All Forum Posts by: Eric Gamble

@Chiel Slinkman, sounds like you are off to a strong start!  Find a steady pace and keep going. How are the deals in The Netherlands? 

Welcome to the BP Community,
Eric

Welcome @James T Simpson,

You'll will find that the BP Community is warmly and active. Mirror this behavior and you'll fit right in.

Cheers!

Welcome to BP Tracia,

Sound like you are a Lond Distance Investor, based in CA and looking in the ATL.  If this is true, have you read David Greene's book on Long Distance Investing?  It along with a number of the Podcast may answer a lot of your questions.

Yours in success,
-Eric

Welcome to BP Christopher,

I grow up in NJ.  My mother and brother currently live in Perth Amboy. And, I have a NJ NY real investment interest too.  Let's stay in touch.

Make certain you listen to the various Podcast and reading the various blogs, if you are not already doing so.

-Eric

@Damaso Bautista as you learn it, share it, and teach it.  Once you are able to help others via teaching, you will have a deeper understanding than the average person.

Don't be average! ;)

I want to remind everyone about the PRIMARY WAY to make money with real estate, as preached by @Brandon Turner, @David Greene, and many Podcast guest, is by entering the deal correctly.

I recently wrote a post demonstrating the math logic behind the BRRRR strategy (opens in new tab) , broken down into 6-Steps.

@Ryan Blake and @Brandon Sturgill point out a VERY IMPORTANT point about using a BRRRR as an exit, make certain it will work for your situation before executing it. In other words, if your primary plan is to BRRRR the property, make certain you are setup properly for that exit before you enter it.

Here are a few of the things you need to keep in mind, when entering a deal, to ensure the exit will also work:

• Purchasing entity (self, LLC, S-Corp, C-Corp)
• Initial Loan Seasoning (how long the initial loan needs to be i place before a refi can occur)
• Loan Payment Differentials (the potential change on mortgage P&I between the initial and refi loans)
• Does Refi Allow For Cash-Out (can the refi provide money greater than what was put into the property at closing)
• Is A Business Plan Required (Definable-Doable-Repeatable-Scalable)

Here is a little reading, here on BP, about these things:

• Considering the BRRRR Strategy, Things to consider
• The BRRRR
• Definable, Doable, Repeatable, and Scalable

Cheers!
-Eric

@Ryan Blake

@Brandon Sturgill

@Ryan Blake, man the "air cover" is GREATLY appreciated!

>>>>> Hear that?! 

>>>>> Yeah, What is it?

>>>>> Man, That's Ryan Blake's close air support, with his A-10 Warthog <<<<<

@Jaysen Medhurst and @Kevin Sellers thanks!

@Brandon Sturgill 

This post was created to demonstrate the LOGIC behind the BRRRR strategy. This is not an actual deal. It is a DEMONSTRATION of the logic behind the strategy.

@Scott Rubzin, no I have not gotten the TTM rent roll.  I absolutely will if I pursue this deal,

@Jaysen Medhurst

1) I know the cap rate I am willing to play at

2) 5.2% is a cap rate I would expect on a class-A property, but not on a class-C. Cap rate and price work inversely, given NOI. Keeping NOI constant, your cap rate will go up if you lower the purchase price, while cap rate will go down if you raise the purchase price. I would want a higher cap rate for this property. They report their NOI as $130,476.

3) I understand your point about how the owner might feel.  I feel (s)he has over priced the property.  My decisions are not based on feelings, just numbers.

4a) Yes, I have financing lined up.

4b) This is my first MF. However, my family and wife's family have owned multiple MF properties in NJ and MA.

4c) I am partnering.