA