All Forum Posts by: Franklin Anderson

That is a great area, my family loves the 30A area.  Would love to have a place there one day to rent and have for personal use.  My understanding is that most properties are total appreciation plays, very hard to make cash flow. 

I would reach out to Daniel Walker, he is on BP and works the area.

Good luck!

@Tommy Oan

We are going to purchase the triplex.  I thought the numbers looked better, I really appreciate the feedback...really helps to hear other opinions.

The other four will all appraise at $220 and we could purchase at $190 with rent at $1800/mnth, the cash flow is just not there.  We are going to keep looking for deals with better cash flow.

I have never been offended by someone offering me money. I always have the right to say no. Sounds like you have a sensitive seller on your hands.....she will get over it. 

Wanted to give an update on the duplex/triplex deal. I moved forward with an appraisal on one of the properties, the triplex, and it came back much higher than I expected. Appraisal came in at $235k. Rental income is $2,650/mnth. Although the owner would prefer to sale all 5 properites at the same time, I could buy just this property. Price would be $190k plus 2014 taxes of $3600. My financing is pre approved for 80% LTV for 15yrs at 5% with 35mnth maturity. P&I mnthly will be $1350.

If the triplex appraised for $235k then the duplexes will easily appraise for $200-210.  Purchase price for all 5 is $1m.

What are the thoughts on purchasing just the triplex?

Thanks Marlene!

Thanks Todd!  Let me know if you come up with any good deals to wholesale in our area. Looking to flip a few this year. 

Thanks @Brian Burke you have been more than helpful!

Everyone, Again I am blown away by how much everyone wants to help, Thank you!

@Joel Owens, I have inside information that the bank may be willing to short sell but I know the seller will not want the short sell.He thinks very highly of these units, feels they are worth $200k each and he thinks the $188k payoff is a deal.They are 5 separate buildings on the same street.Agreed I would be somewhat at the mercy of the other investors.

I do have buyer-itis, want to do a deal, but I have had a gut feeling even before the numbers this would not work…..

I am not emotionally tied to this deal I just hate to see it pass. This guy really needs to sell this property.

Are these possible action steps feasible?

• Would any recommend moving forward with the appraisals, cost will be approximately $3,000.If they come back low and with the new value the numbers look better make the offer.
• Request a possible 20 - 30yr term rather than 15yr lowering the debt service, creating positive cash flow?
• Shopping this deal around to cash investors – with no debt service would this deal be attractive to larger investors happy with the 5%-6% return.Would a hedge fund possibly be interested in this property at $200k each, $1mil, at 6.6 Cap?
• Walk and live another day?

Thanks again for all the help!

@Kyle H.  You are correct, 11 rentals, but the rental income is the same.....it was late and I miss typed.