All Forum Posts by: Danté Belmonte

I have garages bays in Central, NY that I rent at one of my rental properties and I rent them for $70 a garage bay. I think that’s a fair price. $100 for a parking spot that isn’t covered from what it sounds like is probably your top amount. I’m honestly surprised your getting that, maybe if it’s a secure, fenced in area it can command that kind of rent. 

Topic: Multifamily Cash Distributions Explained

This month's meetup will be on Tuesday, May 25th @7:00pm. We are meeting in person (at 7650 Highbridge Road, Manlius, NY 13104) and STREAMING the event for those that cannot attend.
This meetup is both for active and passive investors.
When: May 25, 2021 07:00 PM Eastern Time (US and Canada)
Register in advance for this meeting:
https://us02web.zoom.us/.../tZcvdu-hqD8vH9f...
After registering, you will receive a confirmation email containing information about joining the meeting.

Matthew, I don't want to repeat others so here are a few I enjoyed these:

- Syndicating is a B*tch by Bruce Peterson

- The Encyclopedia of Commerical Real Estate by Terry Painter

- Never Split The Difference by Chris Voss

- Multi-Family Millions David Lindahl

- Exit Plan by Mike Morawski

- Investing in Real Estate Private Equity by Sean Cook

ENJOY!

Rent growth is another one someone mentioned that I did forget

Rob does a great job. I have had him on my podcast. Deals are super hard to land today but it is all about the amount of LOI's you write. The more you put out there the better chance you have at landing a deal.

My biggest issue not too long ago was when I was underwriting I was being conservative in EVERYTHING. Which made us not competitive at all. You have to pick and choose where to be aggressive and where to be conservative. Examples are areas like vacancy rate, concessions, bad debt, loss to lease, repairs, maintenance, marketing, turnover, capex budget, etc. Areas like exit cap rate is huge as to where you can "juice" that IRR. I think exit cap rate is the one you have to focus on as it plays a large roll in the project. It has to be realistic. Our rule of thumb is for each year we plan to hold the asset the exit cap rate will increase 10 to 25 bps from our acquisition cap rate depending on the market. NEVER will it go down unless its downtown Dallas or Fort Worth which we are not in that state but it is a good example.

Will has the correct wording on that. Saying "I want to buy your property" may come off as too aggressive. The "You have a great property, would you be open to seeing an offer from us" come soff much better.

Every county has public tax records. Google "county name"  county real estate tax or ownership and it should be one of the first links. It may take some clicking around but then you will input the address and the owners name or entity should pop up as well as an address. Mail them some letters or do some detective work and find a phone number. If you aren't aware of this tool I would imagine you do not have extensive real estate knowledge or experience (which is completely oaky!) so I would stay away from a run down multi-family at the moment. If you really want to pursue, once you get a hold of the owner. Let him know you are an investor and would like to buy his property! Best of luck!

This month's meetup will be on Tuesday, April 27th @7:00pm. We are meeting in person (at 7650 Highbridge Road, Manlius, NY 13104) and STREAMING the event for those that cannot attend.

This meetup is both for active and passive investors. This month we will give everyone a "look under the hood" at our process for submitting offers and buying criteria. Syracuse, Utica, Rochester.

You are invited to a Zoom meeting.
When: Apr 27, 2021 07:00 PM Eastern Time (US and Canada)Register in advance for this meeting:
https://us02web.zoom.us/.../tZEkfu...After registering, you will receive a confirmation email containing information about joining the meeting.

Whoever tells you to own a home and live in it for tax benefits most likely does not invest in real estate and complains about the IRS constantly lol! If you buy your first home and rent it out that is a different story. It all depends on your current living situation. Can you stay where you are and invest your capital in equity real estate not debt real estate? Need a little more info to give you a better answer.

Great stuff! We look at all of these as well in addition to "Average Annual Return" which is your average cash-on-cash as well as your sale profit returns. For example, a deal we are chasing is producing an average cash-on-cash of 9.11% over a 5 year hold but if you look at the AAR or "Average Annual Return" which accounts for sales profit it is an annual return of 15.78%. We are very upfront with our investors to explain the difference and not to confuse them with the "AAR" being their "CoC".

We also look at "Total Return" (Cash Flow + Sales Profits) but this number doesn't make me all happy and bubbly inside like the other 4 do. Good post!