All Forum Posts by: Franky Juwana

Hi Damien, 

Is 264k total cash out of pocket? Do you have mortgage? Did you try the Biggerpocket calculator yet?  if 20% came out at the end, congrats my man, that's an awesome number, you're killin it. 

Hi @Jared Rine , 

Yes, my single member llc own a percentage and my partner own the bigger percentage. We bought it last year at 500k, so if I have to guess, the value of the property now is between 550k-575k. We own it free and clear. It generating income $4250/month. 

The property is in Bayonne, NJ, a mixed used where residential 3/1 on 2nd fl, and commercial on 1st. total sqft is 2600sqft plus basement about 1200sqft. 

Hope that clear things out a bit. 

Thank you @Matthew Crivelli 

My property is fully leased, in my case the property is owned by 2 different llc's which has different percentage 23/76 , I just called one bank and they criteria is to have only 1 llc that owning the property (bummer), but I'm sure there's a way for my situation in order to borrow.

Hi Fellow Investors, 

    I'm not too familiar with commercial lending, so hopefully I can learn something. 

I have a Mixed use commercial property that paid off,  my questions are:

- Can I borrow against it? and what's the criteria for borrowing? is my credit score or property income matters most to the bank? 

- What's the max can I borrow ? Do they need to Appraise it ? 

- Any Recommendation of Commercial Lender?

Thank you in Advance, 

 Hi James, 

Just curious, why do you choose Colombus, OH ? Do you have anyone there that you can rely on? I see you based on Weschester, NY,  have you looked anything in the area that suits your needs?  I also an out of state investor, NJ and TX, that's why I'm curious if you know anyone in OH.

Thanks,

Investment Info:

Single-family residence fix & flip investment.

Purchase price: $324,000
Cash invested: $60,000
Sale price: $455,000

Closed the house right before pandemic, and construction had to be put on hold for months

What made you interested in investing in this type of deal?

The Profit and experience

How did you find this deal and how did you negotiate it?

MLS and Negotiated a bit but owner wouldn't budge.

How did you finance this deal?

Cash with partner

How did you add value to the deal?

Gutted and remodel the whole house

What was the outcome?

Profit

Lessons learned? Challenges?

Must find out the survey and it must be updated. Challenges with neighbor which put the transaction in a bit of a hold.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes, but seller's agent was very un-professional.

Investment Info:

Other buy & hold investment in Bayonne.

Purchase price: $500,000
Cash invested: $509,000

Mixed Property has already has tenants which have been living in the property for 10 years

What made you interested in investing in this type of deal?

Cash Flow

How did you find this deal and how did you negotiate it?

Real Estate Agent Listing

How did you finance this deal?

1031 Exchange

How did you add value to the deal?

Just continue the lease, work cannot be done while tenants still living there on the property

What was the outcome?

The transaction is pretty smooth.

Lessons learned? Challenges?

Find a good attorney is a must, this will make the transaction goes little bit smoother.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes, the agent is very professional and yes I would recommend him to others.

Investment Info:

Townhouse buy & hold investment.

Purchase price: $158,500
Cash invested: $44,060

It is bananas our there, every time I like the house and it looks a little decent, at least 5-6 offers. So much competition with owner occupants or bigger investors. So Patience is the name of the game and not to fall into a bidding war.
I was able to identify this property while I was in NY and contacted my agent in Houston, the 3br/1.5ba Townhome unit is occupied with Family of 5 which they have been living there for 3 yrs with on time paying records.

What made you interested in investing in this type of deal?

Cash flow income and build net worth.

How did you find this deal and how did you negotiate it?

har.com and I negotiated very little due to others offer in line.

How did you finance this deal?

Conventional loan 4.375% 30yrs with .5% buy interest which cost me around $500

How did you add value to the deal?

The unit is occupied so I just continue the lease.

What was the outcome?

A little normal bumps here and there, nothing major, so I consider this a success and smooth transaction.

Lessons learned? Challenges?

This is my first HOA condo purchase, so next time I have to find out in early about the Master Policy, what covers, is it only interior or exterior as well? and get all the information for the HOA including the contact information.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Yes, a real estate agent that I would definitely recommend him to anyone. He went above and beyond his duty.

Awesome!  yes... I wish our intermediary is as helpful as you in answering our questions. 

One more question, what happens if one of us passed away once we bought the 1031 exchange replacement property with our SMLLC? does it go to the partner or to the person family ? 

Thank you @Bill Exeter and @Dave Foster for the reply, My partner and I literally researched this for few days and thanks for both of your advice, Here's what we're going to do

We'll buy the 1031 exchange replacement property with our personal name, and after 1-2 years, we'll create a "disregard entity" LLC for each of us and transfer the property deed to the 2 LLC's. Which means we will be protected in litigation situation and for Tax will be just file under each personal tax return.