All Forum Posts by: Dhanush Kondoth

Than you all for the generous inputs. All except 2 tenants are on a month to month lease. If I raise the rents, I might run into the unfortunate situation of having high turn over within a short time and that will put me in an undesirable financial situation,especially when I am pouring in large amounts of cash into rehab. 

This also ties into the situation where I won't be able to afford to keep 4 units as display and rehab four more.

In all of these situations,the existing tenants and their behavior exists and if I was to move in with my family, I would love to move into the newly renovated units, but not with that neighborhood. And that is the sort of dilemma I am in where I would like to hide the notime so exciting side of the apartment from the inflow of good tenants. 

Hello Fellow BP-ians,

I just bought a 18 unit property in Ohio. This property is currently a run down property in a decent neighborhood. The property has 4 vacant units that I am going to turn around in another month or two. My plan is to turn this property into one of the better ones in that area. 

My plan so far:

I intend to give a lot of face lift to the apartment building itself which includes, 

new roof

2 tone complete external paint job

tear down old raggedy patio fences and replace with new ones. 

Turn the vacant units into really good ones with new appliances, wood finish PVC flooring recess lights etc. 

Individual water meters

Better laundry room facilities. 

New solar street and parking lights. to mention some of it.

My question:

The current rents are well below the market because of the condition it is in, but once these upgrades are done, I intend to raise the rents to market rates at least for the newly refurbished units. 

But here is my dilemma. Since the rents are low, there are some "not so ideal" tenants living there currently and I cannot let all of them go at once, as I need the cash flow, but this may affect my plan of steep transition from semi-ghetto to semi-luxury at the same time. 

I don't intend to keep 75% of the current tenants as I had inherited them and don't really trust the background checks done by previous management team. 

Any ideas? I am sure some of you would have faced this situation and so would like to dig into some of your experiences and see if I can replicate it. 

PS: I could not find an answer searching through the bigger pockets forums.

Hope to hear from you guys.

Thanks in advance.

@Account Closed so here is how it works. They tell you that you will get different "accounts" and "line of credits" which will add up to say 50000 or 100000 you requested as a "line of credit" but they also let you know that there will be "few" pulls to shop for the "best" deal. all that sounds good when you deal with this for the first time. but the thing you will not know is the fact that they are getting you couple of credit cards and few line of credits. 

yes it is shady and really in the grey area of legality. 

@Account Closed yes, I have been careful about that, but these are mostly people who work on commission basis. They say they will provide you with the money and they go around applying for credit cards and line of credits and screw up your credit history by having 6 million hard pulls and end up giving you a crappy bunch of high rate credit cards and line of credits. 

@Harjeet Bhatti thanks, will keep that in mind.

Hello Fellow BP-ians,

As part of the flourishing REI business, I have noticed that there are tonnes of new "XYZ financial services" and XYX Capital lending" groups propping up all over the country. Every one of them I speak to seems to be in the business for over 25 yrs and are connected to 2000+ lenders and hedge funds.

Question is how to vet these companies? what kind of due diligence can I do other than asking around and checking their website and FB page. Anyone can have a really good website these days for less than 100 bucks and with some effort, anyone can also build a legit looking FB page.

is there any document that I can ask them to show proof of their credibility? is there any set of questions I can ask before signing my life off?

Please consider this as an honest attempt to not get burnt by frauds and also please consider these as a help to make sure your name is also not affected by these few bad apples. 

Hope to hear from the experts.

Dhanush 

Hello BPians,

I am planning to Bid on a property in Columbus Ohio which I intend to flip. The issue is, I do not have enough cash reserve for the "Big lenders" to make their underwriter happy (I have cash more around 20% and not zero). Now I know you might be thinking...well obviously then you are not qualified to do this but please do hear me out. I am sure the most experienced people here have also been there during their initial stages of REI.

I have a plan. I have the property in sight, the numbers, the real estate agent ready to work on it (an agent I have done my previous deals successfully), I have actual rehab numbers from a reputed contractor that I have worked before and I also have some experience rehabbing. I ALSO HAVE AN EXIT STRATEGY.

I would like to know if someone would be interested in working with me in the form of a bank and sit back and collect the profits. 

Whats in it for me? - This helps me build my credibility and some money.

Please let me know if interested and I will share the details of the property and the numbers.

Thanks

Dhanush

Thank you Sam,I will get in touch with him. 

Hello Marty, just sent you a request

Hello Fellow BPians,

I am planning to buy a property in downtown Baltimore. I would like to know if there is someone out there who can do Hard money lending to buy as well as rehab the property. This would be a sub 300k deal with me putting down 25%. 1 year term. 

Thanks

Dhanush

Hard money, Baltimore, commercial, apartment.

Hello BP-ians,

I am looking at buying a multifamily in Dayton area. The property needs some work but I am not sure how much of work is needed. I am going to visit the property this weekend and would like to have a contractor walk the property with me to provide me with a rough estimate on the fixes. I will gladly pay for the time you will spend at the property.

If I do end up buying this property, there is a good possibility for continued services, including property management.

PS: If you are an investor or property manager and would like to recommend a contact, I would highly appreciate the help.

Hope to hear from you.

DK