All Forum Posts by: Eric DeVoe

Mike, I completely agree but try to keep your voice down as its hard to keep finding good multi-family deals in Toledo :) 

We have invested in Toledo and continue to be encouraged by the financials.  While it might take a bit more time to separate the wheat from the chaff, there are a lot of gems throughout Toledo and the city is working hard to rejuvenate different areas of the city.  

Seems this thread has some passion but I also want to know where the "insight" has gone.  I'm not as long-time of a user of the platform but I even remember when BP insights had some good data files that were available to users.  Now the "insight" is supposed to be delivered via blog posts to the Pro members but they are few and far between.  With as much data as this platform has access to, shouldn't it be packaged in a meaningful way to members?  I have full access to the rent estimator but what if I want to dump a bunch of that data and do my own analytics?

As an owner of several multi-family that leverages property management companies, I really like interfacing with Appfolio from the client (owner) side.  Not sure how it is from the tenant or PM side but its great for PM agreements and statements for owners.

David, did you end of finding anyone other that Keystone CPA?  While I love the idea of working with Amanda and Matt at Keystone, they seem to be a better fit for tax strategy than a simple review and tax filing which is what I need at this point.

Eric

Stephen, thanks for the post and I agree that there are some significant employeers moving into the area.  I noticed that the Peleton facility is mentioned in Wood County.  Any more information to help narrow down a more specific geography?

Eric

Reece, my partner and I have an LLC and just purchased two properties. I investigated multiple products and to me Stessa made the most sense. The ability to link to our bank account, our mortgage accounts, and the property manager portals is fantastic. Additionally, being able to detail out each unit of the rentals (ours are MF) and even attach leases and other documents is key.

Lastly, is you take your time to split up the closing cost wire transfer in the system, you can keep the closing costs separate (Capital) separate from other transfers (Escrow, rent, etc.) and therefore keep your cashflow reporting accurate.  I was also able to create separate building (27.5 year amortization) and land (no amortization) assets that are automatically calculated in the year-end tax summary.  

I'd be happy to walk you through what I did as the learning curve was a bit step.  Now that it's established though, the reporting and monitoring is fantastic.

Eric

Just purchased our first MF property (remotely) in Toledo and would be happy to meet up and discuss the area. The metro area has multiple sub-neighborhoods and property values can vary considerably in a small radius. As I'm not looking to BRRR, we have been focusing our analysis more towards the West side where we can still find a +1% property that is nearly turnkey.

Just purchased my first two MF properties and I'm using Stessa to keep track.  Integration with banking (US Bank) and PM portals (AppFolio) is great.  Only time consuming aspect was splitting the closing cost wire into the 8-10 different categories within Stessa.  I now have a lookup from the standard closing disclosure to Stessa category so the next purchase should be easy.  

The only thing missing at this point is a new property wizard that allows you to drop in the all of the data on the purchase at once and setup the non-land depreciation schedule.  It's all possible to do now with the current configuration but you need to click through multiple screens to get there.

Overall great app for long-term tracking.

Thanks for the feedback.  The plan is for the local folks to bring the deals which is why I felt the profit sharing was more fair.

I've had some success purchasing turnkey properties remotely and leveraging the local real estate agent / property management firm to get the properties freshened up and renting. 

Recently, I stumbled upon a local general contractor (GC) in my remote market that has been buying a flipping multi-family.  I am limitted in the supply of turnkey properties, and the GC is limited in the cash required to purchase a property and float the rehab cost.  Any advice on what works and/or doesn't in a business partnership like the following:

1) Investor (me) purchases a distressed property: $100K

2) Investor (me) or GC (partner) pays for rehab cost of property: $20K

3) GC (my partner) does the rehab of the property

4) Property is reappraised and refinanced: $150K

I want to give the GC incentive to perform the rehab quickly but also take pride in the workmanship.  I think I can do this by splitting the profit ($30K) equally between final appraisal and purchase + rehab cost.  Is this too generous to the GC?  Would you have the GC pay for the rehab and then split the profit? 

Thoughts?

Eric