All Forum Posts by: Eric Nelson

Nice work doing what you can to provide housing!!

Who do you talk to about setting up a PUD?

I’m thinking about  building storage units that I could sell and charge an association fee. 
I’m not finding a lot of good info out there about it.

Thanks!

Hello, welcome to BP!

investors in Bemidji aren't really on here to much. 

 https://www.zillow.com/homedet...

how about this one?

Hello Amy,

I'm sure I'mto late, but that sounds like a pretty decent deal, as long as it's close enough to campus to acquire college students.

Once you get past 15th and Irvine, you will see rents drop due rmto distance from BSU.

Have a great day and let me know if you want to get together sometime.

-E

I really believe that to invest in a small town, you have to be intimate with the small town. You have to know almost everything that's going on, and, just like you do when your real estate investor, let everybody know that you have a rental so if they know anyone that needs a place to rent they recommend you.

in smaller towns Word of Mouth it's going to be a far better advertising Source than anything else.

I've found that in a small town you become an avenue for, sometimes, good people who need to work through some stuff.  I am working with 2 out of 3 people like this in a triplex, and they're good renters.  But I got good references from mutual acquaintances, before accepting them.  Do you know anyone that you trust that also knows them?

in a small town you can usually find someone.

good luck!

Something I remember from a podcast, was to get sale prices of all units/properties if it's a portfolio.   Then run the numbers on all the buildings, and pick the top couple you want and try to get just those.

Their numbers may be skewed higher if they have 2 of the 6 properties priced poorly.  If you can figure out which are the lowest performers and cut them out, you'll be better off.

I must be missing something. 

it's a multifamily building, so I assume(...) it's a 5 unit or more. So the value of the home is based on the NOI, right?

so, if the cashflow(NOI) is there, the value is there. When I'm looking at deals, I don't care what it costs, as long as it has a positive cashflow.

Your question is, how to negotiate with the seller.  I agree an agent[broker if you haven't done this before.  One strategy I've used, on a small scale, is offer full boat, then come down as unexpected cost arise in your due diligence process.  If you're in a small town, this may give you a bad name though.

Or, find out everything wrong, give them cost to repair, they know it's a lot, and make a presentation to them.  Here is what you're asking, here are the cost, this is why I need it @ my price.  Work up from there.

You also already know what the seller wants.  Do your best to find their break even point.  Use a amortization calculator to figure out about what they still owe, and see if that number works with your numbers.

Good luck!

I'm just in little Bemidji MN.

Enjoying the north country and all the pain it sometimes brings.

I'm working on building relationships in my area and around MSP.  

Bought a triplex last year, and a triplex this year.  Working to stabilize them and grow from there.

I wanted to encourage you to not feel like you've accomplished or exceeded your specific goals if you 100% haven't.  You've done more than me so, great job.  But don't let a little success distract you from what it takes to accomplish your goals.

Hopefully you aren't!

Keep killing it out there!

Find a bank that will.  I was gifted equity and they accepted it for the down payment.