All Forum Posts by: Devan Mcclish

Just checked with a local company here in nashville, they are quoting me at $162 a meter = $648 + installation fee from a plumber. The electric is already separately metered so that is not an issue on this property. So @James G. I think the estimate of around $1000 is a good estimate barring any surprises with the plumbing itself. 

I have two duplexes I am looking at purchasing on the same lot. Each duplex has a separate meter for water but not for each unit. Where do I find out how much sub metering would cost? Who would I call to install the sub meter? and has anyone else experienced this in Nashville?

appreciation = speculation. No one can ever tell if a property will truly appreciate or depreciate. If you're buying and holding, cash flow and income is what you want to generate, so I would say focus in on the income not appreciation @Won Lee 

@Tom Shepard thanks a lot I'll send him a message soon!

@Laniece Miller  @Brent Cullipher has a good point with house hacking if you don't want to do real estate full time. If you like your job, I would advise you stick to rentals (sfh, duplex, triplex, quadplex). It allows you to pick up cash flow while you can stay at your job. Flipping and wholesaling really is another job with how much more work it requires. I personally would not buy a condo. Most condos have HOA fees which can turn into a disaster situation. If you do not like the idea of living next to your tenant, buy a small single family home with cash and use a line of credit to purchase a rental, that way you only carry one debt and get two properties.

I am looking for a good general contractor in Nashville, TN for some fix and flips and also to repair multifamily properties. Does anyone know of someone that they work with that is efficient and reliable?

@Tutti Patel I would definitely have to agree with @Seth Mosley. The market is pretty tight. Couple investors I personally know have told me they give east nashville and a few other places 2-3 years at most before a bubble pop occurs. Prices cannot keep increasing at the rate they are increasing without repercussions  

Listen to the bigger pockets podcast show 61 I believe with Ben. They spend 2 hours going over what a good multifamily deal looks like

Brent Rogers this looks like a pretty average deal. First off divide your monthly rent by your purchase price. It meets the 1% rule but not the 2% rule, if that were me I'd pass. Beyond that, expenses in multifamily are closer to 50%-60% UNLESS it is a newer property <10 years then your estimate would be more likely. Another thing to look for is the rents. Are the rents higher than the market? Are they lower than the market average? If they are higher, you'll lose in the long run when those rents come down. If they are too low, you can add value to the property based on the cap rate. Your cap rate on this deal at 50% expenses is 6.84, which isn't bad but not really great. I personally look for anything over an 8 cap at the very minimum. 10 cap in multifamily is preferable

First thing you should do is contact your city's zoning department to make sure you can rezone it and if so, for how much. Next thing you need to do is check the wiring for the property, you might need to rewire to conform to a multifamily property. Most investors do not want to pay the tenants utilities, and if the property is on one meter this creates an issue. If your market is requiring landlords to pay utilities then it's not a problem, so check your market. To determine value of this deal, first find the NOI (gross income-expenses). Divide the NOI by the cap rate investors want in your area. Ask local investors what cap rates they are buying at. That will determine your purchase price. To find a buyer, ask investors in your area that invest in multifamily about the deal they would be glad to determine if it's a good deal. If you have a local REIA, go to it network with other investors and you can find a buyer that way